Việt Nam’s exports to the Americas grow thanks to the CPTPP: seminar
VIETNAM, October 28 –
HÀ NỘI — Việt Nam’s exports to the Americas have seen impressive growth following the three-year implementation of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a seminar organized by the Industry and trade review Thursday.
The figures show that Việt Nam is the only CPTPP member that has seen its market share in Canada and Mexico increase, according to Nguyễn Thị Thu Trang, director of the WTO and the Integration Center of the Chamber of Commerce and of Industry of Việt Nam (VCCI).
Việt Nam’s market share in Canada increased from 0.9% in 2017 to 1.2% in 2019 – the first year of CPTPP implementation – and 1.6% last year. Meanwhile, Mexico’s grew from 0.9% in 2018 to 1.7% in 2021.
The numbers reflect Việt Nam’s successes in using tariff incentives under the deal to gain access to the Americas and increase its market share, Trang noted.
Võ Hồng Anh, deputy director of the European and American markets department of the Ministry of Industry and Trade (MoIT), said that among the CPTPP member countries, four are from the Americas – Canada, Mexico, Peru and Chile. With the exception of Chile, with which Việt Nam signed a bilateral free trade agreement (FTA) in 2014, this is the first time the Southeast Asian nation has entered into an FTA with the other three.
Therefore, such tax incentives will provide good opportunities for Việt Nam to boost its exports, Anh noted.
Vietnam’s exports to Canada have increased by around 75 percent and to Mexico have more than doubled in 2021 compared to the pre-CPTPP period, she added.
Anh pointed out obstacles faced by Vietnamese exporters in accessing the Americas, such as the long geographical distance which makes transportation cost more time and money.
Other barriers relate to market norms, particularly in North America, and language, as most Latin American countries use Spanish in transactions, she continued.
The official affirmed that the MoIT has always paid attention to the implementation of the agreement to advance the most pragmatic interests of the companies.
Last July, the ministry sent a delegation to the United States, Canada and Mexico with the aim of promoting trade with these countries, and the parties reached some consensus on the orders on this occasion.
The ministry will continue to help companies manage risks related to trade barriers and remedies, Anh said, suggesting they establish showrooms and distribution centers in the region. —VNS