Vietnam is currently ranked the world’s 2nd largest coffee producer based on the 2025/2026 crop year with 31.7 million 60kg bags, accounting for 18% of global output, far behind Brazil with 63 million bags and controlling 35% share of the market, according to latest data from USDA.
Nevertheless, Vietnam far surpassed its competitor Columbia which ranked 3rd with 12.5 million bags.
Vietnam’s strong position is attributed to its expansion of robusta coffee production, which is widely used in instant coffee, espresso blends, and commercial coffee products.
The growth of Vietnam’s coffee industry has helped Asia increase its share of global coffee production to 32%, up from less than 5% in the 1960s. The other major producer of coffee in Asia is Indonesia.
The industry however faces challenges from climate change including rising temperatures, reduced suitable cultivation areas, and higher plant diseases, which is expected to pose significant problems to farmers in this region. Meanwhile, falling global coffee prices could also impact its export value in the near term.
In the first 7 months of 2026, Vietnam exported 1.2 million tonnes of coffee worth US$5.45 billion, up 10.4% in volume but down 11.2% in value year-on-year. The EU remained the largest market with 40.6% share in value terms. Exports to countries like the US, Germany, Spain and Italy increased. Export to China also increased by 49.4% in volume terms to reach 44,000 tonnes valued at US$251.4 million.
Vietnamese coffee processors are paying greater attention to premium robusta, controlled fermentation, improved drying techniques, specialty coffee, certification, and direct relationships with buyers. More consistent quality and better traceability could help Vietnamese farmers and exporters capture higher margins and compete on value-addition and less reliant on price. Vietnamese producers are now eyeing on opportunities in roasted coffee, instant coffee, RTD products, specialty coffee, and branded products.
