On June 25th, the European Union and Vietnam defined the final text for the trade agreement and concluded negotiations on the future agreement for the protection of investments.
Among the ASEAN countries, Vietnam is the second largest trading partner of the EU, after Singapore, with an interchange of 47.6 billion in 2017. The trade agreement will eliminate over 99% of customs duties.
Vietnam will liberalize 65% of import duties on EU products upon entry into force of the agreement; the remaining part will be phased out over a period of 10 years.
Specific provisions will be laid down to address non-tariff barriers in the automotive sector and will provide protection for traditional European food and drink in Vietnam.
In addition, EU economic operators will be able to submit bids for public tenders issued by Vietnamese authorities and state companies.
Together with the agreement being negotiated with Singapore, the agreement with Vietnam will allow further progress towards the definition of high standards and standards in the ASEAN region.