Vietnam attractive destination for North European investors: Diplomat

14 Aug '23

1 min read

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Vietnam is now an appealing destination for EU enterprises in general, and those from Northern Europe in particular, a Vietnamese diplomat recently said, thanks to the EU-Vietnam Free Trade Agreement.
A lack of direct flights and absence of cooperation among seaports and airports between Vietnam and North European countries has hindered trade, she noted.

Vietnam’s trade counsellor in Sweden and Northern Europe Nguyen Thi Hoang Thuy recently said his country has emerged as an appealing destination for European Union (EU) enterprises in general, and those from Northern Europe in particular. Incentives under the EU-Vietnam Free Trade Agreement (EVFTA) have a big role to play in this, she said.

Amid global economic uncertainties, the trade deal has helped ease adverse impact on the domestic economy, she said, hoping about its effectiveness in the long term.

Vietnam also stepped up ‘on-spot export’ after the EVFTA became effective from August 1, 2020, the diplomat told a news agency.

The country’s exports to the Northern European markets during the 2020-2022 period grew by 14.7 per cent each year.

However, the revenue is yet to come up to expected levels as the countries import goods from Vietnam through other nations like Germany, Belgium, the Netherlands, France and Poland.

A lack of direct flights and absence of cooperation among seaports and airports between Vietnam and North European countries has hindered trade, she noted.

Denmark is emerging as a new investor in Vietnam, she said. Many enterprises are planning to relocate to Vietnam to optimise incentives from the EVFTA while exporting to the EU, she added.

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