EU And Vietnam FTA Agreement Reached Principle

(EC) 4, announced that after two and a half years of negotiations, the EU and Vietnam reached a principled agreement on the free trade agreement. The EU and Vietnam free trade agreement, the tariffs on almost all goods between the two regions will be abolished.

New market access opportunities will also be opened up in the field of services and investment.

According to the introduction, EU Trade Commissioner

On the same day, Vietnamese Minister of industry and trade Wu Huihuang finalized the core of the agreement through a telephone conference. The two negotiating teams will solve the technical problems of the agreement and complete the legal texts in the next few months.

This will be the first time that the EU has reached a free trade agreement with developing countries.

Mar James Thrun said: "this agreement will promote bilateral trade between the EU and one of the most dynamic economies in Asia, and set up a brand new and modern model for the FTA between the EU and the developing countries."

The European Commission said that in addition to the relief of trade tariffs between the two regions, Vietnam has liberalized trade in areas such as communications, pportation, postal services and express delivery services.

In addition, Vietnam will open the food and beverage processing industry and the manufacturing market for non food industries to the EU, allowing EU enterprises to participate in infrastructure projects and public bidding such as hospitals and railways.

EU official statistics show that in 2014, the bilateral trade between the EU and Vietnam amounted to 28 billion 200 million euros.

The EU is the second largest trading partner of Vietnam after China and Vietnam's largest export destination.

Vietnam's main products exported to Europe include telephone and its parts, electronic products,

Textiles, clothing, coffee, rice, seafood and other foods.

EU exports to Vietnam are concentrated in high-tech products, including electrical equipment, aircraft, automobiles and pharmaceuticals.

At the same time, the European Union is one of Vietnam's most important sources of investment.

In 2013, the EU's direct investment in Vietnam amounted to 500 million euros.

According to the EU regulations, the agreement reached between the European Commission and Viet Nam will be sent to the trade ministers' meeting of the 28 EU Member States and the European Parliament for approval after the formation of the legal text.