Hanoi (VNA) – Minister of Industry and Trade Nguyen Hong Dien pledged Vietnam’s support to Czech businesses and investors while addressing the bilateral business forum held in Prague on January 20 as part of Prime Minister Pham Minh Chinh’s official visit to the European country.
Dien praised the Czech Republic’s economic achievements and position in the region and the world, describing the country as a technological and scientific innovation hub with a thriving startup ecosystem. It is an important link in the global supply chains of many industries such as automobile, machinery, energy, aviation, and defence industries, and also boasts significant strides in renewable energy and green technology.
Briefing participants on the Vietnamese economic situation, the official said that in recent years, Vietnam has earned a reputation as one of the most dynamic economies, with GDP growth averaging between 6.5% and 7% per year. It has become a safe and attractive destination for foreign partners and investors, recording over 500 billion USD in total foreign direct investment (FDI).
Vietnam is now the third largest economy in ASEAN and ranks 32nd globally. It is in the top 20 for international trade and the top 15 for FDI attraction. With exports exceeding 420 billion USD annually, Vietnam is considered one of the world's factories and a major player in global trade.
Vietnam also has a young, dynamic population, political stability, and a strong workforce that is adaptable to new technologies. The country boasts a vast domestic market with over 100 million people, and access to a market of over 6 billion consumers through 17 free trade agreements (FTAs) that it has joined.
Currently, the Czech Republic is Vietnam’s 10th largest trading partner and 13th largest investor in the EU. In return, Vietnam is the Czech Republic’s most important partner and market in Southeast Asia. Bilateral trade has grown consistently at double-digit rates, with trade estimated at over 3.8 billion USD in 2024, up by 31%. By the end of December 2024, Czech investment in Vietnam topped 90 million USD across 41 projects. Vietnamese companies and the Vietnamese-Czech community have also invested millions of USD into the Czech economy.
These achievements are a testament to the 75-year strong friendship between the two nations, Dien stated.
However, he held that the economic partnership's potential remains untapped. Despite positive growth, the collaboration has not fully reflected the strengths and opportunities of both countries, especially with the recent upgrade of their relationship to a strategic partnership, he said.
Given the increasingly complex global political and economic environment, with supply chain disruptions and global challenges posing risks to each country's stability, the minister urged closer cooperation between Vietnam and the Czech Republic. The two countries, both open and deeply integrated economies, should work together more effectively, particularly in trade, industry, and energy transition.
Strengthening bilateral as well as multilateral economic ties within the ASEAN–EU cooperation will deliver significant benefits to both, he said.
Vietnam is accelerating industrialisation and modernisation, with a strong focus on developing high-tech and emerging sectors such as semiconductor, big data, artificial intelligence, the Internet of Things, and cloud computing. These efforts aim to build a modern, green, and sustainable industry, supported by infrastructure development such as high-speed railways, expressways, airports, seaports, and international financial centres.
In energy, the country is shifting towards renewable and new energy sources while restarting its nuclear power programme to diversify energy supply, ensure national energy security, and contribute to its 2050 net-zero emissions target.
To achieve its GDP growth target of 8% to 10%, Vietnam’s electricity generation needs to increase by at least 12–16% annually. Between now and 2030, Vietnam will need 14–16 billion USD each year for energy investment, covering both generation and transmission. These are areas where the Czech Republic has significant expertise and modern technology, the minister noted.
He underlined that the countries' authorities and businesses will strengthen collaboration and exchange experiences to deepen their economic, trade, and energy ties, bringing tangible benefits to both sides.
The Vietnamese Government, Ministry of Industry and Trade, and other relevant authorities are ready to work closely with their Czech counterparts to facilitate future investment cooperation. The Vietnamese Government is committed to providing a favourable business environment for Czech businesses to operate sustainably and efficiently in Vietnam.
Vietnam also looks forward to the Czech Government and its agencies' creation of the best possible conditions for Vietnamese businesses, including Czech entrepreneurs of Vietnamese origin, to invest and expand operations in the European country, he said./.
