The Vietnam-EU free trade agreement will take effect in 2018

Mr. Bruno Angelet said that currently the EU is a trading partner and also the second largest export partner of Vietnam. The EU accounts for up to 20% of exported goods in Vietnam, of which prominent products are electronics and phones, accounting for a large proportion of up to 30% to the EU.

The EU is also a major investor in Vietnam. From 6th position in 2014, the EU has risen to 3rd position in investment in Vietnam.

According to Mr. Bruno Angelet, the cooperative relationship between Vietnam and the EU has developed comprehensively in both trade, investment and public development, making it difficult for other partners to compare.

Mr. Bruno Angelet also said that before the Agreement takes effect, EU investors are very anxious and interested in what the Government and Vietnam will do to prepare to attract investment in the next two years.

Currently, the wave of EU investment in Vietnam is showing many positive signs, but investors are very interested in the investment environment, social responsibility, working conditions for workers, bringing added value, market, not only providing technology but also production...

In addition, the fact that up to 99% of tariff lines have been cut to 0%, and the roadmap for Vietnam is 10 years while the EU is only 7 years, is a favorable opportunity to help Vietnamese exports prepare and penetrate deeper into the EU.

According to Mr. Bruno Angelet, 2 years is also favorable for Vietnamese exports to prepare and penetrate deeper into the EU. He firmly believes that with the implementation of this agreement, Vietnam will greatly improve its competitiveness in ASEAN, especially in the fields of agricultural products and honey...

Mr. Bruno Angelet also said that the Agreement will have a process that needs to be approved before it officially takes effect, expected in 2018. Therefore, 2 years is appropriate for the two sides to prepare and reform the law, effectively implement the agreement and the EU will also commit to providing technical support to Vietnam.

Specifically, the EU will support 14 million Euro to help people have better access to laws and policies; support Vietnam in renewable energy and rural reform, and soon sign a forest product cooperation agreement with Vietnam; Technical support in the field of food safety, especially support for SPS animal and plant quarantine...

In addition, the EU will also support the Ministry of Finance to improve public financial management capacity and ensure fiscal balance.

Because currently, according to the commitments of FTAs, tariff reduction will have a significant impact on Vietnam's finances.