European Companies Can Now Export Duty-Free to VietnamAugust 5th, 2020 by Christian Faust - Posted in English
EU trade in goods with Vietnam amounted to 45.5 billion euros in 2019. This makes the country the EU’s second largest trading partner in the Association of SouthEast Asian Nations, coming in just after Singapore.
EU Free Trade Agreement with Vietnam
European companies can now export many goods duty-free to Vietnam thanks to the EU Free Trade Agreement with Vietnam that came into force on 1 August 2020. Naturally, this new free trade agreement with the EU will open up new potential for reciprocal for trade. What this means for EU companies is the opening up of an exciting SouthEast Asian market in an affordable and accessible way like never before.
Vietnam is already an important production country of electrical appliances and textiles for the European market, while their main selling market is for machinery, aircraft, vehicles and pharmaceuticals. This easing of duty charges will no doubt bring a much needed boost to both Vietnamese and European markets in the post pandemic economy.
All customs duties on EU export goods such as medicines, chemicals or machinery have been eliminated. In the coming years, further easing will follow. The ultimate aim is for 99% of goods exchange between Vietnam and the EU to be completely duty-free.
Coffee, rice, seafood and even furniture are also often sold to Europe from this region, so European consumers can look forward to greater saving and further variety of choice from products that they already know and love.
Expansion Opportunity for EU Companies
Likewise, Vietnam with its 95 million strong inhabitants now represents an intriguing new market with high catch-up potential for savvy European companies interested in expansion into SouthEast Asia.
“The agreement has significant economic potential,” said Trade Commissioner Phil Hogan.
This EU Free Trade Agreement makes Vietnam the largest EU trading partner in South East Asia, truly representing an opportunity not to be missed.
As always, FaustTranslations.com is on hand to provide reliable translation services for any companies already operating in the Vietnamese market, as well as, any business ready to grab this new opportunity for SouthEast Asian growth. From marketing transcreation and localization to industry specific technical translations in any field: technology, economics, law, marketing, e-commerce, the list is endless! We can be your language partner, helping you connect with this fresh new market!
Cảm ơn bạn!