Ministry of Foreign Affairs' spokeswoman Phạm Thu Hằng at the July 9 press briefing in Hà Nội. — VNA/VNS Photo

HÀ NỘI — Việt Nam welcomed the conclusion of negotiations for the Việt Nam–European Free Trade Association (EFTA) Free Trade Agreement after 14 years of talks, describing the deal as a major milestone in strengthening the country's economic integration with Europe.

Speaking at the Ministry of Foreign Affairs' press briefing on Thursday, spokeswoman Phạm Thu Hằng underscored that the successful conclusion of negotiations reflected the strong commitment of both sides to finalising the agreement.

The FTA is considered an important step in Việt Nam's strategy to diversify its trade partnerships, Hằng said, noting that it will increase the country's total number of signed free trade agreements to 18 while fostering economic links with Europe.

"Việt Nam highly values the outcomes achieved in the negotiations with EFTA members. The agreement marks a milestone in expanding Việt Nam's FTA network and strengthening the comprehensive connectivity between Việt Nam and Europe," she said.

Hằng added that Việt Nam would continue working closely with the four EFTA member states – Iceland, Liechtenstein, Norway, and Switzerland – to complete the signing process and ensure the effective implementation of the agreement, thereby promoting trade, investment and cooperation in areas of mutual interest.

The joint declaration announcing the conclusion of negotiations was issued on July 2, following an EFTA ministerial meeting held in Reykjavík, Iceland, on June 22.

According to the Ministry of Industry and Trade, EFTA is a modern and comprehensive trade pact covering a wide range of areas, including trade in goods and services, rules of origin, sanitary and phytosanitary measures, technical barriers to trade, investment, intellectual property rights, trade remedies, government procurement, sustainable development, support for small- and medium-sized enterprises, and capacity-building cooperation.

It aims to deepen economic ties by reducing or eliminating tariffs, facilitating trade and promoting sustainable development between Việt Nam and the four EFTA economies.

Trade between Việt Nam and EFTA has grown steadily over the past decade. In 2025, bilateral trade reached US$5.4 billion, while Việt Nam recorded a trade surplus of $2.8 billion, up significantly from $571 million a decade earlier, excluding Switzerland's gold trade.

EFTA's main exports to Việt Nam include electrical machinery, seafood, pharmaceuticals and mechanical equipment. Việt Nam's principal exports to the bloc are electrical machinery, footwear, garments and mechanical products, with all major product groups recording average annual growth of more than 10 per cent over the past decade.

Deputy Minister Nguyễn Sinh Nhật Tân in an interview with the press said the agreement was concluded at a time of heightened geopolitical tensions, supply chain disruptions and rising trade barriers, underscoring the shared commitment of Việt Nam and the EFTA member states to free and rules-based trade.

Beyond tariff reductions, the FTA would encourage technology transfer, innovation and sustainable development, benefiting businesses on both sides, Tân noted. — VNS