How To Find Wood And Bamboo Suppliers In Vietnam // Wooden Goods Factories In Vietnam
Vietnam, a country blessed with rich natural resources and a long-standing tradition of craftsmanship, has carved out a niche in the global market for its exquisite wood and bamboo-made goods. These products, celebrated for their quality, sustainability, and unique designs, blend traditional techniques and modern aesthetics. This makes Vietnam a destination for businesses and individuals seeking to source wooden and bamboo items, ranging from furniture and home decor to personalized gifts and eco-friendly utensils.
This blog post is designed to be your comprehensive guide to navigating Vietnam's vibrant world of wood and bamboo products. Whether you are a home decor retailer, a sustainable products brand, an interior designer, or a lover of handcrafted goods, understanding how to source these items from Vietnam is vital to unlocking a world of quality and creativity.
We will delve into the heart of Vietnam's wood and bamboo manufacturing sectors, exploring the regions known for their specific crafts and products. You'll learn about the variety of items available, the unique qualities of Vietnamese craftsmanship, and the sustainable practices often at the core of these industries.
Moreover, this post will offer practical advice on identifying and partnering with reliable suppliers, ensuring product quality and ethical sourcing, and navigating the logistics of importing from Vietnam. We will also touch on the cultural nuances and business practices integral to successful partnerships in this sector.
Join us on this journey through Vietnam's lush landscapes and skilled workshops, where every piece of wood and bamboo tells a story of tradition, innovation, and artistry. Your adventure in sourcing these exquisite goods begins here, opening doors to products that look good and tell a tale of sustainability and cultural richness.
In 2019, US companies exported roughly $350M of wood products to Vietnam (Vietnam is the 3rd largest export market for US wood). Vietnam’s wood processing industry is worth $10B/year as of 2020 and is expected to rise even more. The revenue generated by wood exports was only $1B in 2014, which grew tenfold over 15 years. Vietnam has a thriving furniture manufacturing industry that relies heavily on wood. To manufacture wooden products, our suppliers purchase wood locally and import them from countries worldwide.
Top Wood Products In Vietnam: What You Can Manufacture
The following wooden products can be manufactured in Vietnam:
✔Furniture in Vietnam (beds, chairs, tables, hangers, cabinets, shelves).
✔Kitchenware in Vietnam (cups, bowls, spoons, cutting boards, straws, brushes).
✔Toys in Vietnam (dollhouses, puzzles, educational toys, magnetic toys).
✔Decorations in Vietnam (clocks, picture hangers, sculptures).
✔Souvenirs/gift items in Vietnam (many can be handcrafted in craft villages).
✔Bamboo products in Vietnam (a special category of handcrafts).
The Wood Manufacturing Industry In Vietnam Overview
Vietnam has a large wood industry with over 5,000 companies conducting wood processing activities - many partner with us and manufacture products for our clients. Most wood-processing activity is near Ho Chi Minh City (HCMC) and the surrounding southern provinces. Similar to the plastics industry, the largest factories are located in the South: Binh Duong, Dong Nai, and Binh Dinh are the centers of wood processing in Vietnam.
Most wood processing plants are domestically owned—local Vietnamese entrepreneurs own 4,000 out of 5,000. Only 20% of wood companies are foreign-owned, and the government classifies them as “Foreign Direct Investment”/FDI enterprises. FDIs have invested over $6B in the Vietnamese wood sector, most of which are companies opening direct branches in the country. Last year, 100 new wood processing enterprises were opened by foreign companies, with an investment nearing $800M.
The furniture industry in Vietnam is worth $5B/year as of 2019. The furniture and wood industry increases at an average rate of 20-25% annually. Compared to 2018, there was a 25% increase in the total output in 2019. New indications show that despite COVID-19, Vietnam’s furniture industry surpassed the 2019 record during the first three quarters. The biggest wooden exports are chairs, tables, plywood, and wood panels.
The main difference between the wood industry and other large industries in Vietnam, such as textiles and footwear, is that Vietnam is not reliant on China’s materials. Vietnam is relatively independent in the wood sector, as shown by its stability during the COVID-19 outbreak in 2020.
Vietnam imports only plywood and veneer panels from China. Few suppliers also import laminated wood from China. Most suppliers are from other Asian countries such as Korea, Thailand, Taiwan, and Malaysia. Timber and logs are the most important wood products in the wood processing sector, most of which come from domestic suppliers.
