Vietnam, Pakistan sign Joint Statement to launch negotiations on Preferential Trade Agreement

(Chinhphu.vn) - On the afternoon of October 14, Minister Nguyen Hong Dien and Mr. Jam Kamal Khan, Minister of Commerce of Pakistan, officially signed a Joint Statement to launch negotiations on the Vietnam - Pakistan Preferential Trade Agreement, marking a turning point in economic and trade cooperation between the two countries.

Minister Nguyen Hong Dien held talks with Pakistani Minister of Commerce Jam Kamal Khan

From October 13 to 15, Minister Nguyen Hong Dien and the Vietnamese delegation had a working trip to Pakistan.

On October 14, in Islamabad, Minister Nguyen Hong Dien had a meeting with Pakistani Minister of Commerce Jam Kamal Khan.

At the talks, Minister Nguyen Hong Dien discussed solutions to promote bilateral trade turnover, remove trade barriers, the Vietnam - Pakistan Preferential Trade Agreement (VPPTA)...

Regarding trade cooperation, Minister Nguyen Hong Dien emphasized that Vietnam identifies Pakistan as one of the leading potential partners in South Asia, with a strategic position in the production and trade network connecting Southeast Asia to South Asia and the Middle East. However, trade between the two countries has not grown commensurate with its potential. In 2023, two-way trade turnover reached about 705 million USD. In 2024, it reached about 850 million USD, and in the first 9 months of 2025, this figure only reached nearly 600 million USD.

To soon achieve results in economic and trade cooperation between the two countries, Minister Nguyen Hong Dien suggested that the two countries quickly remove tariff barriers on each other's goods; promote transport and logistics connections...

Regarding investment cooperation between enterprises of the two countries, the Minister suggested that both sides encourage and support enterprises to cooperate in investment in the textile, footwear, agricultural products and Halal food sectors; mechanics, processing, manufacturing, industry, materials and energy; pharmaceuticals; digital technology and innovation. These are sectors in which both countries have strengths and can complement each other instead of competing.

However, Minister Nguyen Hong Dien also frankly pointed out that businesses of the two countries are still facing many difficulties related to regulations on quarantine, technical standards, and import licensing procedures. Some of Vietnam's strong products are facing difficulties due to high tax rates, technical barriers, and quarantine regulations. The Minister suggested that Pakistan study and consider tax reductions to create more favorable conditions for Vietnamese goods to access the market.

Regarding the Vietnam - Pakistan Preferential Trade Agreement (VPPTA), Minister Nguyen Hong Dien affirmed that the two countries' initiation of negotiations and signing of the VPPTA is an extremely important step, with profound strategic and practical significance, demonstrating the strong political determination of the two countries' leaders in gradually elevating bilateral political, economic, trade and investment cooperation.

Agreeing with the proposals of Minister Nguyen Hong Dien, Pakistani Minister of Commerce Jam Kamal Khan acknowledged the frank and goodwill opinions of the Vietnamese side. The Pakistani Minister of Commerce also expressed his wish that the two countries would strengthen cooperation not only in the field of trade in goods but also expand to areas such as trade in services, investment, Halal industry, banking, civil aviation, and healthcare.

According to the Pakistani Commerce Minister, Pakistan and Vietnam have a friendly relationship based on mutual respect and understanding. Over the years, cooperation between the two countries has expanded in many fields and now, Pakistan wishes to take the Vietnam-Pakistan partnership to a new level.

During the talks, the two Ministers agreed to initiate negotiations on the Preferential Trade Agreement and begin negotiations on October 15, aiming to sign it by the end of this year. This is an important legal framework that will help goods from both countries enjoy tax incentives and import-export procedures, increase competitiveness and open a new chapter for Vietnam-Pakistan economic cooperation.

The two sides agreed to strengthen business connectivity, promote trade and investment, especially in the fields of: Textiles, Halal industry, processed agricultural and aquatic products, consumer goods, construction materials, energy, minerals and logistics.

The two sides also agreed to coordinate in handling barriers and bottlenecks in bilateral trade such as aviation connectivity and logistics; coordinate in removing non-tariff barriers, quarantine regulations, and technical standards that are currently causing difficulties for businesses.

Minister Nguyen Hong Dien and Pakistan's Minister of Commerce signed a Joint Statement to launch negotiations on the Vietnam - Pakistan Preferential Trade Agreement.

Marking a turning point in economic and trade cooperation between the two countries

On the same afternoon, at the Vietnam - Pakistan Business Forum, witnessed by Ministers, Deputy Ministers of Pakistan, the Vietnamese Ambassador to Pakistan and businesses of the two countries, Minister Nguyen Hong Dien and Mr. Jam Kamal Khan, Minister of Commerce of Pakistan, officially signed the Joint Statement to launch negotiations on the Vietnam - Pakistan Preferential Trade Agreement, marking a turning point in the economic and trade cooperation between the two countries. The two Ministers assigned the relevant units to organize negotiations immediately, strive to complete negotiations and sign the Agreement as soon as possible and in favorable conditions, striving to complete it in 2025.

The launch of negotiations on the Vietnam-Pakistan Preferential Trade Agreement has profound strategic significance for both countries. From a market access perspective, the Agreement will facilitate the penetration of Vietnamese and Pakistani goods into each other’s markets, especially in areas of strength such as textiles (from Pakistani cotton and yarn to Vietnamese garments), agricultural products, seafood, Halal food, wooden furniture, construction materials, pharmaceuticals, etc.

In addition, the Agreement will also create a stable legal environment, encouraging businesses of both countries to invest in complementary fields, from textile and garment supply chains, processed agricultural products to energy and technology industries. In addition, this is also the foundation for the two countries to move towards a comprehensive Free Trade Agreement (FTA) in the future, enhancing regional connectivity and supporting the two countries to cope with global challenges.

The Preferential Trade Agreement is expected to help take advantage of the complementary strengths between the two dynamic economies, boosting bilateral trade turnover, currently less than 1 billion USD/year, to increase 5-10 times in the next few years.

Anh Tho

Source: https://baochinhphu.vn/viet-nam-pakistan-ky-tuyen-bo-chung-khoi-dong-dam-phan-thoa-thuan-thuong-mai-uu-dai-102251015062812149.htm