Vietnam and South Korea have agreed to promote two-way trade to US$100 billion within this year and $150 billion by 2030 in a more sustainable and balanced manner by making the best use of existing bilateral and multilateral trade deals.
The agreement was reached on Tuesday during the talks between Vietnamese Prime Minister Pham Minh Chinh and South Korean Speaker Kim Jin-pyo, who is on a visit to Vietnam at the invitation of Vietnam’s National Assembly Chairman Vuong Dinh Hue, the Vietnam Government Portal reported.
The two sides expressed their pleasure that the two countries’ relations have fruitfully developed in all fields after 30 years of establishing diplomatic relations.
In the context of rapid and complicated changes in the world and regional situation, including the impact of the COVID-19 pandemic, the relationship between the two countries continues to maintain a stable development momentum, and the mutual political trust has been continuously strengthened.
Currently, South Korea holds the number-one position in foreign direct investment in Vietnam with a total capital of US$80.5 billion, with about 8,000 enterprises doing business in the Southeast Asia nation.
The Northeast Asian country also ranks second in development, tourism, and labor cooperation, and third in terms of trade cooperation with Vietnam, with a trade value of $88 billion in 2022.
Despite the heavy impacts of the COVID-19 pandemic, both countries gained a two-way trade turnover of $80.6 billion in 2021, much higher than the $500 million recorded 30 years ago, South Korean Consul General in Da Nang Ahn Min Sik said at a seminar last year.
Based on such a good outcome, the host and guest agreed to boost two-way trade to $100 billion this year and $150 billion seven years later, in a balanced and sustainable way, based on the effective implementation of the Vietnam - Korea Bilateral Free Trade Agreement (VKFTA) and the Regional Comprehensive Economic Partnership (RCEP).
PM Chinh asked the South Korean government to streamline the entry of Vietnamese agricultural and aquatic products, seafood, and seasonal fruits into the South Korean market.
He also proposed the two sides strengthen stable, long-term, and sustainable goods exchange, and strive to balance their trade because currently South Korea has a trade surplus.
The Vietnamese government chief affirmed that Vietnam welcomes South Korean businesses to expand their investment in Vietnam, especially in science, technology, innovation, green economy, digital economy, digital transformation, clean energy, smart city, and ecological urbanism.
Vietnam always considers South Korea an important and long-term strategic partner for the common interests of the two countries and peoples and for stability and peace in the region and the world, PM Chinh told his guest.
|A meeting between the two delegations of South Korea and Vietnam led by South Korean Speaker Kim Jin-pyo and Vietnamese Prime Minister Pham Minh Chinh, respectively, in Hanoi on January 17, 2023. Photo: Vietnam Government Portal
The host congratulated South Korea on its achievements in national construction and development and extended his thanks to its state, National Assembly, and people for always giving valuable, practical, and effective support to Vietnam in the past time.
Speaker Kim praised Vietnam for continuing to have high and solid economic growth in difficult conditions and wished Vietnam to achieve its goal of becoming a developing country with modern industry and a high average income by 2030.
The guest thanked the Vietnamese government for always paying attention to the development of the South Korean business community in Vietnam.
He said that PM Chinh previously had two dialogues with South Korean businesses to listen to their opinions and remove obstacles facing them in Vietnam.
Kim wished that the Vietnamese government would support South Korea to host the 2030 World Expo (World Expo 2030) in Busan, continue to create favorable conditions for Korean enterprises to operate effectively in Vietnam and for South Korean citizens to travel, do business, and live in the Southeast Asian country.
He also proposed that Hanoi cooperate with Seoul in rare earth production, and support the expansion of South Korean educational institutions in Vietnam.
PM Chinh wished South Korea would continue to provide ODA for Vietnam, expand the admission of Vietnamese workers in nursing, information technology, healthcare, and soon implement the Social Insurance Agreement between Vietnam and South Korea, contributing to ensuring the rights of workers in each country.
Vietnam will create all favorable conditions for the South Korean community to live, study, and work stably in Vietnam, PM Chinh said, adding he hoped the South Korean government would continue to support and protect the legitimate interests of Vietnamese nationals who are living and doing business in South Korea.
The Vietnamese government chief suggested the two sides promote effective cooperation in all fields within the framework of their ‘Comprehensive Strategic Partnership’ announced in December last year, including South Korea’s assistance for Vietnam to improve the capability of its law enforcement at sea.