Free trade agreements (TFAs) are when two or more countries agree on trade terms between them. They determine the value of customs duties and customs duties imposed by countries on imports and exports. In 2007, with Vietnam`s accession to the World Trade Organization (WTO), it took an important step towards integration into world trade and the conclusion of several free trade agreements that followed. The BTA is the most comprehensive trade agreement Vietnam has signed to date. Below you will find a number of links with additional information about the BTA. Several reports above in the list of links contain readable summaries and/or explanations of what the BTA covers and means. Please note that non-U.S. government sites and reports do not represent the views of the U.S. government and are not relevant interpretations of the BTA.
Overall, ASEAN is the EU`s third largest trading partner outside Europe (after the US and China). Ensuring better access for EU exporters to the dynamic ASEAN market is a priority for the EU. Negotiations for an EU-ASEAN trade and investment agreement between the regions started in 2007 and were interrupted by mutual agreement in 2009 to become a bilateral negotiating format. These bilateral trade and investment agreements were conceived as building blocks for a future agreement between the regions. Singapore`s history could be an example from which Vietnam can learn. In 2018, harvard economist Dani Rodrik, however, argued in the Journal of Economic Perspective that such free trade agreements increase the volume of trade, but that the distribution of those profits is another thing: « A trade deal, covered by another set of special interests, can as easily make things worse as they do better. » He also wrote that « such an agreement can take us away from the effective outcome, even if it accepts the cover of a free trade agreement and expands the volume of trade and investment. » Rodrik said the effects of free trade agreements are fundamentally uncertain and protectionism is intensifying. The benefits of free trade agreements will allow Vietnam`s economic development to continue to shift from the export of low-tech manufacturing products and primary goods to more complex high-tech goods such as electronics, machinery, vehicles and medical equipment. When the BTA entered into force on December 10, 2001, the United States immediately offered Vietnamese goods and enterprises access to the U.S. market — a market that accounts for nearly one-third of global GDP — on the same basis as it grants to other countries with which it has normal trade relations. .