Sea transportation contributes to boosting EVFTA development

MOU signing between Vietnam Maritime Administration and EuroCham. (Photo: CPV)

On July 30^th, the Vietnam Maritime Administration and EuroCham organized a conference on opportunities and challenges for the Vietnam maritime sector upon joining the EU-Vietnam Free Trade Agreement (EVFTA).

The signing is considered a premise for close and regular cooperation between the two sides in supporting development of sea transportation and developing trade; contributing to fostering the relationships between the EuroCham community and Vietnamese management agencies.

According to the Vietnam Maritime Administration, after taking effect, EVFTA will eliminate 65% of tariffs on EU’s export goods to Vietnam. For Vietnam’s export goods to the EU, EVFTA will cut 71% of tariffs from August 1^st, 2020. Therefore, export and import goods between Vietnam and the EU are forecast to increase significantly. Of this, 90% of Vietnam’s import and export goods are shipped by sea.

In addition, the Vietnam Maritime Administration is studying the construction of some policies to assist ships and container ships with capacity up to 20,000 TEU to enter deep-water ports, and reduce some unnecessary procedures to help businesses promote trade.

In spite of the outbreak of COVID-19 in the first half of the year, the volume of goods through Vietnam’s seaports still reached more than 339 million tons, a year-on-year rise of 7%. The figure is expected to increase when EVFTA officially takes effect.

Earlier, on June 30^th, 2019, Vietnam and EuroCham signed EVFTA. The agreement will officially take effect on August 1^st./.