Vietnam and UK elevate ties to comprehensive strategic partnership

Vietnam and UK elevate ties to comprehensive strategic partnership

Vietnam and the UK agreed to elevate their bilateral relationship to a comprehensive strategic partnership (CSP), according to a joint declaration released on October 29.

Photo: TTXVN

The milestone took place during the official visit of General Secretary To Lam to the UK from October 28-30, at the invitation of Prime Minister Keir Starmer.

The CSP strengthens six key pillars of cooperation: politics, diplomacy, defence, and security; economics, trade, investment, and finance; science, technology, innovation, digital transformation, and health; environment, energy, and green transition; education, culture, sports, tourism, people-to-people exchanges, equal rights and other fields; and coordination on regional and international issues.

The partnership is expected to further enhance economic cooperation, a key pillar of the bilateral relationship. Both sides are committed to championing free, fair, inclusive, and sustainable trade and supporting a transparent and rules-based international trading system. The two sides will cooperate to promote and strengthen trade and investment based on non-discrimination and mutual benefit.

Under the CSP, the United Kingdom and Vietnam will strive to enable a fair, transparent, and open business environment in both countries, removing market access barriers and facilitating smooth two-way trade so businesses can export and invest with confidence.

Governments will maintain open and constructive dialogue through the Vietnam-UK Joint Economic and Trade Cooperation Committee as the mechanism to address barriers faced by businesses from both countries in expanding trade and investment activities.

The two countries will actively strengthen cooperation among trade and investment promotion agencies. An annual business dialogue mechanism between British business leaders and senior Vietnamese government figures will be established to enhance trade and investment cooperation.

According to the joint declaration, both sides reaffirmed their commitment to close coordination to effectively implement and review the UK-Vietnam Free Trade Agreement and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

This includes facilitating market access by removing trade barriers for goods and services, protecting intellectual property rights, reducing additional costs, encouraging e-commerce, enabling businesses to build robust supply chains utilising the best of their respective economies in accordance with laws of both countries, and encouraging digital trade in response to new technologies and an increasingly interconnected world.

As members of the CPTPP, the UK and Vietnam will also work together to progress the General Review and acknowledge the importance of the agreement’s continued expansion.

The leaders also underlined the importance of maintaining food supply chains to ensure regional and global food security; agreed to strengthen cooperation in agricultural trade in a transparent, clear, and effective manner; and promote market access. They agreed to approach any future negotiations on agricultural reform within the World Trade Organisation framework in a cooperative and constructive manner.

In addition, the UK will push cooperation with Vietnam in the development of international financial centres in Ho Chi Minh City and Danang, including through the UK-Vietnam International Financial Centre partnership. This will draw on the experience of the UK as a global financial services and green capital markets hub and deepen economic cooperation between the two countries in the financial and professional services sectors.

Through knowledge exchange, both sides will share policies, legal approaches, and financial system management experience, and utilise the development of capital markets, fintech, green finance, and insurance.

The UK and Vietnam agreed to strengthen cooperation by mobilising green finance to promote low-emission, resilient green growth, working together to share expertise and deploy green financial instruments in Vietnam, including through the launch of the UK-Vietnam Green Finance Partnership. The two sides committed to removing institutional barriers, so the private sector can play a central role in boosting green growth and sustainable trade.

The CSP will enhance cooperation in trade finance through the design and implementation of transparent, effective, and sustainable trade finance mechanisms. The UK and Vietnam will continue to exchange views and share experiences on trade finance registries and the utilisation of the UK Export Finance (UKEP) credit programme, which has a total offer of up to £5 billion ($5.8 billion) for potential investments in Vietnam. Both sides welcomed the signing of an MoU between UKEF and Vietnam’s Ministry of Finance.

Another pillar of the CSP is enhancing cooperation in science and technology, innovation, and digital transformation, recognising these as key drivers for sustainable and inclusive development. The UK and Vietnam share a common vision on the role of science and technology in shaping the future and a commitment to adopting new technologies in alignment with universal values of peace, freedom, and responsibility.

Both sides agreed to effectively implement the MoU on science, technology, and innovation (2025) to strengthen cooperation in healthcare, green growth, and transformative technologies; drive knowledge and experience sharing; train skilled workforces; and foster research and commercialisation of technology through joint projects between research institutes, universities, government agencies, and businesses of both countries.

The leaders also acknowledged the importance and lasting impacts of digital transformation and agreed to strengthen cooperation in policymaking and joint initiatives in this space.

They are committed to promoting access to quality healthcare services and building efficient, sustainable, and resilient health systems. This is coupled with encouraging expert exchanges and policy dialogues, joint projects on global health security and antimicrobial resistance, and capacity building for the prevention and control of non-communicable diseases and population ageing, following the One Health approach.

Both sides agreed to deepen cooperation in digital health, expand cooperation to animal welfare, and broaden trade and investment in healthcare and life sciences, focusing on pharmaceuticals, clinical services, medical technology, and consumer healthcare.

VIR