After Japan and South Korea, the US announced trade negotiations with Vietnam

According to the above information stated at the 4th meeting of the Government Standing Committee held this afternoon (April 10). According to reports and opinions at the assessment meeting, up to this point, Vietnam's situational awareness, policy response, and policy implementation have been timely, appropriate, flexible, and effective, with a calm, clear-headed, courageous spirit, without perfectionism or haste, valuing intelligence, time, and timely decisiveness.

"In reality, this work has been initially effective when, following Japan and South Korea, the US agreed and announced to negotiate a reciprocal trade agreement with Vietnam with the goal of reducing the trade deficit between the two countries, ensuring a sustainable and long-term balance," the report stated.

After listening to reports, opinions and conclusions of the meeting, Prime Minister Pham Minh Chinh stated that, regarding upcoming work, it is necessary to continue to grasp the current complicated situation and promptly propose and implement policies.

Regarding the goal, the Prime Minister determined that it is necessary to continue to stabilize the domestic situation, stabilize the people, stabilize investors, stabilize politics, and ensure social order and safety. In particular, it is necessary to stabilize the macro-economy, promote growth, control inflation, ensure major balances, control public debt, government debt, foreign debt, and budget expenditure.

At the same time, it is necessary to stabilize investor psychology, help businesses and people adapt flexibly to the new situation, reduce dependence on one market, promote foreign investment, and attract better and higher quality FDI.

In terms of perspective, this work must be placed in the overall development of the country and Vietnam's international relations, not allowing it to affect the overall 17 FTAs signed with over 60 markets around the world; handling this issue must not affect other issues, and dealing with this partner must not affect other partners.

The Head of Government also emphasized that this is an opportunity to restructure the economy towards greening, digitalization, circulation, rapid but sustainable, inclusive and comprehensive development. Along with that, restructuring enterprises, promoting science and technology, innovation, high-quality investment, diversifying markets, products, supply chains, promoting enterprises to grow, and participating more deeply in global supply chains.

The Prime Minister further noted the requirement to prevent unemployment; review affected subjects, especially in the textile, footwear, wood products, and seafood industries; inherit previous policies to design appropriate support policies, ensuring that the subjects of support are accurate, focused, and key; clearly defining the scope, subjects, duration, level, and resources of support.

On that basis, Deputy Prime Ministers and Ministers, based on their assigned functions, tasks and powers, direct quick, timely and consistent solutions, ensuring flexibility, suitability and effectiveness; what is immediate must be done immediately, what is long-term must be done step by step.

Prime Minister Pham Minh Chinh. (Photo: VGP)

Regarding specific groups of tasks, the Prime Minister requested continued synchronous, harmonious, reasonable and effective coordination between monetary policy and fiscal policy.

Regarding fiscal policy, tax deferral and postponement solutions under the authority of the Government, ministries and branches should be implemented immediately; tax exemption and reduction policies should continue to be studied and proposed to the National Assembly for immediate resolution issuance. This needs to be done quickly in the overall foreign economic relations and integration.

The Prime Minister also requested that the VTA tax refund must be quick and timely, cutting down on administrative procedures; expanding the scope of subjects and extending the time for policies related to fees, charges, land rents, etc., including land rents for tea farmers.

Units need to review import and export items to reduce taxes, ensure appropriate and balanced premises. The Ministry of Construction urgently submits tax policies for cement clinker products.

The Ministry of Finance reviews public investment in recent years, assesses responsibilities, and sanctions must be imposed on anyone who fails to complete the task of disbursing public investment, causing waste, and promptly reports to competent authorities.

Regarding monetary policy, the Prime Minister requested to continue stabilizing exchange rates, striving to reduce interest rates through cost reduction, application of science and technology, digital transformation; and debt forgiveness, extension, and deferment.

The Head of Government requested units to propose and implement solutions, such as preferential credit packages for a number of fields and items such as the VND500,000 billion credit package for infrastructure, science and technology, stimulating domestic consumption, expanding credit packages that are being effectively implemented. Proactively ensure foreign currency for import and export, and ensure foreign exchange reserves.

Resolutely cut down on administrative procedures, decentralize and delegate power in accordance with the direction of General Secretary To Lam and the Resolution of the Government, striving to reduce at least 30% of administrative procedure processing time by 2025; reduce at least 30% of business costs; and abolish at least 30% of business conditions.

Regarding the group of trade policy solutions, stating that we still have many traditional and potential markets that need to be exploited, the Prime Minister directed to exploit more effectively the 17 signed FTAs, continue to open new markets, such as the Middle East, Eastern Europe, South Asia, Egypt, South America, etc.; maximally and satisfactorily resolve trade issues that the US is interested in, especially origin of goods, non-tariff barriers, intellectual property; continue to open markets with other partners and regions; actively exchange goods with countries, including the US, especially aircraft, LNG, defense and security trade; stimulate domestic consumption.

The Prime Minister also emphasized solutions to promote production and business, support enterprises to transform and adapt to the new situation both in the long term and to solve immediate difficulties; promote all three sectors of industry, agriculture and services; promote start-ups, improve the investment and business environment, urgently deploy the Investment Support Fund, and the National Single Window.

Review and promptly amend regulations in legal documents that hinder production and business, urgently propose to the National Assembly to amend one law to amend many laws; at the same time review laws related to foreign economic affairs, propose policies to competent authorities.

Regarding social security policies and support for workers, the Prime Minister directed to review and propose support for affected workers; continue social security policies, support for meritorious people, the poor, social insurance, and resolve unemployment policies; this should be done soon, and reported to the Government before April 20; support employers, connect labor supply and demand, and support job creation; research and supplement policies to support minimum living expenses for workers; promote social housing programs, eliminate temporary and leaky houses, etc.

The Prime Minister requested the Vietnam General Confederation of Labor to support union members in industries that have been severely affected. At the same time, businesses should be proactive, proactive, and adapt to the new situation, apply science and technology, and ministries, agencies, and organizations should actively support businesses in terms of market, capital, management, design, packaging, intellectual property rights, etc.

The Prime Minister requested that tomorrow, a negotiation delegation be established with the US side, led by the Minister of Industry and Trade, to develop appropriate scenarios and plans, with the spirit of ensuring maximum national and ethnic interests, harmonious interests, and shared risks.

Thanh Lam

Source: https://vtcnews.vn/sau-nhat-ban-va-han-quoc-my-tuyen-bo-dam-phan-thuong-mai-voi-viet-nam-ar936935.html