Vietnamese cashew nuts exported to Peru will enjoy a zero per cent tax rate when CPTPP officially takes effect. Photo chinhphu.vn

HÀ NỘI  – State President Lương Cường’s official visit to Peru and attendance at the 2024 APEC Economic Leaders’ Week in Lima from November 12 – 16 will demonstrate the robust bilateral relations from politics – diplomacy to economy – trade as well as offer an opportunity to deepen the friendship and cooperation between the two nations.

The trip, to be made at the invitation of Peruvian President Dina Ercilia Boluarte Zegarra, will take place as the two nations are celebrating their 30th anniversary of diplomatic relations (November 14, 1994-2024).

Three decades of growing partnership

Peru was one of Latin America's strongest supporters of Vietnam in its resistance war against the US. Since the establishment of the diplomatic ties, both nations have enjoyed sound bilateral relations across politics, diplomacy, economy, trade, and investment.

Along with maintaining bilateral high-level visits and meetings on the sidelines of international conferences, they have set up dialogue mechanisms, including the political consultation between the two foreign ministries and the intergovernmental committee on economic and technical cooperation.

Besides, Việt Nam and Peru have demonstrated strong alignment at multilateral forums and been members of the UN, the Asia – Pacific Economic Partnership (APEC), the Comprehensive and Progressive Agreement for Trans – Pacific Partnership (CPTPP), and the Forum for East Asia – Latin America Cooperation (FEALAC).

Economic – trade partnership flourishing

The bilateral trade relationship has shown remarkable growth, with value surging 79.1 per cent from US$353.78 million in 2016 to $600 million in 2022 and reaching $486 million in 2023 and $289.6 million in the first nine months of this year.

Việt Nam has shipped electronics and footwear to Peru while importing various products from the Latin American country such as zinc, fishmeal, wood, seafood, quinoa, chia seeds, and fresh grapes. They could capitalise on their strengths to bolster export to each other’s market, given the complementary nature of the two economies.

With a view to facilitating the bilateral cooperation, a wide range of pacts and agreements have been signed between the two countries in the domains of politics, diplomacy, agriculture, and science – technology, among others, including visa exemption agreement for holders of diplomatic and official passports and a Memorandum of Understanding on collaboration in the APEC framework.

Peru currently stands as Việt Nam's sixth-largest trading partner and is the Southeast Asian country’s largest direct investor in Latin America. Vietnamese enterprises have invested over US$1 billion in Peru, primarily through Viettel's telecommunications operations and PetroVietnam's energy projects.

According to Vietnamese Ambassador to Peru Bùi Văn Nghị, Vietnamese firms hold huge potential to expand investment in Peru, given that the country’s recent CPTPP membership serves as an important tool to bolster two-way trade and investment.

Furthermore, their membership to the APEC and CPTPP will give them opportunities to increase the bilateral trade revenue while bolstering cooperation and linkage between ASEAN and Latin America.

The diplomat said Việt Nam could play an important bridging role to connect ASEAN and Latin American nations, particularly Peru which shares similarities with Việt Nam regarding economic development, diverse culture and commitments to sustainable development. He added Vietnam could share its economic development, international integration, and climate change response experience with its Latin American peers, contributing to boosting a sustainable, substantive and effective partnership.

Additionally, Việt Nam and Peru have enhanced cultural and educational exchange programmes, helping improve mutual understanding between their peoples and promote their win-win friendship and cooperation.

A wide range of cultural activities has been held on the occasion of their 30th anniversary of diplomatic relations, with the highlights being an exhibition to explore Peru and the Q'pop & Quechua concert in Hanoi that drew the attention of the public.

Ambassador Nghị noted that President Cườn’s visit aims to continue the implementation of the foreign policy of independence, self-reliance, diversification and multilateralisation of external relations while affirming the country’s comprehensive international integration

Ambassador Nghị notes that the President's visit reflects Việt Nam's commitment to the foreign policy of independence and comprehensive international integration, while demonstrating the country’s consistent policy of treasuring the relationship with Peru and develop it to a deeper and more substantive and effective fashion. VNS