Wood industry aims for new development goals

With one of the country’s leading scales in both production and consumption, coupled with abundant plantation timber resources, Dong Nai’s wood industry is positioning itself for a new phase of development over the next five years.

Production at a wood-processing enterprise in Long Binh ward. Photo: Vuong The

Expanding production capacity, boosting sales in both domestic and export markets, strengthening sustainable business linkages, and increasing investment in technology and processing are among the key solutions being pursued to enhance the industry’s brand.

Expanding production and strengthening enterprise connections

Dong Nai currently ranks second nationwide in wood export value. Supported by both proactive enterprises and clear local direction, the province’s wood production and exports have maintained steady growth in recent years. In 2025 alone, export turnover reached 2.68 billion USD, accounting for roughly 15% of the national total. Since the provincial merger in July 2025, Dong Nai has also benefited from an expanded raw material base in the northern part of the province (formerly Binh Phuoc), alongside a well-established network of processing enterprises in the south.

According to Nguyen Phuong, Chairman of the Dong Nai Wood and Handicraft Association (DOWA), the industry will continue to leverage its strengths in processing and raw material development to move toward more sustainable growth, under the guiding vision of “bringing the world of wood to Dong Nai.” This approach is aimed at ensuring legality and environmental sustainability, while meeting the increasingly stringent requirements of both domestic and international markets. The long-term goal is to position Dong Nai as a major wood furniture hub in Vietnam, with export growth projected at 12–14% annually, reaching 4 billion USD by 2030.

At the national level, Nguyen Van Dien, Deputy Director of the Department of Forestry and Forest Protection under the Ministry of Agriculture and Environment, noted that Vietnam’s wood industry now exports to over 170 countries and territories, with total export value exceeding 18.3 billion USD in 2025, placing the country among the world’s top five exporters. Within this broader growth, Dong Nai stands out as one of the country’s key wood production hubs. Notably, beyond its strong export-oriented processing, the province also leads in wood processing for domestic consumption. Given this foundation, Dien assessed that the growth potential for wood industry enterprises in the coming period remains substantial, and that the targets set by both businesses and DOWA are entirely achievable.

Moving toward sustainable development

As the industry enters a new development stage, it is facing increasingly stringent demands in terms of growth quality and sustainability. At the same time, global uncertainties remain, with rising trade protectionism and stricter environmental and labor standards. These challenges require the industry to adapt in order to continue advancing.

According to Pham Van Sinh, Vice Chairman of DOWA and Director of Lido Wood Joint Stock Company (Ho Nai ward), the industry will expand service offerings to provide updated market information, quality requirements, and training in international trade promotion skills. At the same time, enterprises are being encouraged to develop along value chains, increase the use of domestically sourced plantation timber, and prioritize legal wood with sustainable forest certification.

To enhance connectivity among members, DOWA is also working to upgrade its supplier platform, enabling more effective product promotion and facilitating linkages with both domestic and international buyers, as well as strengthening supply chain integration within member enterprises.

In parallel, DOWA and enterprises are stepping up investment in deep processing, building stronger value chains and supply chains for wood products. Along with that, the coordination with state management agencies is also being reinforced through projects, seminars, and trade forums aimed at promoting the Vietnamese wood industry on both domestic and international fronts.

According to Nguyen Thi Hoang, Member of the Provincial Party Committee and Vice Chairwoman of the Provincial People’s Committee, the wood industry plays a vital role in Dong Nai’s economic structure. With significant room for expanding plantation forests, the province expects enterprises to strengthen linkages, develop certified sustainable raw material zones, and improve overall industry efficiency. For DOWA, she also emphasized that DOWA should continue to play a leading role in market expansion and brand building for Dong Nai wood products, while proactively addressing risks related to trade defense, fraud, and origin verification. Diversifying export markets in a sustainable direction will be key, alongside proposing policies and solutions to support the long-term development of the local wood industry.

By Vuong The – Translated by Minh Hong, Minho