Vietnam china trade deficit

The Hanoitimes - The current stage of the relationship began with the full normalization of relations in November 1991. Top leaders of Vietnam and China have exchanged congratulatory messages to celebrate the 71st anniversary of official diplomatic ties (January 18, 1950-2021) between the two countries. Vietnam and China have a deeply rooted diplomatic history, formalizing neighborly relations under the principles of “friendly Sino-Vietnam relations for peace, stability and prosperity.” The Vietnam-China relations have been consistently reinforced and enhanced under the principles of “friendly Sino-Vietnam relations for peace, stability and prosperity." General Secretary of the Communist Party of Vietnam and State President Nguyen Phu Trong, Prime Minister Nguyen Xuan Phuc, and National Assembly Chairwoman Nguyen Thi Kim Ngan have exchanged messages with Chinese Party General Secretary and State President Xi Jinping, Premier Li Keqiang, and Chairman of the Standing Committee of the National People’s Congress Li Zhanshu. Deputy Prime Minister and Foreign Minister Pham Binh Minh, who is also Chairman of the Vietnam-China Steering Committee for bilateral cooperation, exchanged greetings with Chinese State Councilor and Foreign Minister Wang Yi, Chairman of the China - Vietnam Steering Committee for bilateral cooperation. Political links highlighted China was the first country in the world to establish diplomatic relations with Vietnam. In 2008, the two countries upgraded the relations to Comprehensive Strategic Cooperative Partnership status, the highest cooperation framework in Vietnam’s relations with its partners. The close cultural and political links both historically and in modern times through the leading rule of the Communist Party of Vietnam (CPV) and the Communist Party of China (CPC) have cultivated stronger ties between the two countries, according to Ramses Amer, Associated Fellow, Institute for Security & …

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The Hanoitimes - The foreign-invested sector made up 76.4% of Vietnam’s total exports in the first two months with US$37.07 billion, representing an increase of 30.5% year-on-year. Vietnam reported an estimated trade deficit of US$800 million in February, narrowing the trade surplus in the first two months of 2021 to US$1.29 billion in 2019, the General Statistics Office (GSO) has said in a monthly report. Data: GSO. Chart: Ngoc Thuy Overall, Vietnam's trade turnover in the January-February period is likely to rise by 24.5% year-on-year to reach US$95.81 billion, of which its export value could amount to US$48.55 billion, up 23.2% year-on-year, and imports are estimated at US$47.26 billion, up 25.9%. According to the GSO, the foreign-invested sector made up 76.4% of the total exports with US$37.07 billion, representing an increase of 30.5% year-on-year, and the domestic-invested sector with US$11.48 billion, or 23.6% of the total. Among Vietnam’s key export staples, phones and parts are predicted to earn the largest export turnover during the January-February period at US$9.3 billion, up 22.8% year-on-year and accounting for 19.2% of Vietnam’s total exports. In addition, electronic products, computers and components have earned an estimated US$6.9 billion, up 27.3% year-on-year; followed by equipment and parts (US$5.5 billion and up 72.6%); garments (US$4.8 billion and down 0.01%). Data: GSO. Chart: Ngoc Thuy In the January – February period, the US, China, EU, ASEAN and South Korea remained Vietnam’s largest five export markets. Meanwhile, China continued to be Vietnam's largest supplier, selling US$17 . 3 billion worth of goods to Vietnam, surging 85 . 7% year-on-year. South Korea claimed the second place by exporting US$8 . 4 billion worth of goods to Vietnam, up 6.7% year-on-year, followed by ASEAN countries with US$5.6 billion, up 18.5%. …

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The Hanoitimes - Vietnamese exporters might find it easy to meet the required rules of origin for their products as a significant portion of its production input is sourced from China and South Korea. One of the most important benefits from the Regional Comprehensive Economic Partnership (RCEP) for Vietnam over existing free trade agreements (FTAs) is that the former offers greater flexibility on the use of raw materials sourced from member countries, according to Viet Dragon Securities Company (VDSC). Electronics production at Hanel Company. Photo: Chien Cong. Specifically, the RCEP does reduce complexity and compliance costs for Vietnamese exporters through a single rulebook that covers the other 14 RCEP markets, stated VDSC in its latest report. Vietnamese exporters, thus, might find it easy to meet the required rules of origin for their products as a significant portion of its production input is sourced from China (textile products) and South Korea (tech products). Limited impacts Nevertheless, the main goal of the RCEP is to merge the existing FTAs that ASEAN has with five other Asia-Pacific countries into a single framework. Therefore, the RCEP eliminates tariffs mainly for goods that already qualify for duty-free treatment under existing FTAs of Vietnam. The benefit of accessing new market and tariff cuts may be limited for Vietnam, noted VDSC. In addition, due to the similarities in export products of many member countries, the deal is expected to boost competition for Vietnamese producers. For example, China had no existing deal with Japan and South Korea, lower tariffs for Chinese products under RCEP might deteriorate the competitive advantages of Vietnamese products exporting to these markets. On the other hand, given a sizable trade deficit between Vietnam and China, reducing trade barriers further could lead to rising imports without an enough compensating access to the Chinese market. The RCEP countries …

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