Illustrative image (Photo: Internet) Hanoi (VNA) – The Comprehensiveand Progressive Agreement for Trans-Pacific Partnership (CPTPP), which tookeffect in early 2019, has enabled several types of Vietnamese goods to rush intoCanada.
CPTPP is a new-generationfree trade agreement (FTA) comprising 11 member states, including Vietnam andCanada. It is also the first FTA to help Vietnam navigate the American continent.
Despite the COVID-19 pandemic in2021, Vietnam’s exports to Canada surged by 20.8% annually to 5.3 billion USD,up 75% prior to CPTPP validity. Last year, the figure surpassed 6.3 billionUSD, up 19.8% year-on-year.
According to the General Departmentof Vietnam Customs, apparel was Vietnam’s biggest currency earner from Canadalast year with a total turnover of 1.3 billion USD, up 40.3% annually andequivalent to 20.7% of Vietnam’s total exports to the country.
It was the result of 0% tariff on all Vietnamese apparel committed by Canada after three yearsof CPTPP implementation, said head of the Ministry of Industry and Trade’sDepartment of European-American Markets Bui Tuan Hoan.
Footwear came second with a recordrevenue of 604.6 million USD, up 64.3%; and computers, electronic products andspare parts 521.3 million USD, up 27.7%.
Several types of goodsrecorded high export revenues such as handbag-suitcase-headwear up 115.2%,plastics up 224.5% and fisheries 39.3%.
Vietnamese CommercialCounsellor in Canada Tran Thu Quynh said as Vietnam’s ninth biggest currencyearner, aquatic products hold the potential of high growth in the coming yearsthanks to CPTPP.
According to the CPTPP’scommitments, Canada eliminated import duties for 95% of tariff lines and 78% ofVietnam’s exports to the country. All Vietnamese aquatic and wooden productshave had their import tariffs removed since 2019.
Taxes on specificgoods will continue falling in line with the roadmap, making it easier forfirms that meet origin requirements to enjoy incentives./.
