Vietnam to face trade sanctions for failing to fulfill trade commitments: Minister
Stricter enforcement of intellectual property rights protection means local enterprises can be involved in legal disputes and all the rigorous investigation and screening processes that follow, unless they become aware of the importance of such issues.
Vietnam could be subject to trade sanctions if the country fails to fulfill its commitments, particularly those in the EU – Vietnam Free Trade Agreement (EVFTA), Minister of Industry and Trade Tran Tuan Anh has warned.
Minister of Industry and Trade Tran Tuan Anh. Source: Ngoc Thuy.
|
Pressure from the competition would come from both domestic and international markets, Anh added.
According to Anh, it is no doubt that Vietnamese enterprises are entitled to preferential treatments in the European market. However, “it is by no means an easy task to benefit from them without a recognized brand built on a solid intellectual property rights (IPR) foundation and quality that meets EU’s high standards,” he said.
Moreover, Vietnamese enterprises' operations in the domestic market would now be subject to new laws and regulations, which are being revised based on international laws and Vietnam’s commitments to the EVFTA, Anh continued.
In this regard, Anh urged government agencies to set up action plans towards the realization of the country’s commitments, particularly in the legal aspects, so that Vietnam could be safe from safegurad measures initiated by its trade partners.
The EVFTA sets high standards on various aspects, from working environment, product quality, to specific issues such as illegal fishing or origin of wood products, requiring Vietnam to change its old mindset and get along with new ways of thinking and doing business, Anh stated.
Panelists at the conference. Source: Ngoc Thuy.
|
“This would allow more investments and technology transfers from the EU to Vietnam, particularly in the manufacturing and agricultural sectors,” said Ngoc Anh.
While the process is expected to help Vietnamese goods and products access the EU market, stricter enforcement of IPR protection means local enterprises could be subject to legal disputes and all the rigorous investigation and screening processes that follow, unless they become aware of the importance of such issues, Ngoc Anh asserted.
The Ministry of Science and Technology is scheduled to complete the draft of the revised Intellectual Property Law in October, he said.
Director General of the Vietnam Directorate of Market Surveillance under the Ministry of Industry and Trade Tran Huu Linh admitted violations of IPRs in Vietnam are still common, which is a major challenge for government agencies and disheartens potential investors.
Linh suggested the government to set up a national strategy on intellectual property and the implementation of IPR.
Vietnam is expected to remove 65% of import tariffs for European goods right after the deal becomes effective. The remaining would be gradually phased out in the next 10 years.
In return, the EU is committed to removing 71% of import tariffs for Vietnamese items, and the remaining in the next seven years.
It is estimated that the EVFTA will add 0.1 percentage point (ppt) on average to Vietnam’s real GDP growth each year based solely on its trade impacts, according to HSBC.
The European Commission estimates that Vietnam’s exports to the EU would grow by around 18% as a result of the agreement, while the EU’s exports to Vietnam are slated to increase by around 29%.
Over the past ten years, trade turnover between the EU and Vietnam has increased 10-fold to US$53 billion in 2018. The EU is currently Vietnam’s third largest trading partner, while Vietnam is the bloc's 19th largest partner in the world, and the second largest in Southeast Asia, behind Singapore, according to the VCCI.
15:34, 2024/11/27
Big discounts on offer at Hanoi's November Promotion Festival
The event is part of the Hanoi Concentrated Promotion Program 2024, held in May, July, and November, attracting up to 2,000 businesses.
17:23, 2024/11/26
Hanoi unveils 150 most popular Vietnamese products and services for 2024
The "Most Popular Vietnamese Products" voting program is part of the city's broader efforts to encourage the consumption of local goods.
16:50, 2024/11/23
Hanoi hosts the Vietnam Regional Specialties Fair 2024
This year's fair will contribute to the promotion of trade and the expansion of typical regional products, especially agricultural and food products that meet export standards.
14:06, 2024/11/20
Hanoi strengthens export competitiveness and trade protection measures
Hanoi will work with the Ministry of Industry and Trade to ensure that businesses and manufacturers are ready for new challenges.
10:49, 2024/11/16
US reiterates Vietnam is not manipulating currency
The US Treasury Department’s positive evaluation underscores Vietnam’s progress in balancing its economic and monetary policies while fostering strong bilateral relations with the US.
21:14, 2024/10/31
Vietnam, Brazil: Building bridges through shared history and new partnerships
Vietnam and Brazil are forging a future of mutual development, bridging continents through their shared history and new partnerships.
- Hanoi to attract tourists by showcasing local specialties at wholesale markets
- National E-commerce Week, Vietnam Online Shopping Day 2024 set to kick off
- Vietnamese goods in rising demand among Hanoi residents
- Hanoi unveils 2024 rural industrial plans
- Hanoi advances supporting industries for hi-tech services
- Vietnam’s economy remains resilient amid global uncertainties: ADB