Business Times highlights opportunities in EU-Vietnam trade agreement

(VOVWORLD) - The Business Times on Tuesday ran an article that called the EU-Vietnam Free Trade Agreement that took effect this month an important economic milestone for Vietnam. 

Business Times highlights opportunities in EU-Vietnam trade agreement - ảnh 1At a workshop of TNG Investment and Trading Company (Photo: Hoang Nguyen/VNA) 

The trade deal will reduce, and eventually eliminate 99% of all tariffs.

According to the article, the agreement will boost Vietnam’s exports of telecommunications equipment, electronics, footwear, textiles, and food products like coffee, rice and seafood.

70% of Vietnamese exports will now enter the 26 EU member states duty free, and tariffs on the rest will be reduced gradually over seven years.

As countries around the world cautiously begin to reopen their economies after COVID-19 lockdowns, companies will seek to build greater resilience into their supply chain, greatly strengthening Vietnam’s position, according to the article.

As one of the first markets in ASEAN to ease lockdown restrictions, Vietnam is in a prime position to seize opportunities created by pent-up investment demand and shifting global production trends, the article concluded.