European businesses pin hope on EVFTA

The European Parliament has ratified the EU-Vietnam Free Trade Agreement (EVFTA) and the EU-Vietnam Investment Protection Agreement (EVIPA). The ratification is believed to create a breakthrough in trade investment cooperation between European firms and Vietnamese partners after the deals take effect.

The ratification of EVFTA and EVIPA are long expected by 27 EU member countries and Vietnam, especially the business circle of the two sides after nearly eight years of official negotiations of the EVFTA in June 2012.

Strong commitments of EVFTA member countries to open markets will certainly promote trade cooperation between the two sides, helping further expand market for Vietnam's exports. Besides, eliminating import tariff of nearly 100% on goods agreed by the two parties will also offer opportunities for EU products to access the nearly 100-million-population market of Vietnam.

Vietnam is the first developing country in Asia-Pacific to have free trade relations with the EU. Once the EVFTA comes into effect, there is still much work to be done such as improving investment environment and reforming administrative procedures, to open a new chapter in economic and trade relations between Vietnam and EU members./.