State President Luong Cuong received President and Chief Executive Officer of Costco Ron Vachris on September 21 (local time) as part of his bilateral activities in Seattle, the US, during which, the former welcomed Costco’s proposal to establish an official presence and make long-term investment in Vietnam, according to a report from the national English language newspaper Việt Nam News.

With a population of over 100 million and a rapidly expanding consumer market, Vietnam will remain a promising destination, the Vietnamese President noted.

Reaffirming the country’s consistent policy of deep international integration and building an open, transparent, and sustainable economy, President Cuong stressed that Vietnam is committed to accompanying and facilitating Costco’s investment activities, from establishing procurement centers, warehouses, and logistics networks to developing a regional distribution hub.

At the meeting, Mr. Vachris said Costco, one of the largest retailers in the US with more than 870 warehouses worldwide, attaches great importance to diversifying its sources of goods and expanding its international supply chains. He expressed the company’s desire to continue close cooperation with major Vietnamese suppliers to bring suitable products to market, thereby ensuring long-term partnerships with Vietnamese businesses. Costco’s imports of Vietnamese goods, including textiles, footwear, furniture, seafood, cashew nuts, and coffee, are estimated to exceed $1 billion annually.

To further develop and diversify supply chains, Mr. Vachris emphasized Costco’s interest in establishing a strategic co-operation framework to strengthen production and supply capacity. He added that the group is ready to share expertise and provide guidance in applying ESG (environmental, social, and corporate governance) standards.

The Vietnamese President highly valued Costco’s business achievements and its growing demand for Vietnamese exports to be distributed through the group’s global network. He stressed that Costco’s initiative to build a strategic cooperation framework for production and supply chain development aligns well with Vietnam’s strategic priorities to integrate more deeply into global value chains, particularly in sectors that the country has strengths such as agriculture, fisheries, textiles, footwear, and light industry.

Welcoming Costco’s pioneering role in promoting ESG standards in line with Vietnam’s sustainable development orientation, the Vietnamese President said Vietnam stands ready to co-operate in green technology transfer, support Vietnamese enterprises in upgrading production processes, reducing emissions, adopting renewable energy, and enhancing product competitiveness.