Domestic market could reach 7–7.7 billion USD by 2030
The Vietnam Timber and Forest Products Association (VIFOREST) said the domestic market could complement exports and help businesses sustain production, employment and cash flow amid global market volatility.
VIFOREST Secretary General Ngo Sy Hoai estimated annual per capita spending on wood products and furniture at about 50 USD. If Vietnam achieves double-digit GDP growth, such spending could rise by 7–9% a year, faster than global demand growth of about 6%.
Vietnam's domestic wood market could grow from about 5 billion USD in 2025 to 7–7.7 billion USD by 2030. This is a hypothetical scenario rather than an official forecast. The market's potential is also linked to Vietnam's population of more than 100 million.
Some businesses have already begun pursuing this potential, seeing the domestic market as a way to build brands and expand production.
Nguyen Minh Cuong, General Director of Minh Long Wood, said the company shifted its focus to the domestic market after about 13 years of studying markets in Europe, India, China and the US. About 95% of its business now focuses on the domestic market, while exports account for 3–5%.
The company plans to develop furniture that reflects Vietnamese lifestyles, culture and family traditions. Understanding domestic consumers would help businesses develop higher-value products and expand into international markets, Cuong said.
The domestic market needs clear standards
Despite strong demand, the domestic market faces shortcomings in product quality, origin verification and traceability. Competition is also intensifying as Chinese goods reach Vietnamese consumers through e-commerce and domestic distribution networks.
Experts say the market needs transparent and sustainable rules, along with clear standards for raw materials and finished products. To Xuan Phuc, director of Forest Trends' Forest Policy, Trade and Finance Programme, said development should combine policy and standards with practical models. Pilot projects would provide data for rules that reflect market conditions.
Vietnam's wood industry has demonstrated international competitiveness, Phuc said. It now needs to apply at home the quality, origin and sustainability standards that helped Vietnamese wood products enter global markets. This could make the domestic market a source of higher product value and more sustainable business growth, rather than only a sales channel.
Public procurement could also support demand. Experts have proposed prioritising school desks and chairs made from domestically grown plantation timber that meet legal, quality and safety requirements.
VIFOREST said that alongside exports, businesses would supply more wooden furniture, wood materials and interior products for social housing, schools, hospitals, government offices, hotels, tourist areas and infrastructure projects.
The industry aims to raise product value through design, branding and deeper processing, expand the use of domestic and certified wood, digitise traceability records and strengthen links with forest owners, cooperatives, tree-growing households and traditional craft villages. Businesses need to move from price-based competition towards design, quality, services, branding and transparent sourcing, experts said.
Sources: VietnamPlus / Vietnam News Agency
