Chemicals are present in almost all consumer products, from toys and childcare articles to food contact materials, cosmetics, furniture, electronics, and textiles. Therefore, the scope of the EU's CSS is assessed to be very broad, not limited to a specific product group and not only confined to products manufactured in the EU but also extending to imported goods consumed in this market.

The EU is known as a crucial export market for many Vietnamese goods (subject to the CSS) such as electronics, textiles, food (food contact materials), and furniture. Consequently, the enactment/amendment/supplementation/upgrade of chemical regulations under the CSS is projected to significantly impact the production and export of related Vietnamese goods to the EU when these regulations officially come into effect.

Table 1: EU Imports of Selected Goods (Affected by CSS) from Vietnam (2019-2023)

Unit: Million USD

It can be seen that Vietnam's exports of most related goods to the EU have recorded significant growth in the past five years. The potential for Vietnam to export these goods to the EU is also considered very promising, as the EU's import demand is substantial while Vietnam's market share for corresponding goods in the EU remains relatively modest.

Table 2: EU Import Demand and Vietnam's Market Share for Selected Goods (Affected by CSS) in 2023

Therefore, the implementation of comprehensive/inclusive action plans under the CSS will significantly affect the production and export of related Vietnamese goods (especially electronics, textiles, and food contact materials) to the EU in the coming period.

Source: Center for WTO and International Trade - VCCI

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