HCM City (VNA) – In the context of supply chainflu🧸ctuations, the European Union (EU) is promoting the diversification of supplies and 🎐choosing Vietnam as a strategic destination in the Asia–Pacific region, hearda trade forum in Ho Chi Minh City.

The event was held by the Ministry of Industry and Trade (MoIT) onSeptember 14, focusing on opportunities to expand the supply chain with EU partners. Nguyen Thao Hien, Deputy Director of the MoIT's European-American MarketDepartment, said that in recent years, Vietnam has been transformingstrongly to become an important link in the global production and supply chain withcompetitive advantages from its favourable geo-economic location and a seriesof free trade agreements that it has participated in. The EU is currently a leading trading partner as it is the thirdbiggest export market and fifth largest import market of Vietnam. Meanwhile,Vietnam is the 16th trading partner of the EU and the largest trading partnerof the EU in the Association of Southeast Asian Nations (ASEAN) and the world’s11th biggest supplier of goods to the bloc. Statistics from the General Department of Customs, two-way trade between Vietnam and the EU reached 62.24 billionUSD last year, up 9.2% compared to 2021’s figure. Of which, Vietnamshipped 46.82 billion USD worth of products to the bloc, up 16.7%. Hien said that Vietnamhas favourable conditions to expand a diverse and sustainable supply chain withEU partners as Vietnam is one of the first four Asian countries that signed anFTA with the EU. This will continue to create significant competitiveadvantages for Vietnamese businesses exporting to the EU in the coming time, she said, adding that goods structure of import and export between Vietnam and theEU is complementary to each other. The shifting of supply chain andinvestment flows is bringing opportunities for Vietnam to enhance competitionto attract investment and transfer technology from EU partners, she noted.

Sharing difficulties whenexporting products to the EU relating to the garment and textile industry, Vu DucGiang, Chairman of the Vietnam Textile and Apparel Association, said it is amust for businesses to invest in infrastructure, improve the working environment, and reduce carbon emissions along with ensuring quality standards.

Vice Chairmanof the European Chamber of Commerce (EuroCham) in Vietnam Jean-Jacques Boﷺuflet said that as globalconsumers prefer environmental friendly products and companiesfocus on investing in green logistics, Vietnam is facing challenges related togreen transition and sustainable development.

To deal with these difficulties,it is essential for the country to ensure its compliance with green standardsthrough the application of stricter environmental regulations, pouring morecapital into research and development and infrastructure improvement, he suggested,adding that enhancing logistics capacity and human resource training is alsoneeded./.