The second meeting of the Intergovernmental Commission on Economic Affairs and Technical Cooperation between Vietnam and Peru is held recently via video teleconference. (Photo: Ministry of Industry and Trade)

The global economy is full of uncertainty so enhancing bilateral and multilateral relations is critical to speeding up the global economic recovery, Hai told the second meeting of the Intergovernmental Commission on Economic Affairs and Technical Cooperation between Vietnam and Peru, held recently via video teleconference.

During the meeting, the two sides reviewed what had been done since the first meeting of the commission which took place in Lima in October 2017, and chalked out future plans to boost their multifaceted partnership, particularly in economy, trade and investment.

Both sides spoke highly of the results of the two countries’ economic and trade relations in recent years despite the impacts of COVID-19. Data shows that Vietnam-Peru trade reached 633.8 million USD last year, a surge of 62% from 2020. It was the first time two-way trade had exceeded 500 million USD, making Peru Vietnam’s sixth largest trade partner in Latin America.

Vietnam and Peru have together become signatories to a free trade agreement for the first time after they signed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) with nine others in 2018. The trade deal entered into force in Peru on September 19, 2021, paving the way for expanding bilateral ties in trade and investment.

Given that their shares in each other’s markets remain modest, there is plenty of room for greater growth through the CPTPP.

Deputy Minister Hai asked Peru to provide continued support for Vietnamese investors currently doing business in Peru, and offer the best conditions for those planning to invest in the Latin American country.

Deputy Foreign Minister of Peru Enrique Chávez Basagoitia said the bilateral partnership has been further reinforced through their accession to the Asia-Pacific Economic Cooperation (APEC), the Forum of East Asia-Latin American Cooperation (FEALAC), the CPTPP, and others

Hai suggested that now the COVID-19 pandemic is under control, authorities from both countries should increase market information exchanges and ramp up trade and investment promotion events.

Both sides later agreed to take measures to boost trade exchanges through the CPTPP, diversify import-export portfolios, foster trade of their key products and facilitate market opening, especially for agricultural products.

They also discussed the possibility of expanding cooperation in science-technology, fishery, health care and within multilateral frameworks.

According to the Ministry of Industry and Trade, Vietnam-Peru trade rose by 79.1% from 353.8 million USD in 2016 to 633.8 million USD in 2021.

Vietnam’s exports to Peru soared 84.4% last year to 559.9 million USD. Key items included phones, computers, electronics, footwear, clinker and cement, plastics, garments and textiles, and aquatic products.