The Hanoitimes - After the CPTPP came into force, Vietnam is expected to directly benefit from trade liberalization and improved market access.
A number of US officials have met Vietnamese partners with an aim to boost economic ties in the context that Vietnam is expected to benefit significantly from trade agreements including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the EU-Vietnam Free Trade Agreement (EUFTA).
On January 16, John Kerry, the US’s former State Secretary, met with Vietnamese Deputy Prime Minister and Minister of Foreign Affairs Pham Binh Minh to talk on multifaceted relations with the focus on green energy and education.
Vietnam is keen on green growth with significant investment in renewable energy while this is one of the US’s strengths with the operations of giant corporations in Vietnam and some seeking to invest in the Southeast Asian country.
Deputy PM Pham Binh Minh and former US State Secretary John Kerry in Hanoi on Jan 16. Photo: VTV
Meanwhile, education is one of the most important sectors in the cooperation with the operations of Fulbright University Vietnam while the number of Vietnamese students in the US tops 30,000.
John Kerry’s previous visit to Vietnam was in January 2018. This year’s visit takes place in the context of the 25th anniversary of a bilateral trade agreement and ahead of the 25th anniversary of normalization of the bilateral diplomatic relations in 2020.
On January 14, Deputy PM Pham Binh Minh met with former US Secretary of Commerce Carlos Gutierrez. The two discussed measures for a boost in trade and investment. In 2018, the two-way trade hit more than US$60 billion, representing a double-digit annual growth rate. So far, the US ranks 11th among investors in Vietnam with more than US$10 billion in 900 projects.
Deputy PM Pham Binh Minh and former US Secretary of Commerce Carlos Gutierrez. Photo: Chinhphu
A week ago, Minh met with the US Ambassador to Vietnam Daniel Kritenbrink, who said that Vietnam is the US’s leading trade partner in Southeast Asia. At the meeting, the ambassador said that a number of American firms want to expand their business in Vietnam.
Currently, giant American corporations in vietnam include Amazon, Cisco, Citibank, Coca-Cola, Google, Metlife, Pfizer and Agoda.
As a member of the CPTPP -- which took effect on January 14 in Vietnam --, Vietnam is expected to directly benefit from trade liberalization and improved market access. Most importantly, the agreement will help stimulate and accelerate domestic reforms in many areas. The CPTPP would increase Vietnam’s GDP by 1.1 percent by 2030, data by the World Bank showed.
Meanwhile, the EVFTA, which could be effective in January 2020 in the best scenario, is “once-in-a-decade” opportunity for Vietnam to integrate into the global value chain.
With such a vision, Vietnam is a dynamic destination for foreign investors, including those from the US.