Denmark supports early ratification of trade and investment deals

PM Nguyen Xuan Phuc and Danish counterpart Lars Løkke Rasmussen in Copenhagen, Denmark, October 20, 2018. Photo: VGP

Earlier on October 17, the European Commission adopted the two deals, demonstrating its commitment to putting them in place as soon as possible.

Viet Nam is the EU's second largest trading partner in the Association of Southeast Asian Nations (ASEAN) after Singapore, with trade in goods worth €47.6 billion a year and €3.6 billion as it comes to services.

While EU investment stock in Viet Nam remains modest standing at €8.3 billion in 2016, an increasing number of European companies are establishing there to set up a hub to serve the Mekong region. Main EU imports from Viet Nam include telecommunications equipment, clothing and food products. The EU mainly exports to Viet Nam goods such as machinery and transport equipment, chemicals and agricultural products.

The trade agreement will eliminate over 99% of customs duties on goods traded between the two sides. Viet Nam will remove 65% of import duties on EU exports from entry into force of the agreement, with the remainder of duties being gradually eliminated over a 10-year period, to take into account that Viet Nam is a developing country.

The investment protection agreement, meanwhile, includes modern rules on investment protection enforceable through the new Investment Court System and ensures that the right of the governments on both sides to regulate in the interest of their citizens is preserved. It will replace the bilateral investment agreements that 21 EU Members States currently have in place with Vietnam.

During his official visit to Denmark, PM Phuc met with Queen Margrethe II, held talks with PM Lars Løkke Rasmussen, attended Viet Nam-Denmark Business Forum.

He also participated in the P4G Summit, where he delivered remarks reiterating Viet Nam’s commitment to joining hands with Governments of the P4G countries to realize the green growth and global goals 2030 while calling on businesses’ involvement in this process.

Following the talks, the two countries issued Joint Statement on the outcomes of PM Phuc's official visit to Denmark./.

By Quang Minh