Trade has long been considered a key pillar in the comprehensive strategic partnership between Vietnam and India. Over the past year, this sector has consistently achieved high growth and marked several encouraging milestones.
According to Bui Trung Thuong, the Trade Counselor of Vietnam in India, the trade turnover between Vietnam and India is expected to surpass 15 billion USD in 2024, and reach 20 billion USD soon.
One of the highlights of the bilateral trade ties was the visit of Prime Minister Pham Minh Chinh to India. During the visit, a business forum attracted over 300 Indian companies, including many major names. Several cooperation agreements were signed.
Tourism is another bright spot in the growing economic relations between the two nations. The number of Indian tourists visiting Vietnam has increased 3-4 times in 2024, potentially reaching 500,000 to 600,000 visitors. India now ranks 6th among source markets of Vietnam tourism.
In terms of investment, for the first time, a Vietnamese company, VinFast, has invested in India with 2 billion USD in capital.
There are still some challenges, like India’s strict quality standards as a trade protection measure while Vietnamese companies are not proactive in exploring the Indian market. However, Thuong is optimistic that 2025 will bring many opportunities for both countries.
The two countries also have great potential to collaborate in areas like semiconductor technology, AI, agriculture, and processed foods. The Vietnam Trade Office is promoting the idea of a free trade agreement for breakthroughs in economic and trade relations between the two countries./.
