MOIT VIETNAM | The Lao Market – Tremendous Potential for Vietnamese Goods

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The Lao Market – Tremendous Potential for Vietnamese Goods

18th August 2025 post by MOIT Vietnam

Laos, a close neighboring country of Viet Nam, is increasingly becoming an attractive consumer market for a wide range of Vietnamese products. Vietnam’s export activities to Laos have continued to expand, opening up numerous business opportunities and fostering stronger trade cooperation between the two countries.

It can be said that, with the long-standing traditional friendship, growing consumer trust, and ongoing efforts by relevant authorities to improve administrative procedures, Laos is emerging as a highly attractive destination for Vietnamese enterprises.

Lao consumers trust and favor Vietnamese products

According to statistical data, in the first five months of 2025, total import–export turnover between Viet Nam and Laos reached USD 1.6 billion, an increase of 100.4% compared to the same period in 2024. Of this figure, Viet Nam’s exports to Laos amounted to USD 583.3 million, up 144.7% year-on-year. These results have been significantly supported by Vietnamese enterprises that are currently investing and operating in Laos.

At the Lao Bảo International Border Gate in Quảng Trị Province alone, export activities from Viet Nam through Laos were particularly dynamic during the first six months of 2025. The number of vehicles entering and exiting through the border gate reached 130,963 lượt, up 19.3%; the number of passengers crossing the border reached 364,844 lượt, an increase of 25.17%; the number of import–export declarations reached 5,988, up 26.3%. Total import–export turnover reached USD 333.05 million, up 17.25%, while the volume of goods handled amounted to 580.61 thousand tons. A total of 256 Vietnamese enterprises participated in import–export activities through the Lao Bảo International Border Gate to and from Laos.

Mr. Trần Thanh Phong, a representative of TH Tiến Minh Company in Lao Bảo Commune, Quảng Trị Province, stated that the special relationship between the Lao and Vietnamese peoples has been one of the key factors contributing to his company’s export success in recent years. Lao consumers have demonstrated strong trust in and preference for Vietnamese products, even in the face of competition from neighboring countries such as Thailand. This clearly shows that Vietnamese goods have built credibility and earned the confidence of Lao consumers. Accordingly, the monthly value of consumer goods exported by the company—such as clothing, agricultural products, and seafood—to serve the Lao market has increased by several billion Vietnamese đồng.

Mr. Phong further noted that an increasing number of Vietnamese enterprises are choosing to export goods to Laos via the Lao Bảo International Border Gate in Quảng Trị Province, as export procedures there have been significantly facilitated by the authorities. Most vehicles and goods with complete import documentation to Laos are classified under green and yellow channels by Customs and Border Guard forces, helping to shorten clearance times, control costs, reduce losses, and, in particular, ensure the freshness of goods such as seafood, cakes, and fruits.

Vietnamese goods to Laos prioritized under the green channel

Mr. Ngô Minh Tuấn, Deputy Head of the Lao Bảo International Border Gate – Customs Branch under Customs Region IX, said that the Lao market is currently attracting strong interest from Vietnamese enterprises. The range of Vietnamese products exported to Laos has become increasingly diverse. In addition to traditional general consumer goods, Vietnamese enterprises are now exporting construction materials, industrial mechanical products, rubber tires, garments, fertilizers, and more to serve Lao consumers. Functional agencies at the Lao Bảo International Border Gate have made concerted efforts in coordination with enterprises to create the most favorable and open conditions possible, enabling Vietnamese goods to be cleared quickly into Laos.

Mr. Tuấn emphasized: “According to statistics from Lao Bảo International Customs, in the first six months of the year, import–export activities generally recorded growth across all indicators. In particular, the value of exported goods increased by 33%, while the volume of export vehicles rose by 12%. The main exported products include consumer goods, garments, and rubber tires. We assess that Vietnamese exports will continue to increase in the coming period. We consistently instruct our officers to provide the most favorable conditions for exports. For export lanes, we strengthen information collection and risk assessment, and consignments are mainly classified under green and yellow channels, with red-channel inspections kept to a minimum. As a result, goods passing through the border gate are largely subject to document checks only, helping to reduce costs for enterprises.”

Customs Region IX further reported that during the first six months of 2025, Vietnamese enterprises opened a total of 20,930 customs declarations at three international border gates—Lao Bảo, La Lay, and Cha Lo—in Quảng Trị Province. The volume of goods exported to Laos reached 3,023 thousand tons, with total export turnover amounting to USD 1.115 billion. This represents a significant figure compared to previous years.

It is evident from the recent export activities of domestic enterprises through the Lao Bảo International Border Gate in Quảng Trị Province that the Lao market has increasingly been recognized as having tremendous potential for Vietnamese goods. In the coming period, Vietnamese enterprises should further strengthen their efforts and fully leverage the valuable assets of the special bilateral relationship and the strong trust Lao consumers place in Vietnamese products. This will require improving product and service quality, intensifying trade promotion and product branding activities, and developing effective distribution channels to ensure that Vietnamese goods reach Lao consumers in a convenient and timely manner.