On August 1, exactly five years since the EVFTA came into force, the agreement has served as a catalyst for robust growth in bilateral trade, which has accumulated nearly US$300 billion.
The achievement has made Vietnam the EU’s top trade partner in the ASEAN region and its 16th largest trade partner globally, according to preliminary data from the General Statistics Office of Vietnam under the Ministry of Finance.
According to the European Chamber of Commerce in Vietnam (EuroCham), the EVFTA is one of the most comprehensive and ambitious free trade agreements that the EU has ever signed with a developing country.
The agreement has eliminated over 70 percent of tariffs on goods traded between the two sides, with the remaining tariffs set to be gradually phased out in the upcoming years.
Apart from tariff reductions, the EVFTA has expanded market access, strengthened intellectual property protection, and promoted regulatory transparency, which would aim at creating more favorable conditions for businesses on both sides to fully capitalize on trade opportunities.
In addition to its direct economic impact, the EVFTA has also acted as a catalyst for long-term alignment in values and standards between Vietnam and the EU.
EuroCham Chairman Bruno Jaspaert stated that August 1 this year would not only mark the fifth anniversary of the agreement taking effect, but this day should also represent a turning point in the landscape of global trade.
The transparency provisions and shared commitments between Vietnam and the EU under the EVFTA demonstrated that harmonized standards and open markets are the path to sustainable growth and long-term prosperity.
