Jakarta -Vietnam and South Korea agreed to increase bilateral trade between the two countries to US $ 100 billion by 2020, 50 percent higher than last year.
Memorandum of understanding between the two countries was signed during South Korean President Moon Jae In’s visit to Vietnam on Friday (23/3/2018). As quoted by Reuters, Memorandum of Understanding (MoU) also includes guidelines to cut Vietnam’s trade deficit.
Moon said the deal would contribute to Vietnam’s goal of becoming an industrialized nation. Since December 2015, the two countries have bilateral trade agreements.
In 2017, Ginseng State shifts the US as Vietnam’s second largest trading partner after China. South Korea also became the largest foreign investor in the Southeast Asian country.
Samsung Electronics Co. is one of the largest foreign investors in Vietnam. The company has many factories in the country.
Last year, trade between the two countries rose 51% to US $ 66.56 billion from the same period a year earlier. Vietnam’s deficit reached US $ 31.9 billion, up from US $ 21.2 billion in 2016.
Vietnamese exports to South Korea are mainly in the form of garments, mobile phones, and seafood. Instead, imported products include electronic components, machinery, fabrics, and plastics.