Argentine Ambassador to Vietnam Marcos Antonio Bednarski

Could you describe the outstanding results of economic and trade cooperation between the two countries in 2024?

Vietnam and Argentina have maintained a strong economic and trade partnership over the years. From 2007 to 2022, the bilateral trade value increased nearly 13-fold, from US$378 million to US$4.88 billion, and reached US$3.44 billion in 2023. Argentina has become Vietnam’s third-largest trading partner in Latin America, while Vietnam has become Argentina’s eighth-largest global trading partner and third in the region, after China and India.

The balance of bilateral trade has been in favor of Argentina due to its significant agricultural exports. However, Vietnam’s exports to Argentina have been gradually diversified and increased. From January to October 2024, Argentina exported US$2.766 billion worth of goods to Vietnam, an increase of 47 percent compared to last year, and spent US$596 million on imports from Vietnam, a decrease of nearly 50 percent, primarily due to Argentina’s slower economic growth.

These results indicate that Argentina’s trade surplus does not mean Vietnam is economically disadvantaged, as Argentina’s exports primarily consist of inputs for Vietnam’s domestic production. These inputs contribute to the manufacturing of goods that Vietnam subsequently re-exports, highlighting the mutual benefits derived from this trade relationship.

Argentina’s agricultural output for the 2023-2024 harvest season is expected to recover significantly due to improved weather conditions. Consequently, imports from Argentina are anticipated to increase substantially in 2024, further strengthening the close trade relationship between the two countries.

What do you think of the prospects of bilateral economic and trade cooperation in 2025?

Argentina is a leading supplier of corn and animal feed for Vietnam. Vietnam’s key exports to Argentina include phones and components, computers, electronic products and components, footwear, machinery, equipment, spare parts, and textile and leather materials.

Vietnam imports from Argentina corn, animal feed, raw materials, cotton, wine, beef, poultry, and various other industrial products, including pharmaceuticals.

Both sides have expressed interest in the initiation of negotiations on the Vietnam-MERCOSUR Free Trade Agreement, with Argentina showing strong support, although the process requires consensus among member countries. Signals demonstrating Vietnam’s flexibility in negotiating such an agreement will be crucial. Argentina will hold the temporary presidency of MERCOSUR in the first half of 2025. We hope to have a concrete announcement on the timeline for starting the negotiations.

Leather and footwear are among Vietnam’s exports to Argentina

Vietnam has become an attractive investment destination. Which sectors are of interest to Argentine investors?

The business communities of both countries play a key role in strengthening the economic relationship between Vietnam and Argentina. The complementarity of our economies creates unique opportunities for businesses from both nations to establish successful partnerships. These collaborations open the door to mutually beneficial projects and highlight the potential to expand trade, investment, and innovation across various sectors.

The Argentine business community is interested in the investment environment in Vietnam. To demonstrate this growing interest, I attended the inauguration of the Argentine leather factory (SADESA Vietnam) in Ba Ria - Vung Tau on November 26, 2024. This factory imports leather from Argentina, processes and finishes it to supply high-quality leather products to renowned international brands.

On November 27, 2024, I also attended the inauguration of the regional representative office of Biogénesis Bagó in Ho Chi Minh City. Biogénesis Bagó is a well-known Argentine company specializing in animal health solutions, particularly in the production of vaccines for livestock. The company’s presence in Vietnam marks an important step in strengthening cooperation in agricultural and veterinary sciences, emphasizing the growing importance of the Argentina-Vietnam relationship in this crucial field./.