Vietnam and Israel are set to accelerate the execution of their free trade agreement (FTA) and broaden their collaboration in various sectors, including trade, industry, and innovation. This initiative comes as the two nations experience robust growth in their economic relationship. During a meeting in Jerusalem, Vietnam’s ambassador to Israel and Israel’s Minister of Economy and Industry underscored the potential of the Vietnam–Israel Free Trade Agreement (VIFTA) as a catalyst for further economic expansion.
The bilateral trade between Vietnam and Israel has demonstrated significant momentum, with figures reaching approximately $3.63 billion last year. In just the first five months of this year, trade volumes have already approached $1.6 billion, marking a notable increase in Vietnam’s exports compared to the same period in the previous year. If the current growth trend persists, Vietnam’s exports to Israel are poised to surpass the $1 billion mark for the first time, buoyed by strong demand and enhanced market access through the trade deal that took effect in late 2024.
Israel emphasized its expertise in areas such as artificial intelligence, cybersecurity, medical technology, and advanced agriculture, urging increased business collaboration and investment exchange with Vietnam. These sectors are seen as pivotal in driving future economic cooperation and leveraging the strengths of both countries to foster innovation and development.
Both nations have expressed a commitment to fostering closer coordination between their agencies and businesses to capitalize on the opportunities presented by the trade agreement. This collaborative approach aims to further expand economic ties and ensure that both countries can maximize the benefits of the FTA, contributing to sustained growth and development.