Forests In Vietnam: Types Of Wood
Vietnam has rich and biodiverse forests with hundreds of species represented, including many endemic species. In addition, a dozen ecosystems in the country help suppliers source the wood needed. The most significant biological group is the tropical evergreen rainforests, with rich vegetation and plenty of biodiversities.
The distribution of forest area by type is the following:
Timber: 8,9M hectares.
Mixed forests (bamboo and timber): 1,14 million hectares.
Bamboo forests: 0,24M hectares.
Areca (palms/coconut trees): 0,0004M hectares.
Vietnam has evergreen forests on the limestone mountains—many shared with China. There are also deciduous forests in Vietnam with a year-long dry season and Dipterocarp tree species. On the coast, there are mangrove forests. Melaleuca forests are found in areas with saturated conditions near the Mekong River. There are also bamboo forests where suppliers can extract bamboo locally.
Facts About The Vietnamese Wood Industry
Most domestically grown wood used for manufacturing in Vietnam comes from plantations. Local plantation owners produced over 16 million m3 of logs last year. As there are logging bans in place for forests belonging to the government, mass plantation forests (not including scattered trees) account for billions of dollars worth of logs.
Vietnam is one of the world’s largest wood export economies, with $10B in exports as of 2019. The largest wooden export is timber, with $3.5B of exports. The main export markets are the US, which has 50%, Japan, which has 12%, China, which has 12%, and EU countries.
There are 5,000 wood processing factories in Vietnam. These companies use raw wood to process, while others manufacture consumer goods using wood. Only 5% are state-owned, while 95% are privately owned companies. Most wood processing factories are small (93%), medium-sized (5.5%), and few are large (1.5%).
In 2019, the wood processing industry used over 46 million m3 of timber. 36 million m3 were exported internationally, and domestic manufacturers used 10 million m3 for furniture and other wood manufacturing.
The import totals for raw timber and timber products amounted to $2.5B in 2019 (data from Vietnam Customs). Most wood imports originated from China, the US, the EU, and Africa.
Vietnam has low labor costs in the wood processing industry. The government has an open policy for foreign direct investment, welcoming all foreign companies who want to manufacture wood products in Vietnam.
Forest Ownership In Vietnam
The Ministry of Agriculture and Rural Development (MARD) released data about forest ownership in Vietnam. The following is the main split between private and public/state ownership:
41% privately owned. Over 20% is managed by domestic households/entrepreneurs, large economic organizations manage 12%, and residential communities manage 8%.
58.7% state-owned. The Vietnamese government owns nearly 2/3rds of forestry in the country. The forest management boards directly manage 20%, the Communal People’s Committees manage 20%, special forest management boards manage 15%, the Army manages 1.5%, 1.5% is managed by Science and technology boards, and 0.1% is managed by FDIs (foreign enterprises).
The ministry estimates that over 26 million cubic meters of forestry were cut down in 2019. This was converted to 13 million metric tons of wood chips. The majority ended up in the export market, destined to manufacture paper for the US, China, and Japan. For furniture, rubber and acacia were preferred. However, these have a limited domestic supply of 2 million cubic meters annually. Vietnamese suppliers import millions of cubic meters of furniture.
Bamboo Industry In Vietnam
The bamboo processing industry is highly developed in Vietnam. Hundreds of factories specialize in bamboo processing, and manufacturers can use the material to manufacture furniture, clothes, and handicrafts. Vietnam is the 3rd largest exporter of bamboo internationally. In addition, there are pure bamboo forests and mixed timber/bamboo forests in virtually every region of Vietnam.
Vietnamese suppliers prefer working with bamboo because the plant grows fast and has a low initial investment cost. Studies have shown that bamboo plantations can increase household income if planted around forest areas. In addition, clients pay more for bamboo products—up to 10-20% more than timber.
There are yearly bamboo industry conferences, such as the Network of Bamboo and Rattan (INBAR). This is where you can find thousands of bamboo products on display, from household furniture to fashion and beauty products. In addition, some bamboo products are used as construction materials.
The Vietnamese government is trying to make bamboo a core part of its rural development strategy. The president of the Ministry of Agriculture & Rural Development said, “We’re going to integrate a bamboo program in our new National New Rural Development Program.” The government expects bamboo plantations to help rural regions develop faster by attracting new investment.
Vietnam’s Wood Import Economy: Wood Types
Vietnam imports $2.5B worth of wood on an annual basis. This presents an opportunity for US wood companies who want to export to the country. Timber is the most in-demand, with over 2.6 million cubic meters imported every year ($1B), followed by logs with 2.3 million cubic meters ($700M) and wood panels ($700M).
