Việt Nam–Laos trade aims for the $5 billion target

Việt Nam–Laos trade aims for the $5 billion target

Entering the 2026–2030 period, the two Parties have agreed on the goal of raising bilateral trade turnover to $5 billion.

Việt Nam–Laos trade through the Lao Bảo Border Gate. —Photo thuehaiquan.tapchikinhtetaichinh.vn

Last year marked a strong turning point in economic relations between Việt Nam and Laos, as bilateral trade turnover reached US$2.98 billion, an increase of 32.7 per cent compared to 2024.

With a foundation of special friendship and newly-established legal frameworks, the two countries are striving to make economic, trade, and investment cooperation a 'pillar of strategic connectivity' in the new phase.

Entering the 2026–30 period, the two parties have agreed on the goal of raising bilateral trade turnover to $5 billion.

To realise this vision, both sides will fully leverage tax and fee incentives from signed agreements, create more jobs and improve people’s livelihoods. 

This will not only promote economic development but also contribute to building a peaceful, stable, and sustainably cooperative Việt Nam-Laos border.

Trần Thị Tú Anh, commercial counsellor of Việt Nam in Laos, said that the geographical connectivity, with a border stretching over 2,337 kilometre across nine provinces and cities of Việt Nam and 10 provinces and cities of Laos, represented a major natural advantage. 

These areas were all strategically located along the East–West Economic Corridor, serving as important trade gateways for both countries to ASEAN and the world, she said.

In particular, the remarkable growth in bilateral trade in recent years has been driven by the signing of important legal frameworks, notably the Bilateral Trade Agreement (revised in 2024), the Border Trade Agreement (2015) and the Agreement on the Purchase and Sale of Coal and Electricity (2025). 

These instruments have created practical conditions for enterprises of both countries to exchange goods and promote the development of border trade.

Việt Nam has firmly maintained its position as Laos’ third-largest trading partner. 

Việt Nam’s exports to Laos are led by chemical products at $353.2 million, up 112.7 per cent, and machinery and equipment at $140.7 million, up 132.8 per cent. 

Other items also recorded positive growth, including iron and steel, animal feed, paper, electric wires and cables, and clinker and cement.

Conversely, Việt Nam’s imports from Laos mainly consist of coal ($145.8 million), fertilisers ($96.7 million), and fruits and vegetables.

Beyond merchandise trade, energy cooperation has emerged as a new highlight, with large-scale renewable energy projects in Laos such as the Trường Sơn Wind Power Project (600 MW) in Bolikhamxay Province, which began commercial operation in September last year, and the Savan 1 Wind Power Project (300 MW) in Savannakhet Province, which started selling electricity to Việt Nam last month. 

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