Hanoi (VNA) – A hybrid seminar held by the Vietnam Trade Promotion Agency (Vietrade) under the Ministry of Industry and Trade (MoIT) on May 28, sought to equip Vietnamese enterprises with knowledge and measures needed to tap into emerging opportunities of the South American market, and addressing barriers related to geographical distance, business culture, and logistics.

Addressing the event, Nguyen Thi Thu Thuy, Deputy Director of the Vietrade’s Trade and Investment Promotion Support Centre, said export market diversification has become a strategic necessity for Vietnamese enterprises amid growing global economic uncertainties.

South America is increasingly viewed as a market with huge potential thanks to its large population, diverse consumer demand, abundant natural resources, and growing interest in strengthening economic cooperation with the Asia-Pacific region, she noted, adding that trade between Vietnam and South American countries has maintained positive growth in recent years, although its scale remains modest.

According to Thuy, two-way trade between Vietnam and South American nations has reached tens of billions of USD annually, growing at a steady pace.

Many South American countries are showing strong demand for Vietnam’s key export products, including farm produce, processed foods, textiles and garments, footwear, electronics, and consumer products. Beyond trade, the region also offers significant opportunities for cooperation in logistics, energy, processing industries, and bilateral investment.

Thuy noted that new-generation free trade agreements (FTA), including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), have helped boost trade with countries such as Chile and Peru, while cooperation with the Mercosur bloc is opening new prospects. However, Vietnamese firms continue to face challenges from long shipping distances, high logistics costs, language barriers, and differences in regulations and business practices.

Ngo Manh Khoi, Head of the Vietnam Trade Office in Argentina, said geopolitical tensions, inflation, currency fluctuations, and disruptions in global shipping routes have increased risks for exporters.

Despite these challenges, South America remains a promising destination for Vietnamese goods. Ongoing negotiations on a free trade agreement between Vietnam and Mercosur are expected to further improve market access and competitiveness of Vietnamese goods through tariff reductions.

Khoi advised businesses to make greater use of free-trade zones and logistics hubs, diversify markets, and strengthen risk management related to exchange rates and payments.

Meanwhile, Ngo Thu Huong from the Vietnam Trade Office in Chile highlighted Chile’s role as a key gateway to South America.

Supported by the Vietnam–Chile Free Trade Agreement and the CPTPP, most import tariffs between Vietnam and Chile have been reduced to 0%, creating greater opportunities for Vietnamese exports, she said.

Chile is currently Vietnam’s fourth-largest trading partner in Latin America and serves as a key logistics gateway to the South American market. Two-way trade between Vietnam and Chile exceeded 2 billion USD in 2025, up more than 40% year-on-year.

Huong said demand in Chile is rising for high-quality rice, specialty coffee, processed seafood, furniture, and environmentally friendly products. She urged Vietnamese exporters to focus on quality, sustainability, design, and compliance with international standards to strengthen their presence in Chile and penetrate deeper into the South American market./.