Viet Nam’s exports to the Americas have seen impressive growth after the three-year implementation of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), heard a seminar held by the Industry and Trade magazine on Thursday.
Figures show that Viet Nam is the only CPTPP member that has seen its market share in Canada and Mexico increase, according to Nguyen Thi Thu Trang, director of the WTO and Integration Centre at the Viet Nam Chamber of Commerce and Industry (VCCI).
Viet Nam’s market share in Canada rose from 0.9 per cent in 2017 to 1.2 per cent in 2019 – the first year of CPTPP implementation – and 1.6 per cent last year. Meanwhile, that in Mexico expanded from 0.9 per cent in 2018 to 1.7 per cent in 2021.
The figures reflect Viet Nam’s successes in utilising tariff incentives under the deal to access the Americas and increase its market share, Trang noted.
Vo Hong Anh, deputy director of the Ministry of Industry and Trade (MoIT)’s European - American Market Department, said among the CPTPP member countries, four are from the Americas - Canada, Mexico, Peru and Chile. Except for Chile with which Viet Nam signed a bilateral free trade agreement (FTA) in 2014, this is the first time the Southeast Asian nation has reached an FTA with the remaining three.
Therefore, such tax incentives will bring about good opportunities for Viet Nam to boost its exports, Anh noted.
Viet Nam’s exports to Canada grew about 75 per cent and to Mexico more than doubled in 2021 compared with the period before CPTPP, she added.
Anh pointed to obstacles to Vietnamese exporters in their access to the Americas, such as the long geographical distance that makes transportation cost more time and money.
Other roadblocks lie with market standards, especially in North America, and the language as most of the Latin American nations use Spanish in transactions, she continued.
The official affirmed that the MoIT has always paid attention to implementing the agreement to bring about the most pragmatic interests of businesses.
Last July, the ministry sent a delegation to the US, Canada and Mexico in an effort to promote trade with the countries, and the sides reached some consensus on orders on this occasion.
The ministry will continue to help businesses handle risks regarding trade barriers and remedies, Anh said, suggesting they establish showrooms and distribution centres in the region. — VNS