Panels & Furniture Asia January/February 2024

MARKET REPORT
Why now is the best time to
tap into Vietnam’s domestic
furniture market
Known for their export furniture market, how
does the domestic demand for furniture fare
in Vietnam, especially in Hanoi?
Studies and surveys done by the
Vietnam Wood and Forest Products
Association (VIFOREST) have shown
that the domestic wood furniture
market boasts a US$5-6bn demand.
With a population of nearly 100
million, Vietnam consumes furniture
of around 6m Vietnamese dong
(US$247) per household on average.
Considering the fact that there
are 70-80 million metres square
of new houses built every year in
Vietnam, this figure is easily met
or even surpassed to satisfy the
wood demand for applications
such as furniture and furnishings
in commercial properties, as well
as for structural and interior design
purposes, like scaffolding, flooring,
roofs and trusses, and more.
This figure might not be as
impressive as the furniture exports
for Vietnam, but it should not be
looked down on, especially in light
of the economic downturn for
already the past year. If the US and
Europe markets are not doing well,
it is time to look inwards. Many
businesses have affirmed that
they turn to the domestic market
in difficult times as an alternative
source of revenue.
The domestic furniture industry
thrives in the mid-to-high end
furniture segment, and is particularly
well-received in the interior design
14 PANELS & FURNITURE ASIA | JANUARY / FEBRUARY 2024