President Tran Dai Quang and Iranian Ambassador to Vietnam Saleh Abidi
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The President underscored the Vietnamese State’s policy of paying heed to broadening exchanges and affiliations between the two countries’ localities, seeing it as an important factor to bolster the extensive strategic partnership.
Ambassador Saleh Abidi said with its strengths in nanotechnology and cell and space technologies, Iran wishes to partner with Vietnam in these fields. Iran is determined to raise its two-way trade and economic cooperation with Vietnam, the diplomat said.
The two countries have seen progress in relations since diplomatic ties were established on August 4, 1973. Iran opened its embassy in Hanoi in 1991, and the Vietnamese Embassy was established in Tehran in 1997.
In September 2009, the Vietnam – Iran Friendship Association was founded, aiming to enhance the two peoples’ friendship and mutual understanding, along with cooperation in economics, trade, science-technology, education-training, and culture.
In October 1995, Iranian President Akbar Hashemi Rafsanjani made a State visit to Vietnam. Speaker of the country’s parliament Akbar Nateq toured the Southeast Asian nation in December 1998. Iran’s Deputy Foreign Minister and Deputy Minister of Industry, Mine and Trade also made trips there in March 2015 and July 2016, respectively.
With a population of over 80 million, Iran is a major Middle Eastern market for Vietnam, which in turn is a gateway to ASEAN markets for Iran. Vietnam’s main exports to the Islamic Republic include aquatic products, rice, tea, coffee, pepper, cashew nuts, bamboo and rattan products, rubber and rubber products, plastic products, machinery, electronic components, and apparel.
Iran mostly ships petrochemical products, metal, wheat, and apparel and footwear materials to Vietnam. Despite considerable potential, the countries’ economic partnership remains modest. Bilateral trade reached 106.7 million USD in 2015, including 77.2 million USD of Vietnamese exports. The figure was 54 million USD in the first half of 2016, including 35.3 million USD worth of shipments from Vietnam.
The two sides have inked various agreements, including a memorandum of understanding (MoU) on cooperation between the Vietnam Chamber of Commerce and Industry and the Iran Chamber of Commerce, Industries, Mines and Agriculture; an MoU on cooperation in fisheries between Vietnam’s Ministry of Agriculture and Rural Development and Iran’s Ministry of Agriculture in 2009; an MoU on cultural cooperation in 2013; and another MoU on cooperation between the State Bank of Vietnam and the Central Bank of Iran in 2016.
On the back of various signed agreements, Iran is keen on working with Vietnam on industry, petroleum, construction, transport, cement production and fertiliser, which are also the Middle Eastern country’s strengths. Iran also expects to import more farm produce from Vietnam.
The Irani government gives top priority to offering incentives that attract foreign direct investment and to adopting technological advances. It is currently upgrading oil and gas and socio-economic infrastructure at a cost of hundreds of billions USD – more attention will be paid to oil and gas, aviation, mining and steel.
