Moscow (VNA) – Officials of Vietnam and the EurasianEconomic Union (EAEU) lauded the upbeat outcomes brought about by the EAEU –Vietnam free trade agreement (EAEU – Vietnam FTA) in more than one year and ahalf since it took effect.  

The enforcement of the FTA was reviewed at a working sessionbetween Vietnam’s Minister of Industry and Trade Tran Tuan Anh and Minister forTrade of the Eurasian Economic Commission (EEC) Veronika Nikishina, in Moscowon June 18.

According to statistics of the Vietnam Customs, tradebetween the two sides hit 3.9 billion USD in 2017, up 31 percent from 2016.Also in 2017, Vietnam recorded a trade surplus of nearly 1 billion USD with thebloc.

In the first four months of 2018, the bilateral trade was at1.53 billion USD, an annual increase of 35 percent.

Key exports of Vietnam to EAEU were phones – components,computers – electronic devices, apparel, footwear, fruit – vegetables, coffee,cashew nut, and seafood. It mainly imported petrol, oil, steel, fertilizers,and machinery from the EAEU. Commodities of the sides supplement each other,thus limiting the disadvantages usually seen with other FTAs.

However, the two ministers took note of the low use of incentivesbrought by the agreement, particularly the Certificate of Origin Form EAV.

They urged more joint efforts to clear hurdles forVietnamese and EAEU businesses so that they can capitalize on favourableconditions created by the bilateral FTA and bolster bilateral trade towards avalue of 10 billion USD in 2020.

Tuan Anh voiced his concern over the EEC’s safeguard duties imposedon Vietnamese underwear and children’s wear products for nine and six monthsrespectively since March 14, 2018. He noted that Vietnam had repeatedly askedfor reconsideration of the duties considering that Vietnamese goods accountedfor a low share in the EAEU’s total import of such products, had good quality,and supplemented garment and textile products made by EAEU countries.

The Vietnamese minister asked the EEC to soon lift theduties and make criteria of its safeguard measures more transparent in thefuture.

Concluding their meeting, the two officials agreed to pourmore efforts to effectively implement the EAEU – Vietnam FTA and create maximumfavourable conditions for bilateral trade of agro-forestry-fishery goods.

They reached a consensus on speeding up negotiations tobuild an electronic origin assessment and certification system following theroadmap committed to by both Vietnam and the bloc.   

In an interview with the Vietnam News Agency, Minister TuanAnh said the FTA is a strong catalyst for trade with Russia, the importantcomprehensive strategic partner of Vietnam in EAEU. Trade value with Russiacurrently accounts for about 90 percent of Vietnam’s total trade with the bloc.

He said the EAEU is intensifying its trade and investmentwith the ASEAN Community in its strategy to expand ties with the Asia-Pacificregion, and Vietnam is also building production and distribution chains in thisregion. Therefore, deeper cooperation with Vietnam will give producers andsuppliers in Russia and other EAEU opportunities to join supply chains in theAsia-Pacific.-VNA