Total trade in goods and services between Vietnam and the EU in 2022 amounted to €64.2 billion, in current prices, an increase of 18.5% or €10.1 billion from the four quarters to the end of 2021. This was the highest level of trade between the two regions on record.
The EU’s exports to Vietnam increased by 17.9% to €12.7 billion in 2022, while its imports from Vietnam increased by 19.3% to €51.6 billion. This resulted in a trade surplus of €38.9 billion for the EU, which was slightly higher than the trade surplus of €36.5 billion in 2021.
The major EU exports to Vietnam in 2022 were:
- Machinery and equipment (€3.8 billion)
- Chemicals and related products (€4.5 billion)
- Electrical machinery and equipment (€2.5 billion)
- Transport equipment (€2.3 billion)
- Pharmaceuticals (€783 million)
The major EU imports from Vietnam in 2022 were:
- Telephone sets (€1.1 billion)
- Electronic products (€3.8 billion)
- Footwear (€1.4 billion)
- Textiles and clothing (€4.4 billion)
- Coffee (€565 million)
- Rice (€437 million)
The increase in trade between Vietnam and the EU in 2022 was driven by a number of factors, including:
- The implementation of the EU-Vietnam Free Trade Agreement (EVFTA) in August 2020. The EVFTA has eliminated or reduced tariffs on a wide range of goods traded between the two sides.
- The strong economic growth in Vietnam. Vietnam’s GDP grew by 8.02% in 2022, the fastest rate of growth in Southeast Asia.
- The increasing investment by EU companies in Vietnam. The EU is Vietnam’s largest foreign investor, with total investment of over €26 billion.
The EU and Vietnam are also working together to promote trade in services. In 2022, the two sides signed a Memorandum of Understanding on Sustainable Development. The MoU aims to promote cooperation between the two sides in the field of sustainable development and to facilitate the trade in goods and services that contribute to sustainable development.
The outlook for trade between Vietnam and the EU is positive. The EVFTA is expected to boost trade between the two sides in the coming years. Additionally, the strong economic growth in Vietnam is likely to create new opportunities for EU businesses to export their goods and services to the country.
Here are some specific examples of how the EVFTA has benefited businesses and consumers in Vietnam and the EU:
- Vietnamese exports to the EU increased by 14% in 2021, after the EVFTA took effect.
- The EVFTA has helped to create new jobs in both Vietnam and the EU, particularly in the manufacturing and service sectors.
- The EVFTA has made imported goods from the EU and Vietnam more affordable for consumers in both regions.
- The EVFTA has encouraged EU companies to invest in Vietnam, which has helped to boost economic growth and development.
Overall, the EVFTA is a positive development for Vietnam and the EU. It is expected to continue to boost trade, investment, and economic growth for both sides in the years to come.