Vietnam’s Cashew Industry Stays Resilient Amid Global Headwinds

Exports Hit Record $4.37 Billion in 2024, Market Diversification Gathers Pace

Hanoi, May 7, 2025 — Vietnam’s cashew industry continues to display remarkable resilience and adaptability in 2025, holding its position as a global leader in the sector despite mounting trade challenges and shifting market dynamics. 

🚀 Record-Breaking Performance in 2024 

Vietnam achieved a historic milestone in cashew exports, with shipments valued at $4.37 billion in 2024, representing a robust 20.2% year-on-year growth. This figure shattered the previous record of $3.63 billion set in 2021, underscoring the sector’s recovery and strength post-pandemic. The data, reported by The Investor, reflects heightened global demand and the effectiveness of Vietnam’s export strategies. 

🌍 Maintaining Global Leadership 

For the 18th consecutive year, Vietnam retained its crown as the world’s largest cashew exporter, contributing over 80% of global cashew kernel exports, according to commodity data from Tridge. The country’s dominance is attributed to its established processing infrastructure, export-oriented policies, and longstanding trade relationships with key markets. 

🌐 Market Diversification in Response to U.S. Tariff Threat 

A major concern in recent months has been the potential imposition of 46% tariffs on Vietnamese cashew exports to the United States, one of its biggest markets. In response, cashew exporters are aggressively pursuing new trade routes, with particular focus on the Middle East, Germany, and Canada, reports SGGP English Edition and VietNamNet News. Exporters are recalibrating their strategies to buffer against dependency on any single market and reduce vulnerability to protectionist policies. 

📉 Mixed Start to 2025 

Despite a record year in 2024, Vietnam’s cashew sector faced headwinds in the first quarter of 2025. Exports to the U.S. fell by 14.5%, while those to China dropped 25.6% in volume, according to Vietnam Economic Times (VnEconomy). However, diversification efforts bore fruit, as exports to the Netherlands surged by 43.5% in value, signaling successful penetration into new European markets. 

🤝 Strategic Partnerships for Sustainability 

Vietnam is also expanding international collaborations to ensure long-term sustainability in the cashew supply chain. Notably, it is strengthening trade ties with Nigeria, one of the world’s largest raw cashew suppliers. Through joint ventures and technology transfers, the two nations aim to improve local processing capacity and quality standards, as reported by the News Agency of Nigeria, News Central, and the African Cashew Alliance. 

🌾 Industry Outlook 

While Vietnam’s cashew industry continues to face fluctuating raw material costs, geopolitical uncertainties, and logistical challenges, it remains fundamentally strong. Its diverse market base, ongoing reforms, and strategic partnerships are expected to support sustained growth in the years ahead.

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