LAST_UPDATEFri, 22 Jun 2018 11am

Vietnam-EAEU Free Trade Agreement Reaps Positive Outcomes

MOSCOW, Oct 6 – Vietnamese Trade Counsellor in Russia Duong Hoang Minh highlighted positive outcomes in the one-year implementation of the free trade agreement between Vietnam and the Eurasian Economic Union (EAEU), Vietnam News Agency (VNA) reported.

In a recent interview granted to VNA in Moscow, he said the two-way trade has reached US$2.79 billion in the first eight months of 2017, a year-on-year rise of 23.5 per cent.

Vietnam exported goods to the union worth US$1.97 billion, up 29.5 per cent, while the EAEU exports to the Southeast Asian nation were US$825 million, up 11.3 per cent, according to the EAEU statistics.

Figures from the Vietnam Customs showed that trade between Vietnam and Russia hit US$2.3 billion in January-August, up 29 per cent against the same period last year, in which Vietnam's exports were valued at US$1.43 billion, up 36.8 per cent, and Russia's shipment was US$859 million, up 18 per cent.

Vietnam’s main export products include seafood, vegetable and fruits, garment-textile, footwear, electronics and spare parts, Minh said adding that the optimistic outcomes were attributed to the enforcement of the EVFTA, which reduces and removes up to 90 per cent of tax lines.

Over the past year, Vietnamese and Russian businesses have increased trade promotion activities and actively worked to seek partners in the respective countries, he said.

However, Vietnam’s exports to Russia still meet some difficulties such as insufficient added value products, payment, and geographical distance, which reduces the competitiveness of made-in-Vietnam goods compared to other countries like India, China and Thailand, Minh said.

He suggested promoting communications about the Russian and EAEU markets among Vietnamese businesses to create their trust and encourage them to actively seek partners.