Vietnam’s biggest exporter of logs and timber is the United States, followed by the EU, Africa, Chile, and Brazil. Wood panels are mostly imported from neighboring countries such as Malaysia and Thailand.
Lacey Act: US Regulations For Wood Exports
The Lacey Act is the main regulatory act that all US businesses should abide by. This new act allows the US government to seize illegally harvested wood and fine or jail individuals/businesses who imported the wood into the US. Depending on the origin of the wood, the Lacey Act can impose significant penalties on a company if it imports wood products such as furniture, plywood, flooring, picture frames, paper, and lumber. Unfortunately, most people were fined without knowing their wood was tainted.
The fines are issued by the US Department of Justice (DOJ). They warn business people that they will use the act to prosecute everyone who imports wood, violating local laws in the country where it was originally harvested. This was a significant issue for timber harvested in African countries such as The Democratic Republic of Congo, where millions of hectares of forest were cut down and imported to the United States. A violation of the Lacey Act can also lead to charges of smuggling and even money laundering. This is why you must be 100% certain the wood you’re importing is legal.
Lacey Act: How To Make Sure Your Wood Is Legal
Many kinds of wood used for manufacturing in Vietnam are imported from the United States, meaning the finalized products will be easily re-imported. Vietnam also imports from neighboring countries like China and Malaysia, which have developed forestry sectors and can provide evidence of the wood’s origin. Here’s how to make sure your wood abides by the Lacey Act:
Get certificates of origin. The key is to ask many questions about wood sourcing and detailed proof of its direct origin. You’ll need certificates showing the wood’s origin from the harvested area. Example: If it was harvested at a plantation in Cambodia and imported to Vietnam, the records have to show how it ended up in your supplier’s factory. We always check this with our clients and lawyers to ensure you have zero problems importing to the US.
Know your sources. Ensure you can trust the sources and that they won’t be able to falsify records and certificates that could compromise the import process upon docking (when the customs office checks the evidence). This is why you should only work with reliable suppliers. We know the best suppliers in Vietnam that can provide hard evidence of the origin of the wood.
Vietnam Wood Exports To The EU
Importing Vietnamese wood products to the EU is easy. There are tax incentives for importing wooden products from Vietnam to the EU. In addition, the Vietnamese government teamed up with Finland and the Netherlands on a “Country-Led Initiative (CLI) On Enhancing And Promoting Legal Timber Production And Trade.” This was based on the UN Forum of Forests framework. The Vietnamese MARD, which is in charge of most forests in the country, commissioned the report in light of higher international requirements to verify the legality of wood.
Top Furniture Manufacturers In Vietnam: Full List
The following is a list of furniture manufacturers in Vietnam that can produce wooden furniture from custom designs or their collections:
01 // Inside Saigon
Inside Saigon is a group that has operated as a furniture manufacturer, design developer, and exporter for over ten years. Inside Saigon is based out of Binh Duong province, HCMC. They have the latest furniture production technology and provide product development from the 3D/Autocad design stages to production and quality control.
The company offers incentives such as free samples when you’re starting and has a large factory near the capital. Inside Saigon also has collections with hundreds of furniture pieces that buyers can instantly assemble for your company.
02 // Woodnet
Woodnet is an advanced interior furniture manufacturer with offices in HCMC. The company caters to Western investors who want to manufacture wooden furniture in Vietnam and has English-speaking staff. Woodnet exports over 1,800 furniture containers annually and has hundreds of permanent clients. It’s one of the fastest-growing furniture manufacturing companies in Vietnam.
Wooden successfully exported furniture to over 50 countries internationally. Woodnet is famous for its unique interior designs, specifically for the bedroom and living room. The company presents dozens of new design ideas every month. The main advantage is that they don’t have a higher MOQ than other manufacturers, making them ideal for start-up furniture companies.
03 // Phan Le Furniture
Phan Le Furniture is a Vietnamese furniture manufacturer specializing in wood interior furniture. Their main products are wooden beds, tables, chairs, cabinets, bookcases, and more. Phan Le Furniture uses mostly pine, oak, and acacia trees for the US market. They have one of the country’s newest factories, and their furniture meets the import quality standards of the US and EU. They train highly skilled workers to assemble custom designs based on clients’ needs. If you need modern furniture made from quality wood, they should be one of your primary considerations.
04 // Dewberry
Dewberry is an international furniture design company with a strong presence in Vietnam. The company has operated for over 40 years, and its main headquarters are in Normandy, France, while its factories in Vietnam are located near HCMC.
