Korea-Vietnam Economic Joint Committee Held... Agreement to Expedite Negotiations on 'Special Entry Procedures'

[Asia Economy Reporter Lim Cheol-young] Lee Seong-ho, Director-General for Economic Diplomacy Coordination at the Ministry of Foreign Affairs, held the 18th Korea-Vietnam Economic Joint Committee meeting via video conference on the afternoon of the 17th with Tran Quoc Phuong, Vice Minister of Planning and Investment of Vietnam. They evaluated the progress and achievements over the past year in economic cooperation between Korea and Vietnam in areas such as trade, investment, development, infrastructure, and finance, and discussed ways to enhance and strengthen future cooperation.

During this video conference, both sides exchanged in-depth opinions on strengthening cooperation in various fields including △employment and labor cooperation △information and communication technology (ICT) and science and technology △health and medical care △maritime and fisheries △consular affairs. Furthermore, both Korea and Vietnam have managed the COVID-19 quarantine situation transparently, thoroughly, and stably, and even under the pandemic circumstances, they evaluated that they have jointly created exemplary cases of cooperation such as △close communication at all levels △exceptional entry for essential personnel including businesspeople △mutual support of quarantine supplies between government and private sectors.

In particular, the Korean side introduced that in addition to overcoming the COVID-19 crisis, it is promoting digital new deal and green new deal policies to prepare for the post-COVID era, and the Vietnamese side expressed its determination to overcome COVID-19 through continuous economic cooperation with Korea. They then evaluated the achievements of exceptional entry of Korean nationals into Vietnam so far and agreed to promptly conclude negotiations on special entry procedures for essential personnel such as businesspeople to accelerate the recovery of economic cooperation between the two countries amid the prolonged COVID-19 situation.

Both sides reviewed the follow-up measures after the summit in November last year and the summit call in April 2020, as well as the status of major cooperative projects, and discussed expanding trade and investment between the two countries and strengthening industrial cooperation in infrastructure, finance, and information and communication technology (ICT) to promote economic recovery in the post-COVID era and develop Korea-Vietnam economic cooperation relations. The two sides also evaluated the recent recovery trend in trade and investment between Korea and Vietnam and agreed to continue cooperating to achieve the 'trade volume target of 100 billion USD between the two countries' at an early date.

Discussions were also held regarding the advancement and activation of Korean companies' entry and investment in Vietnam. The Korean side requested active cooperation from the Vietnamese side on △participation of Korean companies in infrastructure projects such as smart cities, energy, ports, and transportation △collection of outstanding payments and cooperation on permits for investment development projects △support for Korean financial companies entering Vietnam △designation of Korea as a reference country for bidding on medical devices by Vietnamese public institutions. In response, the Vietnamese side requested support for resolving trade imbalances between the two countries by △expanding imports of Vietnamese agricultural and food products and strengthening agricultural competitiveness △enhancing the competitiveness of Vietnamese manufacturing and supporting Vietnamese companies' participation in the global value chain, and also expressed hope for continuous cooperation in the employment and labor sectors.

Meanwhile, both sides evaluated that Vietnam, as a key partner country for Korea's Official Development Assistance (ODA), has successfully contributed to Vietnam's economic and social development through grants and the Economic Development Cooperation Fund (EDCF), and agreed to continue efforts to promote development cooperation in various fields in the future.

They also exchanged broad opinions on the economic situations of both countries before and after the pandemic, as well as on the future global trade and investment environment, and welcomed the enhancement of regional trade liberalization and the expanded foundation for economic cooperation through the signing of the Regional Comprehensive Economic Partnership (RCEP).

An official from the Ministry of Foreign Affairs explained, "This Economic Joint Committee was held as a continuation of high-level exchanges between the two countries, such as the Korea-Vietnam Foreign Ministers' meeting in September and the Korea-Vietnam Speakers' meeting in November, maintaining momentum for the development of bilateral relations. It is evaluated as an effective opportunity to further strengthen economic cooperation with Vietnam, a major trading partner of Korea and a key partner in the New Southern Policy, and to actively support the resolution of difficulties faced by Korean companies operating in Vietnam amid the pandemic situation."