Representatives from Việt Nam, Norway, Switzerland, Iceland and Liechtenstein signed the agreement on October 18. — VNA/VNS Photo

HÀ NỘI — Việt Nam and the European Free Trade Association (EFTA) officially signed a free trade agreement (FTA) in Hà Nội on Sunday morning after 14 years of negotiations.

The signing ceremony was witnessed by General Secretary of the Communist Party of Việt Nam Central Committee and President Tô Lâm, with Vietnamese Minister of Industry and Trade Lê Mạnh Hùng and representatives of EFTA member states.

The EFTA representatives included Swiss President and Head of the Federal Department of Economic Affairs Guy Parmelin, Liechtenstein Prime Minister and Finance Minister Brigitte Haas, Icelandic Foreign Minister Þorgerður Katrín Gunnarsdóttir, and Norwegian State Secretary at the Ministry of Foreign Affairs Astrid Bergmål.

The signing marks an important milestone in relations between Việt Nam and EFTA, whose member states are among the world's leaders in innovation, while demonstrating both sides' commitment to strengthening economic cooperation, promoting free trade and consolidating a rules-based trading system amid continued global economic uncertainties.

The comprehensive agreement covers a wide range of areas, including trade in goods, tariffs, technical barriers to trade, sanitary and phytosanitary measures, customs and trade remedies, trade in services, investment, intellectual property, government procurement, competition, small and medium-sized enterprises, dispute settlement, and trade and sustainable development.

The agreement is expected to help Việt Nam diversify its export and import markets, enhance the competitiveness of local businesses and participate more deeply in global value chains, while attracting high-quality investment, advanced technologies and management expertise from leading European economies.

The EFTA is an intergovernmental organisation established to promote free trade and economic integration. It currently comprises four member states of Norway, Switzerland, Iceland and Liechtenstein.

Việt Nam and EFTA have held 21 formal rounds of negotiations. The latest took place in Iceland from June 17 to 22.

On June 22, a delegation led by Deputy Minister of Industry and Trade Nguyễn Sinh Nhật Tân attended the EFTA Ministerial Meeting in Iceland to discuss the outstanding issues needed to conclude the negotiations.

On July 2, Việt Nam and the EFTA member states officially issued a joint statement announcing the conclusion of negotiations on a free trade agreement (FTA) between the two sides.

Representatives from Việt Nam, Norway, Switzerland, Iceland and Liechtenstein signed the agreement on October 18. — VNA/VNS Photo

Economic, trade and investment ties between Việt Nam and EFTA member states have continued to grow, with bilateral trade averaging nearly US$2 billion annually.

The trade structure is highly complementary, with Việt Nam mainly exporting seafood, footwear, textiles and garments, machinery and equipment, electronics and components to EFTA markets, while importing machinery, industrial equipment, chemicals, pharmaceuticals and production materials.

As of the end of 2025, Switzerland had 234 investment projects in Việt Nam with total registered capital of more than $2.4 billion, while Norway had 62 projects worth over $201 million.

Major EFTA corporations and investors have established a presence in Việt Nam in industries including manufacturing, food, pharmaceuticals, energy and technology.

EFTA businesses and investors are also planning major projects in Việt Nam in areas such as innovation, high technology, logistics and precision engineering. — VNS