During last week’s official visit to Romania where he used to study and work as a diplomat, Prime Minister Pham Minh Chinh told leaders and companies that Vietnam is willing to boost its cooperation with Romania, particularly in the digital, green, circular, and sharing economies.

Romania playing active role in Vietnam, illustration photo/ Source: freepik.com

“Vietnam welcomes all foreign investors including those from Romania, and will create the best conditions for them, so that they can make long-term, effective and sustainable investment in Vietnam in the spirit of ‘harmonising benefits and sharing risks’. We have been making great efforts to improve the investment and business climate in favour of businesses and investors,” PM Chinh stated while attending the Vietnam – Romania Business Forum.

Vietnam is keen to advance collaboration in sectors where Romania possesses expertise and Vietnam has burgeoning potential, PM Chinh said, including education, culture, labour, and the burgeoning spheres of digital economics, green and circular economies, science and technology, AI, and emerging industries.

The Vietnamese leader said that Vietnam has focused on three breakthrough strategies on institutions, human resources and infrastructure which will create favourable conditions for enterprises and investors to reduce input costs and improve competitive capacity, thus having effective, sustainable and long-term development in the country.

While paying a visit to Prahova province, which is Romania’s industrial, oil, and gas hub, PM Chinh said that Vietnam is expanding some oil refineries, constructing gas power plants, and investing in the sector. This is an opportunity for Prahova companies to cooperate with Vietnam.

“We stand ready to cooperate. Romanian enterprises can come to invest and support the transfer of technology, human resources and equipment in the oil and gas industries,” the PM said.

Romanian Minister of Economy, Entrepreneurship and Tourism Stefan-Radu Oprea called on Romanian businesses and Prahova province to increase investment in Vietnam.

Minister Oprea underlined that Vietnam has achieved rapid economic growth in many years, with a population nearing 100 million. The nation has also inked a large network of free trade agreements.

He also said that Romania can function as a gateway for Vietnamese products to penetrate the European market and its population of 500 million.

During his visit to the National Institute for Research and Development in Informatics (ICI) in Romania last week, the Vietnamese leader urged collaboration between Vietnamese and Romanian experts in research and development projects, focusing on AI, cybersecurity, and the application of IT in various social domains.

The ICI is responsible for establishing the internet infrastructure and data centres in Romania, developing cloud computing projects for state institutions, building supercomputers, establishing a cyber diplomacy centre, pioneering blockchain technology development, setting up a mobile data recovery centre, and creating virtual trading platforms.

“The ICI stands ready to collaborate with Vietnam in advancing these fields,” said ICI general director Adrian Victor Vevera.

Vietnam has mobilised all resources to serve the rapid and sustainable development of the country, relying on sci-tech and fostering innovation. PM Chinh proposed the ICI prioritise Vietnam as a key partner in expanding international cooperation.

In the near future, both sides will send working delegations to jointly formulate plans and cooperation programmes, he said, also suggesting that the ICI assist Vietnam in training high-quality human resources in this sector.

According to Vietnam’s Ministry of Industry and Trade, two-way trade between Vietnam and Romania reached nearly $431 million last year, marking a 1.4 per cent increase from 2022. Vietnam’s exports to Romania decreased by 12.5 per cent to $282.3 million, but imports from Romania surged by 44.8 per cent to nearly $148.7 million.

Key exports from Vietnam to the European market consist of machinery, equipment, textiles, aquatic products, computers, electronic products, steel, and coffee. Meanwhile, Vietnam imports wheat and maize, animal feed, pharmaceuticals, wool fabrics and wood.

Trade with Romania accounts for just 0.06 per cent of Vietnam’s total foreign trade, while trade with Vietnam makes up only 0.2 per cent of Romania’s foreign trade.

As of December 20, 2023, Romania had six valid projects in Vietnam with a total registered capital of $1.68 million, ranking 92th out of 144 countries and territories investing in Vietnam. Meanwhile, Vietnam recorded one project worth $600,000 in Romania, ranking 65th out of 80 destinations of Vietnamese outbound investment, according to Vietnam’s Ministry of Planning and Investment.

Romania has played an active role in assisting Vietnam with the EU-Vietnam Free Trade Agreement negotiations, leading to its ratification and implementation. Moreover, Romania was among the pioneering EU members to endorse the EU-Vietnam Investment Protection Agreement, showcasing its support for enhanced economic integration.

During the height of the COVID-19 pandemic, Romania distinguished itself as the first EU country to provide vaccine aid to Vietnam, an act which was pivotal in enabling Vietnam to manage the crisis and pave the way towards economic resurgence.

Additionally, both nations have inked an education cooperation programme to last until 2026, deepening their collaborative efforts in education. There is a concerted push to fortify local-level cooperation, which promises to yield mutually beneficial outcomes and further the partnership between Vietnam and Romania.

Pham Minh Chinh, Prime Minister My lasting impressions of Romania’s stunning landscapes, its industrious and warm people, and the hospitality and kindness I met at every turn, remain vivid in my heart. The formative years I spent in Romania, immersed in my studies and work, are indelibly etched in my mind. I fondly recall the endearing faces, voices, laughter, and moments shared with my Romanian mentors and comrades whose significant impact steered us international students towards our present successes. Both myself and fellow alumni, particularly the Vietnamese students who shared this journey, owe a debt of gratitude to the educators, peers, and gracious citizens of Romania who provided unwavering support throughout our academic sojourn. The skills and knowledge honed in this nurturing environment have been instrumental in our ongoing contributions to Vietnam’s development and defence. Moreover, they underpin our active role in nurturing the longstanding friendship and cooperative spirit between our nations. Returning to Romania is both a joy and an emotional experience for me. I hold on to the belief that this visit will serve as an impetus for further enrichment, deepening, and practical advancement of our amicable ties. Such enhancement serves not just our peoples, but fosters peace, collaboration, and progress on a regional and global scale.