Ba Ria-Vung Tau deemed attractive destination for bolstering Vietnam-Australia economic ties

Sydney (VNA) – Ba Ria-Vung Tau is an emerging hub for foreign investment and an attractive destination for Australia’s economic diversification as well as for its bolstering economic relations with Vietnam, according to a new report published by Perth USAsia.

Canberra is recalibrating its economic relations in the Indo-Pacific region, with the emphasis placed on building trade and investment relations with Southeast Asian nations.

The report describes Ba Ria-Vung Tau as an ideal focal point for efforts to lift the Vietnam-Australia economic ties. The southern province boasts seaports, a new airport under construction, along with constantly upgraded liquefied natural gas (LNG) import infrastructure in the province and nearby localities, which make Ba Ria-Vung Tau a competitive destination for investors from Australia.

Australia could hardly find any other place more appealing in Southeast Asia, says report author and policy researcher Kyle Springer. The presence of many Australian companies, developed infrastructure, location and diplomatic and economic frameworks between the two countries are among the province’s advantages.

In September 2020, the state of Western Australia signed a Memorandum of Understanding with the Ba Ria-Vung Tau People’s Committee to develop trade and closer linkages between the governments and enterprises of the two sides.

The agreement was the state’s strategic choice, opening a number of economic opportunities not only for Western Australia but also Australia, according to Springer.

Vietnam-Australia trade has grown steadily, accounting for 15 percent of the total trade between Australia and ASEAN in 2020. The bilateral trade is expected to thrive further in the coming years thanks to established economic frameworks, including the Regional Economic Partnership (RCEP) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)./.