Korea - Vietnam: strengthening cooperation and 150 billion USD trade target

DNHN - Prime Minister Pham Minh Chinh and President of the Republic of Korea Yoon Suk Yeol attended the Vietnam - Korea Economic Forum, which took place in Hanoi on the afternoon of June 23.

This event was held in conjunction with the state visit of the Korean president to Vietnam. The forum was attended by leaders of ministries, sectors, and localities, as well as approximately 500 businesses, including approximately 300 Korean and 200 Vietnamese firms.

The objective of the Vietnam - Korea Economic Forum in 2023 is to promote future industrial cooperation between Vietnam and Korea, with a focus on global value chain cooperation (GVC), technology transformation (DX), and climate change action programs.

Approximately 9,000 Korean companies are currently investing and operating in Vietnam, not only in traditional but also in emerging fields such as artificial intelligence, information technology, the environment, and green growth. The estimated total investment capital of Korean businesses in the fields of renewable energy and green growth is $1.3 billion.

Significant contributions have been made by Korean businesses in the fields of high technology, electronic industry, energy, automobile manufacturing, and construction... At the Forum, Korean companies expressed their appreciation for the cooperation. The rapid growth of Vietnam in recent years and appreciation for the assistance and facilitation provided by the Vietnamese government and its ministries and sectors to Korean investors.

The delegates at the forum reaffirmed their belief in Vietnam's enormous development potential and vowed to increase trade and investment cooperation between the two nations in the future. They are committed to continuing to support Vietnam and view it as a strategic location and important investment base, particularly in light of the volatile international and global economic climate. Mr. Cho Hyun Joon, the chairman of Hyosung Group, stated that the group has invested in Vietnam for over 20 years with a total capital of approximately 20 trillion won (approximately USD 3.5 billion) and more than 9,000 employees.

Vietnam is considered a strategic and important market by Hyosung. The Group intends to continue its expansion and sustainable growth in Vietnam, particularly in the high-tech industry. They intend to hire 10,000 additional workers in Vietnam. Mr. Cho Hyun Joon stated that the investment cooperation between Korea and Vietnam is a unique model.

Mr. Lee Jae-yong, chairman of the Samsung Group, stated that the company has invested 18 billion USD in Vietnam and that the development of Vietnam is the development of Korean businesses. He has faith in Vietnam's potential and pledges to continue supporting the country in the future.

The Vietnam - Korea Economic Forum left behind not only impressive numbers but also evidence of the confidence and breakthrough of businesses from the two countries in new fields and new journeys.

President Yoon Suk Yeol and Prime Minister Pham Minh Chinh concurred that achieving a bilateral trade turnover of 150 billion USD by 2030 is an urgent objective. To achieve this objective, the Prime Minister pledged to create a more favorable environment for business and investment, eliminate market barriers, and guarantee legal security for businesses. In addition, he encouraged Vietnamese businesses to seek out opportunities for cooperation with Korean businesses and to exploit potential cooperation in the fields of technology, renewable energy, digital transformation, and sustainable development.

The Prime Minister also emphasized the significance of Korean support for the development of Vietnam's information technology and science and technology infrastructure. The exchange of knowledge, technology, and training of human resources will play a crucial role in enhancing Vietnam's competitiveness and long-term development.

President Yoon Suk Yeol and Prime Minister Pham Minh Chinh concurred that enhancing economic, trade, and investment cooperation will not only bring economic benefits to both nations but also demonstrate their solidarity and loyalty. There is mutual respect between the two countries. The two leaders also vowed to strengthen cultural, educational, and linguistic exchanges to foster mutual understanding and goodwill between the two nations' populations.

Achieving a bilateral trade turnover of 150 billion USD by 2030 is not only an attainable goal but also a breakthrough, if both countries' leaders and businesses commit to making it a reality. Korea and Vietnam have made significant progress in their economic relationship and comprehensive partnership.

Hai Trung