Vietnam and the EU established diplomatic ties in 1990. Over the past 30 years, their trade and investment relations have developed constantly. Reports by the Ministry of Industry and Trade show that two-way trade turnover increased 13 folds from 4 billion USD in 2000 to nearly 56 billion USD last year. Vietnam exported to the EU 42 billion USD of commodities and imported goods worth 14 billion USD. Vietnam’s export staples are garments, textiles, leather and footwear, mobile phones, computers, and agricultural products. In the first half of this year, 27 EU countries and territories invested in 3,200 projects in Vietnam totaling 53 billion USD.

Hoang Quoc Vuong, Deputy Minister of Industry and Trade, said EU-Vietnam Free Trade Agreement (EVFTA) and the EU-Vietnam Investment Protection Agreement (EVIPA) are expected to open new cooperative opportunities for businesses and people.

Miriam Garcia Ferrer, Head of the Trade and Economics Section of the EU Delegation to Vietnam, said big trade surplus recorded in the past will turn into higher quality benefits thanks to the EVFTA, a comprehensive and inclusive agreement covering trade, tariff, technical barriers, and interests of involved parties. She recommended that in order to benefit from tariff advantages and increase export to the EU, Vietnamese businesses have to improve product quality to EU standards and update market information and rules of origins.

Jean Jacques Bouflet, Vice Chairman of EuroCham Vietnam, said EU’s investment will flow in to Vietnam under EVFTA and EVIPA. He said EU businesses tend to cooperate with local businesses to build production chains, meaning Vietnamese businesses will have opportunities to join the value chains. He called on businesses to reform their management and production methods to catch up with EU standards for mutual benefits.