Officially signing VIFTA, Vietnam-Israel trade expected to grow dramatically

On July 25, at the Israeli Prime Minister's Office, Vietnamese Minister of Industry and Trade Nguyen Hong Dien and Israeli Minister of Economy and Industry Nir Barkat signed the Vietnam-Israel Free Trade Agreement (VIFTA).

Phó Thủ tướng Trần Lưu Quang và Thủ tướng Israel Benjamin Netanyahu chứng kiến lễ ký kết Hiệp định thương mại tự do Việt Nam-Israel (VIFTA). Ảnh: VGP

Deputy Prime Minister Tran Luu Quang and Israeli Prime Minister Benjamin Netanyahu witnessed the VIFTA signing ceremony. (Source: VGP)

The signing ceremony was witnessed by Israeli Prime Minister Benjamin Netanyahu and Deputy Prime Minister Tran Luu Quang.

The signing of VIFTA marks the result of tireless efforts of both countries after 7 years, with 12 negotiation sessions, and is even more meaningful in the context that the two countries are carrying out many practical activities on the occasion of the 30th anniversary of establishing diplomatic relations (1993-2023).

Israel is the first country in West Asia with which Vietnam has signed a Free Trade Agreement (FTA). Conversely, Vietnam is also the first country in Southeast Asia with which Israel has signed an FTA.

According to the Ministry of Industry and Trade, Israel is currently one of Vietnam's leading trade, investment and labor cooperation partners in West Asia. The economic structures of Vietnam and Israel are complementary, and the import and export goods of the two countries not only do not compete directly but also complement each other.

The signing and implementation of VIFTA will create favorable conditions for Vietnam to promote the export of its key products to Israel.

This agreement also opens up opportunities to access high-tech products from Israel, contributing to reducing production and business costs and enhancing the competitiveness of Vietnamese goods.

The two sides hope that two-way trade will grow significantly, soon reaching 3 billion USD and even higher in the coming time.

Not only contributing to increasing the turnover of bilateral trade, VIFTA is also expected to be a lever to strengthen cooperation between the two countries in investment, services, digital transformation, technology, etc.

In the near future, based on Israel's special strengths in technology and finance when combined with Vietnam's strengths in investment environment, market size and network of 16 FTAs it has participated in, VIFTA will bring many opportunities for business cooperation and investment for Israeli enterprises in Vietnam, thereby contributing to creating jobs for a part of the workforce in the fields that Israel is interested in and investing in.

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