Việt Nam, Brazil promote launch of Việt Nam - MERCOSUR FTA negotiations

Việt Nam, Brazil promote launch of Việt Nam - MERCOSUR FTA negotiations

Vieira announced that he will bring up the proposal for FTA negotiations at the next MERCOSUR meeting in early September.

Vietnamese Minister of Industry and Trade Nguyễn Hồng Diên holds phone talks with Brazilian Minister of Foreign Affairs Mauro Vieira. — Photo Ministry of Industry and Trade

Brazil is committed to supporting and coordinating with other Southern Common Market (MERCOSUR) member countries to promote the internal process towards beginning official negotiations on the bloc’s free trade agreement (FTA) with Vietnam during Brazil's term as its rotating chair in the second half of this year. 

The pledge was made by Brazilian Minister of Foreign Affairs Mauro Vieira in his phone talks with Vietnamese Minister of Industry and Trade Nguyễn Hồng Diên on Wednesday evening (Hà Nội time). 

Vieira announced that he will bring up the proposal for FTA negotiations at the next MERCOSUR meeting in early September. 

Appreciating the potential for cooperation with Vietnam, he stated that the signing of the trade deal will open up opportunities for businesses from both sides, especially in areas where they have strengths like agricultural products, processing industries, and consumer goods. 

Dien spoke highly of Brazil's support for the proposal to negotiate the FTA. He emphasised that, in the context of global economic fluctuations, the deal will create conditions for the two countries’ businesses to diversify export markets and supply sources, and strengthen their positions in the global supply chain. In particular, it will not only bring specific economic benefits to both parties but also serve as proof of trust and a commitment to promoting sustainable trade between the regions. 

In addition, he suggested the two sides soon hold the first meeting in early September with the aim of declaring the start of negotiations and organising the first round as soon as possible. 

The two ministers also agreed to soon hold a meeting to discuss in more detail the roadmap for starting the FTA negotiations and technical coordination mechanisms related to promoting the development of bilateral economic and trade relations. 

According to the Ministry of Industry and Trade, Brazil is currently Vietnam's second largest trading partner in the Americas, after the US, and its largest trading partner in Latin America. 

The ministry’s statistics showed that two-way trade reached a record of nearly US$8 billion last year, up 12.2 per cent year-on-year. Of the total, $2.6 billion came from Việt Nam’s exports. In the first seven months of this year, bilateral trade reached approximately $4.45 billion, down 3 per cent year-on-year, of which, Việt Nam's export turnover hit $1.53 billion, an increase of 0.3 per cent. 

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