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EXPERT PERSPECTIVE

example in areas like digital trade.
So the CPTPP will give us another
opportunity for preferential trade with
New sources
Vietnam and build on the UK-Vietnam
Free Trade Agreement (UKVFTA), which
entered into force in 2021. Total UK-Viet-
nam trade has doubled in the past ten
of growth
years, from £3 billion ($3.8 billion) in
Visiting UK Trade Commissioner for Asia-Pacific, Mr. Martin Kent, 2013 to over £6 billion ($7.6 billion) last
tells VET’s Ngoc Lan about the opportunities in Vietnam - UK trade year. As a rapidly-growing economy in
relations and particularly the role of free trade agreements. the heart of the Asia-Pacific, with growth
of over 5 per cent last year and a predicted
6 per cent this year, we see Vietnam as an
important partner and are committed to
continuing to grow our trade relations.

% How has the UKVFTA given bilateral
trade a boost?
INTERVIEW stone for enhancing bilateral trade between
The UKVFTA has emerged as a corner-
the UK and Vietnam, ushering in a new
era of economic cooperation and opportunity
for both nations. This landmark agreement,
which came into effect on January 1, 2021,
has already begun to yield tangible benefits,
creating a significant boost for bilateral
trade through various mechanisms and pro-
visions aimed at fostering greater economic
integration and collaboration.
% Can you tell us how the UK is engag- exports £1.9 billion ($2.4 billion) worth Over the years, bilateral trade between
ing with ASEAN and especially with of financial services to ASEAN. We look the UK and Vietnam has witnessed signif-
Vietnam? forward to the innovations and partner- icant growth, and with bilateral commerce
Southeast Asia is an increasingly ships that will come out of the package. hitting all-time highs, Vietnam has become
important engine of global growth and a Vietnam is a key market for the UK in one of the UK’s most important Southeast
key partner for the UK. The International ASEAN, with its rapid economic growth Asian trading partners. This was in part
Monetary Fund (IMF) has forecast that and liberal trade policy. We want to con- made possible by the UKVFTA, which has
ASEAN will grow to be the fourth-largest tinue to work closely together to boost laid the groundwork for an increasingly
economy in the world by 2027, larger trade and economic relations. vibrant economic collaboration.
than Germany and Japan but behind To further capitalize on this momentum,
India, the US, and China. % How do you view the UK’s accession both countries are focusing on promoting
UK-ASEAN trade is worth over £47 to the Comprehensive and Progressive trade and investment through enhanced
billion ($59.5 billion), and we are com- Agreement for Trans-Pacific Partner- cooperation in key sectors, leveraging
mitted to growing this relationship for ship (CPTPP)? digital technology for trade facilitation,
mutual prosperity. Just last month, I was The CPTPP is a large free trade area fostering closer economic ties through
in Jakarta to launch the £25 million ($31.6 made up of some of the world’s most joint initiatives and agreements, and con-
million) ASEAN-UK Economic Integration dynamic and rapidly-growing economies tinuously updating and improving the
Program. The program will harness oppor- across the Asia-Pacific and Americas. With terms of the agreement to adapt to chang-
tunities from the digital economy, with a the UK as a member, the bloc will account ing economic landscapes. Additionally,
strong focus on women’s economic empow- for 15 per cent of global GDP. We are efforts to promote awareness about the
erment and small business development. delighted that Singapore, Japan, and Chile benefits of the UKVFTA among businesses
We look forward to bringing the best of have formally ratified our accession. The and stakeholders in both countries will be
UK expertise in regulatory reform, financial CPTPP Act also recently received Royal crucial for maximizing its potential impact.
services, and trade policy to ASEAN for Assent in the UK Parliament, meaning
mutual prosperity. we are one step closer to its entry into % How are Vietnam and the UK work-
2024 will be the UK’s third year as an force by the end of this year. ing together to boost bilateral agricul-
ASEAN Dialogue Partner, under Laos’ This agreement is a gateway to the tural trade?
Chairmanship. Our top focus will be wider Indo-Pacific and Americas region, We are delighted to see our bilateral
setting up the ASEAN Economic Inte- bringing new opportunities for British agricultural trade relations going from
gration Program and progressing the new businesses in a region that will account strength to strength, with our agriculture
ASEAN-UK Financial Services Collabo- for the majority of global growth and exports to Vietnam increasing 97 per cent
ration Package. The package brings half of the world’s middle class consumers between 2019 and 2023.
together expertise from the UK’s private in the decades to come. The UK’s post-EU exit import require-
and public sectors to focus on three key Joining this high-standard and forward- ments came into force last month. Viet-
areas: market infrastructure, green finance, thinking trade bloc enables us to work with nam is one of only 23 non-EU countries
and financial access and inclusion. The Vietnam and other CPTPP members to to have been specifically “risk assessed”.
UK is a leading financial hub and already shape the trading systems of the future, for Due to Vietnam’s historical compliance,

12 Vietnam Economic Times May 27, 2024 en.vneconomy.vn