Speaking at a workshop involving Vietnam’s overseas trade representatives on December 15, H.E. Nguyen Van Thao, Vietnamese Ambassador to Belgium and Luxembourg and Head of the Vietnam Mission to the EU noted that Vietnam’s exports to the EU market remain modest.

The country’s exports to the EU currently account for only 1.7 per cent of the bloc’s import turnover of about €3 trillion (nearly $3.27 trillion).   

The EU market is always stable, with demand remaining unchanged, even during Covid-19 and the Russian - Ukraine conflict, he said, adding that it is a market of great potential, with a combined population of more than 450 million and GDP of some €16 trillion (more than $17.43 trillion), while its technology, financial potential, and governance capacity are among the best in the world.

According to the Ambassador, Vietnam is one of four Asian countries to have signed an FTA with the EU, joining Japan, South Korea, and Singapore, whose goods are not in direct competition with Vietnam.

Furthermore, the EU has diversified its supply resources, thus avoiding any dependence on certain supply chains, while the current average daily two-way trade turnover between China and the EU stands at $2.5 billion, making up the largest proportion of the bloc’s foreign trade, he said, adding that this is an opportunity for Vietnam to promote its exports to the EU.

However, products imported to the EU must meet very high standards and regulations, while transport costs on such products are also high, which is a challenge for Vietnamese exporters.