The signing of the EU-Vietnam Free Trade Agreement (EVFTA) and the EU-Vietnam Investment Protection Agreement (EVIPA) after years of negotiations will create new driving forces to lift the Vietnam-EU partnership to a higher level, said Deputy Foreign Minister Bui Thanh Son.

Deputy Foreign Minister Bui Thanh Son

The two agreements, signed in Hanoi on June 30, feature wide-ranging commitments which cover many aspects of economy, trade, investment and sustainable development. They will open up huge opportunities for the two sides to make the best use of their potential and support each other, the official added.

According to the EU, the EVFTA is the most ambitious agreement it has ever signed with a developing country. The signing of the agreements affirmed the shared interests of Vietnam and the EU in promoting international economic connectivity, trade liberation and balanced, transparent and rule-based investment.

Along with the EU-Vietnam Framework Agreement on Comprehensive Partnership and Cooperation (PCA) reached in 2012, the two newly-signed agreements marked a significant transition in the Vietnam-EU comprehensive cooperation partnership. 

From a recipient of EU’s assistance for development, hunger eradication, poverty reduction and economic transition, Vietnam has entered an equal and mutual beneficial partnership with the EU under commitments of a new generation FTA, Deputy FM Son said. 

He cited many research works that showed the EVFTA will help Vietnam’s GDP grow by 4.6 percent and exports to the EU will surge 42.7 percent in 2025. Meanwhile, GDP of the EU will rise by an additional 29.5 billion USD and the bloc’s exports will increase by 29 percent in 2035. 

So far, the EU has signed and implemented FTA with four Asian nations - Japan, the Republic of Korea, Singapore and Vietnam, creating a cornerstone to foster the Asia-Europe economic connectivity and the ASEAN-EU cooperation. 

The Deputy FM stressed that Vietnam’s participation in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the EVFTA demonstrates the country’s strong commitment to reform and comprehensive global integration, creating chances to bolster external economy and complete the market economy mechanism.

It also showed Vietnam’s proactiveness in participating in and advocating the open and rule-based multilateral trade system, Son underlined.

The signing of the EVFTA and the EVIPA was among historic moments in the 30- year development of the Vietnam-EU relations, he noted, voicing his hope that the two agreements will soon be ratified by the National Assembly of Vietnam and the European Parliament.