Viet Nam, Germany seek stronger economic ties

The nation has risen to become Germany's largest trading partner in ASEAN and its fifth throughout Asia, while Germany remains the country’s largest trading partner in the EU, with bilateral turnover reaching over EUR13 billion last year.
Viet Nam, Germany seek stronger economic ties
Vietnamese Ambassador to Germany Nguyen Minh Vu. ( Photo: VNA)

This information was released at a seminar on economic development held virtually on March 16 between both countries under the sponsorship and co-organisation of the Leipzig city government of Sachsen state and the Vietnamese Embassy in Germany. They were joined by the development and investment agency InvestRegion Leipzig and the German-Vietnamese House Association, also known as Deutsch-Vietnamesisches Haus eV.

Upon addressing the event attended by over 120 delegates, Vietnamese Ambassador to Germany Nguyen Minh Vu emphasised that the participation of a large number of German and Vietnamese firms is a testament to their keen interest and desire to promote trade and investment co-operation. Whilst the nation is keen to promote ties with Germany in general, it is also seeking strong links with the city of Leipzig.

The Vietnamese Ambassador briefed participants on the country’s outstanding socio-economic development in recent times, in which the nation is widely considered by investors to be a destination for shifting investment amid the novel coronavirus (COVID-19) pandemic.

Not only does the country enjoy an abundance of human resources, an open and favourable investment mechanism for foreign investors, it is also considered one of the largest open economies globally.

Vietnamese participation in many major trade agreements such as the European Union Viet Nam Free Trade Agreement (EVFTA) and the Regional Comprehensive Economic Partnership (RCEP) will create favourable conditions in which German businesses can import goods and services produced locally. In addition, German goods will also have advantages when being exported to other ASEAN members, as well as large countries participating in the RCEP such as China, Japan, the Republic of Korea, Australia, and New Zealand, Ambassador Vu said.

The local diplomat also noted his appreciation for the drastic changes occurring in Leipzig, with stringent socio-economic development strategies helping to develop it into one of the economic pillars of the central metropolitan area of Germany. Indeed, the city now features a developed economy, industry, strong infrastructure, along with science and technology, all of which are ideal incubators for startups.

He believes that through the seminar firms from both sides can develop practical and mutually beneficial co-operation ties in order to make the most of the opportunities brought by their fruitful partnership.

In response, Mayor of Leipzig Burkhard Jung expressed his pleasure at the strong development between Leipzig and Viet Nam, as well as Ho Chi Minh City, in which the signing of an agreement to build a water plant in Long An province by enterprises from both Leipzig and Viet Nam took place. This signing represents a vivid manifestation of the close and effective co-operation links between the two sides.

He stated that he hopes the enforcement of the EVFTA will see co-operation between the two sides increasingly strengthened. Leipzig is the first German city to open a representative office in the country and has a wide range of co-operative activities relating to economics, cultural, and social affairs with Viet Nam.

Furthermore, Leipzig is home to a community of approximately 3,500 Vietnamese people, Mayor Jung added.

Talking points at the event largely focused on practical experience in economic co-operation and other issues of shared concern.

According to the Trade Promotion Agency of Leipzig, the online seminar had been specially designed for businesses that intend to enter the Vietnamese and German markets through sharing the experience of German firms in Ho Chi Minh City and central regions of the European nation.

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(Source: VOV)