More opportunities for bigger trade between VN, Hong Kong

VGP - The Hong Kong Trade Development Council (China) and the Viet Nam Chamber of Commerce and Industry in the central city of Da Nang co-organized a seminar themed “Instyle Hong Kong 2018-gateway to the world for Vietnamese handicrafts” on August 20 in Da Nang City.

August 21, 2018 5:24 PM GMT+7

Photo: VGP

The event aims to introduce fundamental information of the ASEAN-Hong Kong Free Trade Agreement (AHKFTA) to businesses in the central region and connect enterprises between Hong Kong and Viet Nam.

The AHKFTA negotiations were completed in September 2017 and officially inked in November 2017. The agreement is expected to come into force since January 2019 after being approved by Hong Kong and at least four nations in ASEAN.

Accordingly, when it comes into effect, within a decade, Viet Nam will eliminate 75% of tariff lines. For Hong Kong side, 100% of the tariff lines will be eliminated.

Hong Kong is a potential market for Viet Nam. It is the ninth largest trade partner of Viet Nam with the two-way trade value of US$9.2 billion in 2017, up 22% against the previous year.

Hong Kong also ranks sixth in Foreign Direct Investment (FDI) in Viet Nam with US$17.7 billion.

In the first half of 2018, the two-way trade value reached US$4.59 billion, a year-on-year increase of 5.6%. Viet Nam earned US$3.81 billion from exporting to Hong Kong, up 9%.

Currently, as many as 24 enterprises in the central region are exporting their products to Hong Kong, focusing on garments, footwear and processed aquatic products.

By Hoang Ha