VIETNAM’S FREE TRADE AGREEMENTS: UNLOCKING GLOBAL MARKETS AND INVESTMENT

Over more than three decades of international integration, Vietnam has established itself as one of the most dynamic and open economies in Southeast Asia. A clear testament to this is the country’s proactive approach in signing and implementing numerous bilateral and multilateral free trade agreements (FTAs) with major global partners. These FTAs play a crucial role in advancing Vietnam’s economic development, improving its trade position, and integrating more deeply into the global economy.

These agreements have not only helped Vietnam expand its export markets, diversify trading partners, and attract foreign investment, but have also driven significant domestic reforms. They have improved production standards, enhanced product quality, raised labor and environmental practices, and boosted the competitiveness of Vietnamese enterprises. In addition, by committing to high-standard FTAs, Vietnam has signaled its willingness to engage with the rules-based international trading system and align with global trends such as digital trade, sustainability, and innovation.

Especially in today’s context of shifting global supply chains, trade tensions, and economic uncertainty, Vietnam’s extensive FTA network has become a strategic advantage. It enables the country to diversify its markets, reduce reliance on a small number of partners, strengthen economic resilience, and position itself as an attractive destination for investment relocation and supply chain restructuring.

Vietnam’s FTA portfolio includes agreements both within the ASEAN bloc and with extra-regional partners, creating an expansive web of trade relationships. Below are some of the key FTAs that Vietnam has signed:

1. Asean Trade In Goods Agreement (ATIGA)
2. The Agreement Establishing The Asean – Australia – New Zealand Free Trade Area (AANZFTA)
3. Framework Agreement On Comprehensive Economic Co-Operation Between The Association Of South East Asian Nations And The People’s Republic Of China (ACFTA)
4. The Asean – Hong Kong, China Free Trade Agreement (AHKFTA)
5. The Asean – India Agreement On Trade In Goods (AIFTA)
6. Asean – Japan Comprehensive Economic Partnership (AJCEP)
7. Asean- Korea Free Trade Agreement (Akfta)
8. Regional Comprehensive Economic Partnership Agreement (RCEP)
9. Comprehensive And Progressive Agreement For Trans-Pacific Partnership (CPTPP)
10. Free Trade Agreement Between The Socialist Republic Of Viet Nam And European Union (EVFTA)
11. Free Trade Agreement Between Vietnam And Uk (UKVFTA)
12. Free Trade Agreement Between Vietnam And Chile (VCFTA)
13. Free Trade Agreement Between The Socialist Republic Of Viet Nam, Of The One Part, And The Eurasian Economic Union And Its Member States, Of The Other Part (VN-EAEUFTA)
14. Agreement Between Japan And The Socialist Republic Of Viet Nam For An Economic Partnership (VJEPA)
15. Free Trade Agreement Between Vietnam And Korea (VKFTA)
16. Vietnam – United Arab Emirates Comprehensive Economic Partnership Agreement (CEPA)
17. Vietnam – Israel Free Trade Agreement (VIFTA)

These FTAs cover a broad range of areas, including trade in goods and services, investment, intellectual property, e-commerce, government procurement, competition policy, and sustainable development. They also require Vietnam to meet commitments on market opening, fair competition, labor standards, and environmental protection, creating both opportunities and challenges for Vietnamese businesses.

To maximize the benefits of these agreements, local enterprises are increasingly focusing on improving product quality, upgrading technology, strengthening supply chain management, and actively exploring new markets. Initiatives like the WTC Binh Duong New City and the WTCConnect e-commerce platform play an important role in supporting Vietnamese businesses, particularly small and medium-sized enterprises (SMEs), in taking advantage of FTA opportunities. Through these trade hubs and digital platforms, businesses can promote products, connect with international buyers, and stay updated on global market trends.

As Vietnam continues to expand its FTA network, it is cementing its reputation as a reliable trade partner and an emerging manufacturing and export hub. The country’s engagement in high-standard trade agreements marks a major step forward in its economic modernization and integration into global value chains.

Source: Center for WTO and International Trade VCCI