adv-06 adv-06

EVFTA helps Vietnam to export more garments


evftaAccording to the Ministry of Industry and Trade (MoIT), under the EU-Vietnam Free Trade  Agreement, almost $5 billion in Vietnamese exports to the EU benefited from preferential tariffs (EVFTA). FTAs, according to the Ministry of International Trade, has aided the country in achieving fast and sustainable exports, gradually diminishing its reliance on single or specific markets. Certificates of origin have enabled it to benefit from preferential treatment under FTAs to the tune of 32-34 percent of yearly export earnings, demonstrating that Vietnamese enterprises and goods are increasingly taking advantage of concessionary tariffs in countries with which it has FTAs. According to the MoIT, authorized agencies and organizations in Vietnam provided almost 127,300 sets of the certificate of origin from EUR 1 for over $4.8 billion in exports to the 27 EU nations from August 1, 2020, when the EVFTA went into effect, until April 4, this year.

In addition, businesses sending goods to the EU used self-certification of origin for over $10.88 million in commodities to take advantage of advantageous tariffs. According to the MoIT, the majority of the beneficiaries were footwear, aquatic products, textile-garment, farm food, and electronic products.