Dewberry has two factories in Vietnam spread across 400,000 sq. ft. that currently employ 700 full-time staff. Their main specialty is traditional interiors based on traditional French furniture, but they also produce contemporary furniture pieces. Dewberry has one of the most active design teams that outputs six new seasonal collections yearly and has over 10,000 pieces ready for production.
05 // Amocc Furniture
Amocc Furniture is a Japanese furniture conglomerate that manufactures many pieces of furniture in Vietnam. Founded in Oshawa, Japan, in 2010, it has grown to become one of Asia’s largest furniture manufacturers.
Amocc’s factory was set up in Ho Chi Minh City in 2014 - spanning 100,000 sq. ft. and employing 120 full-time staff. The factory collaborates with top timber providers in Vietnam and has access to world-class machinery and hardware for furniture assembly. In addition, they accept custom orders and can manufacture directly from their available designs.
Top Bamboo Manufacturers In Vietnam (For Handcrafts)
The bamboo handicraft industry is slightly different from timber and other wood manufacturing. These manufacturers produce smaller-scale products that can be custom-designed according to your wishes. We could negotiate a larger order with a bamboo supplier, but it can take longer to source it.
01 // Bamboo Mamboo
Bamboo Mamboo is a famous supplier of bamboo and other eco-friendly materials to international businesses. They also accept custom orders and can make bamboo products such as drinking straws. The company only uses eco-friendly materials and minimal or no plastic. Their mission is to reduce plastic use on a global level by using more bamboo.
Bamboo Mamboo is based in Vung Tau, Vietnam. They source their bamboo from local farming communities and maintain good relationships with the locals by providing them with job opportunities and financial assistance to improve local living conditions.
02 // Pefso Company Limited
Pefso Company LTD. is a well-known handicrafts company and one of Vietnam's largest exporters of handicrafts. Pefso focuses on handicrafts made from bamboo and other materials like seagrass. Pefso has one of the strictest quality control and management systems to ensure you can import products without fault. They use Vietnamese-sourced bamboo and rattan for manufacturing, including high-end auxiliary machines. Pefso LTD was established in 2009, and its products are exported to 20 countries internationally.
03 // Bamboo Master
Bamboo Master is owned by an American ex-pat in Vietnam who started the company after leaving his furniture business in NYC and permanently moving to Vietnam. Bamboo Master claims to use the “highest bamboo quality in the world.” In addition, the company has an advanced supply chain and quality control management system, making it easy to import your products to the US. James studied hard in Japan to become a master wood furniture maker and started Bamboo Master in Vietnam. The company takes custom orders for bamboo furniture products.
04 // Eco Bamboo Vietnam
ECO Bamboo Vietnam is one of the newest bamboo furniture companies that aims to become one of the region's biggest exporters of bamboo products. Their slogan is “For A Green Life.” Their products are made entirely from locally sourced bamboo from Vietnamese forests. This means the importation process will be streamlined, as all the bamboo is grown domestically. Their products are all handcrafted by professional craftsmen. In addition, ECO Bamboo takes custom orders from international customers.
05 // Oriental Home
Oriental Home is a leading Vietnam-based bamboo gift company. The company makes handcrafted items using eco-friendly materials that they ship internationally (mainly to NA, EU, and Australia). Home Oriental uses bamboo to manufacture dishes, trays, baskets, pots, vases, candle holders, frames, containers, boxes, mirrors, and more. In addition, they offer other advantages for customers who want top-notch spun handcrafted bamboo gifts. For example, their tableware and decorative home accessories are very in demand, and they only use recycled materials aside from bamboo (ex., wood fiber, silk, coconut shelf, etc.).
Cosmo Sourcing // Your Trusted Partner In Vietnam
Please email us at info@cosmosourcing.com
If you are interested in sourcing from Vietnam, contact the Cosmo Sourcing team. We have been in Vietnam since 2014 and have the skills to find you the best supplier possible. We are also established in China and are among the only companies that can find suppliers in China and Vietnam and pick the one you think is best.
Our Vietnam Sourcing service allows you to access new manufacturers that you would not be able to in China and avoid the recent Tariffs. Our services are designed to take your idea, turn it into a product, and ship it to the final destination. Cosmo can do everything from creating a product spec sheet, validation, sourcing, ordering and evaluating samples, arranging inspections, finding freight forwarders, quality assurance, negotiations, and even working with prep and fulfillment centers in the States. We aim to handle every single step of your business in Vietnam for you.
We have helped clients ranging from Fortune 500 to small FBA sellers. So don’t hesitate to contact us and let us know how we can help you.