Trade and investment - locomotives for Vietnam – Canada ties

Vietnam and Canada have enjoyed robust collaboration ties in the past years. In a recent interview with the Vietnam News Agency, Canadian Ambassador Deborah Paul has affirmed that despite the raging COVID-19 pandemic, both nations witnessed rosy relations in 2021. Particularly, trade and investment were billed as important locomotives to develop the ties into a new high.

"Despite the COVID-19 pandemic, 2021 was another positive year for our expanding ties. The positive momentum in bilateral relations was exemplified on several fronts, including a high-level dialogue between our two Prime Ministers at COP26," Canadian Ambassador to Vietnam Deborah Paul said.

Since the Comprehensive Partnership was established in 2017, Vietnam and Canada have seen huge developments in the relations, with trade and investment being important drives.

Especially, the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, of which Vietnam and Canada are members, is expected to create competitive edge for the Vietnamese products in the North American market.

"Trade and investment is also an important driver of Canada-Vietnam ties. Vietnam continues to be Canada’s largest trading partner in the ASEAN region. In 2020, the value of bilateral merchandise trade reached $8.9 billion CAD, in spite of the economic downturn due to the global pandemic," she said.

COVID-19 made 2021 a tough year for the whole world. In that context, Vietnam made concerted efforts to carry out flexible and effective policies to reduce the pandemic’s impacts on socio-economic development.

Canada is one of the leading contributors to the COVAX Facility. The country has recently announced its sponsorship worth 2.35 million USD for Vietnam to implement the project “Leveraging Vietnam’s social impact business ecosystem in response to COVID-19”.

The project will enable many social impact businesses and women-focused ones to respond to COVID-19 impacts by offering vulnerable people and the poor jobs and livelihoods. 

"Canada is encouraged by the efforts of the Vietnamese government and by the citizens  of Vietnam who have come together to combat and prevent the spread of COVID-19," the ambassador said. "Despite the pandemic, Vietnam’s economy has remained resilient, and Vietnam has taken decisive steps to limit both the health and economic fallout. Canada is pleased to contribute to Vietnam’s ongoing efforts to overcome the impact of the pandemic.  Canada has provided international assistance to help fight and prevent COVID-19, and we are one of the top contributors to COVAX globally," she added.

Vietnam and Canada pose huge potential for further collaboration. The Canadian diplomat said consistent with evolving Vietnamese priorities, Canada is shifting its collaboration with Vietnam to inclusive economic growth, and more targeted technical assistance, with priority given to cooperation with private enterprises as well as collaboration towards realising sustainable development goals./.