Vietnam to Sign A Free Trade Pact With Israel This Year

Vietnam and Israel will sign a free trade agreement later this year, after seven years of negotiations, according to the government of the Southeast Asian country.

According to the government, bilateral trade between the two countries increased 18% last year to $2.2 billion. Smartphones, footwear, and seafood are among Vietnam's top exports to Israel, while it imports electronics and fertiliser.

Since the early 1990s, Vietnam has signed more than 15 bilateral and multilateral free trade agreements in an effort to attract more foreign investors to its manufacturing-driven economy.

Vietnam and Israel announced earlier on Sunday that they had completed FTA negotiations, laying the groundwork for the two countries to sign the agreement this year. During Nguyen's visit to Israel, the announcement was made during a working session between Vietnamese Minister of Industry and Trade Nguyen Hong Dien and Israeli Minister of Economy and Industry Nir Barkat.

Dien stated that the agreement, which will be signed during the 30th year of diplomatic relations between the two countries, will benefit both economies and bilateral trade. He suggested that the two sides increase coordination and delegation exchanges to seek and promote trade and investment opportunities, and he encouraged Israeli companies to invest in Vietnam in areas such as industry, high-tech agriculture, information technology, green production, and industrial infrastructure.

Dien also urged Israel to share its digital economy, digital transformation, and energy transition experience and technology. Barkat, for his part, pledged to continue cooperation and exchange activities between the two ministries, as well as trade promotion programmes to help businesses operate more smoothly.