Vietnam opens up to the European Union

The dismantling of 70% of tariffs is planned

Vietnam and the European Union have concluded the negotiation process of a Free Trade Agreement.

[Img # 22704] The treaty between Vietnam and European Union foresees the dismantling of 70% of the duty and regulates various aspects to improve the legal security in the local business environment. After the difficulties of implementing the TPP for the withdrawal of United States, this is a particularly significant agreement that will imply an increase in business opportunities.

This market presents, however, important weaknesses. Access to capital by Vietnamese companies is limited, which hinders its competitiveness and increases the trade credit risk. Furthermore, Vietnam is a highly sensitive market to economic recessions en Asia, with a high level of state intervention in the business environment and exposed to changes in investment flows, since 70% of its exports They depend on foreign capital companies.

Source: Credit and Surety