Two-way trade between Việt Nam and Malaysia rose 14.8 per cent in 2022 to $14.67 billion. — VNA/VNS Photos

HÀ NỘI — Việt Nam and Malaysia had always enjoyed close ties, even before they officially established diplomatic relations on March 30, 1973.

In the five decades since, the bilateral relationship has been continuously reinforced and promoted across all fields, from politics and diplomacy to defence and security, as well as economy and culture.

This is especially the case since the Southeast Asian neighbours elevated their cooperation to a strategic partnership in 2015.

Regarding politics-diplomacy, the two sides regularly exchange delegations and high-level meetings through all channels of Party, Government, State and people-to-people contacts.

Even amid the COVID-19 pandemic, Việt Nam and Malaysia still promoted their relations through telephone talks among their senior leaders.

The two countries have approved an action programme to implement their Strategic Partnership for the 2021-2025 period with major orientations, aiming to effectively exploit the potential and strengths of each country, recovering sustainable development together in the post-pandemic period.

During Malaysian PM Dato Sri Ismail Sabri bin Yaakob’s visit to Việt Nam last March, leaders of the two sides pledged to further deepen bilateral political and economic cooperation by increasing and maintaining high-level meetings and promoting the existing collaboration mechanisms, especially the Joint Committee on economic, science and technology cooperation and the Joint Committee on trade cooperation.

They also agreed to coordinate in effectively implementing signed agreements, including the Action Programme to implement their Strategic Partnership for the 2021-2025 period.

Leaders of the two sides underlined the significance of the steady promotion of two-way trade to a balanced and sustainable direction, striving for the target of US$18 billion in 2025.

Việt Nam and Malaysia also agreed to open their doors to each other’s goods, including agricultural and fisheries products, Halal products, processed food, electronic accessories and finished products.

The two countries have shown close coordination and conducted regular discussions and consultations at international and regional forums, reaching a consensus and sharing many common viewpoints within the ASEAN and between the ASEAN and its partners, contributing to enhancing the role and position of the association in the world arena.

Growing economic-trade partnership

Economic and trade cooperation between Việt Nam and Malaysia has flourished based on firm political relations. Malaysia has for many years been one of the biggest trade and investment partners of Việt Nam.

Việt Nam is currently Malaysia's 11th largest trade partner and the seventh biggest export market. Two-way trade rose 25.3 per cent in 2021 to US$12.5 billion, and 14.8 per cent in 2022 to $14.67 billion. The two sides expect $18 billion by 2025 and $25 billion by 2030.

Regarding investment, Malaysia is the third biggest investor in Việt Nam among the ASEAN member countries. It ranked 10th out of the 142 countries and territories investing in Việt Nam, with 710 valid projects worth $13.08 billion as of February 2023.

Malaysian investors have poured their money into many cities and provinces of Việt Nam, mostly HCM City, Trà Vinh, and Hà Nội.

Meanwhile, Việt Nam had also invested in 21 projects in Malaysia with a total investment of $853 million, ranking ninth among the 78 countries and territories that Việt Nam is investing in as of March 2022.

An energy project with Malaysian investment in Duyên Hải District in the southern province of Trà Vinh. VNA/VNS Photo

Many Malaysian businesses and investors are currently interested in Việt Nam after realising great investment, cooperation and business opportunities in the market, not only in the fields of economy and trade but also in tourism, people-to-people exchange, education, and labour.

Malaysia needs workers and boasts a high cooperation potential in tourism and investment.

Regarding cooperation in Halal food production, Malaysia, with its strength in developing standards, can help Vietnamese agricultural and aquatic products to produce Halal food to the standards of Muslim countries, enabling it to enter Malaysia and Muslim markets in the Middle East and other parts of the world.

Furthermore, security-defence cooperation between the two countries has also been strengthened. The two sides have maintained exchanges of delegations at all levels while sharing experience and information on the prevention and the fight against terrorism, cybercrimes and transnational crimes.

In 2015, they signed an agreement on cooperation in preventing and combating transnational crimes. In addition, bilateral cooperation in labour, education and tourism has also been fruitful.

It can be seen that over the past five decades, the Việt Nam-Malaysia relations have been nurtured and promoted by generations of leaders of the two sides in both depth and width, benefiting both nations and for the sake of peace and stability in the region and the world. — VNS