Minister of Industry and Trade Nguyen Hong Dien (right) and Swedish Ambassador to Vietnam Ann Måwe at the meeting in Hanoi on May 9. (Photo: VNA)At their meeting in Hanoi, Dien said the export structures ofVietnam and Sweden do not compete with but are complementary to each other,which is favourable conditions for their businesses to enhance partnershipsand diversify supply chains, particularly of the commodities matching a country’sstrength and the other’s demand such as apparel, footwear, wood products,tropical farm produce, and aquatic products of Vietnam and chemicals,pharmaceuticals, paper products, electronic devices, and machinery of Sweden.
Sweden is a high-income country with strong purchasing poweras seen in Vietnam’s exports to the European nation exceeding 1 billion USD annually and keepgrowing.
He held that global difficulties and challenges require thetwo countries cooperate more strongly and effectively, especially in trade andinvestment, to jointly respond and improve each economy’s resilience.
In particular, they should capitalise on the EU - Vietnam FreeTrade Agreement (EVFTA) and the EU - Vietnam Investment Protection Agreement (EVIPA),he went on.
For her part, Måwe noted Sweden, which takes the lead ininnovation and sustainable development in Northern Europe, always hopes tostrengthen ties with Vietnam in the fields of energy and sustainabledevelopment.
She introduced Ericsson and Hitachi Energy, two major energyfirms of Sweden, as well as the prospect of these companies’ supply of energytransition solutions for Vietnam.
The ambassador also informed her host that Swedfund,a development financier of the Swedish Government, is willing to help Vietnam,the Vietnam Electricity (EVN) group in particular, receive sponsorship forresearching and developing smart grids.
Dien said implementing the Just Energy Transition Partnership (JETP) agreementis one of the important solutions for energy transition in Vietnam.
However, information about a funding package worth over 15.5billion USD from developed countries for Vietnam to shift from coal-fired powergeneration to clean energy remains unclear. Meanwhile, it needs a detailedroadmap and mechanisms to realise ideals and translate commitments into actionto successfully implement the JETP.
Vietnam hopes that developed countries, includingthe EU and Sweden, will work out concrete funding packages to assist with itsenergy transition and soon issue a roadmap and necessary mechanisms to disburseand effective use the sponsorship, the minister went on.
Asthe two countries will mark the 55th anniversary of their diplomaticrelations in 2024, the two officials also expressed their hope that the countrieswill hold high-level mutual visits and other activities to bolster ties intrade, industry, and energy.
According to the General Department of Vietnam Customs,bilateral trade approximated 1.62 billion USD in 2022, up 6.3% year on year. Thatcomprised 1.26 billion USD worth of Vietnam’s exports and 353 million USD worth of imports,respectively, up 5.4% and 9.9%.
Inthe first quarter of 2023, due to escalating inflation, global recession risks,and lower demand in the EU, the trade turnover fell 16.8% from a year earlierto 331 million USD, including 253 million USD worth of Vietnam’s exports and 78million USD worth of imports, respectively, down 16.5% and 17.9%.
As of the end of March, Sweden had 103 valid investmentprojects worth over 680 million USD in Vietnam, ranking 29th among 143 countries and territories investing in the Southeast Asian nation./.
VNA
