New-generation FTAs benefit Binh Dinh's exports

According to the department, 20 local businesses are exporting to countries that have signed the UKVFTA. Eight different product groups were transported to these markets by them last year, with wood products being the top export earner at 47.2 million USD.

The Deputy Director of the department, Vo Mai Hung, stated that the new-generation FTAs, such as the UKVFTA, not only allowed Binh Dinh to promote trade relations with developed economies, but also accelerated the province's administrative reform, thereby improving its trade and investment climate.

Through a transparent and equal mechanism, local businesses would be able to comprehend guidelines and policies, and then have numerous opportunities to gain access to information that would facilitate their export activities, he stated. They would also benefit from the elimination of tariffs under the agreements.

New-generation FTAs benefit Binh Dinh's exports (Illustrative image).

In accordance with the UKVFTA, for instance, 65 percent of all tariffs have been eliminated from UK-Vietnam trade. In the first six years of the agreement, the United Kingdom would eliminate 99.2% of tariff lines on imports from Vietnam.

Specifically, 83 percent of tariffs imposed on Vietnamese wood and wood products exported to the United Kingdom, which are Binh Dinh's primary exports, have been eliminated. After two to four years, tariffs on all other products, including particle boards, fiber boards, and plywood, will be eliminated.

Hung stated that his department would continue to accelerate trade promotion, connect goods supply chains, and assist local businesses in advertising their products in order to expand their presence on the British market.

Priority would also be given to enhancing the competitiveness of local businesses and export products, as well as promoting the UKVFTA and the FTA members' markets, so that businesses in the province could take advantage of the opportunities presented by the FTA.

In addition to promoting the application of cross-border e-commerce and joining the global e-commerce floors, he stated that local businesses should continue to ensure the quality of their export products, foster technological innovation to improve the competitiveness of their export goods, and continue to ensure the quality of their export products.

Over the past five months of this year, Binh Dinh exported goods to 105 countries and territories and earned over 700 million USD. During the period, exports to the United Kingdom totaled 30,4 million US dollars, or 4.3% of total revenue, according to departmental statistics.