Vietnam and Switzerland Upgrade Relations To Comprehensive Partnership

[Vietnam – Switzerland] Prime Minister Pham Minh Chinh and Swiss President Karin Keller-Sutter agreed in principle to upgrade the bilateral relationship to a comprehensive partnership, after talks on January 21.

Upgrading the relationship to a Comprehensive Partnership between Vietnam and Switzerland

On January 22 at noon (Vietnam time), the Ministry of Foreign Affairs released a 9-point statement regarding the elevation of relations to a Comprehensive Partnership with Switzerland. This development follows discussions held between Prime Minister Pham Minh Chinh and Swiss President Karin Keller-Sutter on January 21 (Switzerland time) and represents a significant achievement following nearly 55 years of diplomatic relations between the two nations.

During the discussions, President Karin Keller-Sutter recognized Vietnam’s growing significance as a vital regional ally for Switzerland. She stated that the country remains committed to assisting Vietnam through the Development Cooperation Program for the period spanning 2025 to 2028, affirming support for Vietnam’s ambition to evolve into a high-income, sustainable, and self-sufficient economy.

The two parties reached a consensus to enhance dialogue and collaboration in various areas of shared interest, including innovation, green finance, intellectual property, and the exchange of experiences related to the establishment and advancement of an international financial center in Vietnam. Both parties have recognized innovation, science, and technology, as well as knowledge sharing, as key priorities and promising fields for significant bilateral cooperation in the near future.

Regarding trade, there is an agreement to expedite the conclusion of negotiations for a free trade agreement between Vietnam and the European Free Trade Association (EFTA), which includes Switzerland as one of its four member states.

Economic Cooperation between Vietnam and Switzerland

According to data provided by Vietnam Customs, the Department of European and American Markets (Ministry of Industry and Trade) reported that the total import-export turnover between Vietnam and Switzerland from 2016 to 2018 and 2020 to 2022 remained close to 1 billion USD. During this period, trade surpluses and deficits exhibited significant fluctuations, often influenced by the import-export policies concerning specific goods such as gold and precious metals.

In 2019, the total turnover exceeded 2 billion USD, with exports amounting to 1.5 billion USD and imports totaling 719 million USD. As of the end of November 2024, the total import-export turnover between Vietnam and Switzerland surpassed 732.7 million USD, with Vietnam’s exports reaching 166.8 million USD—a decline of 10%—while imports from Switzerland amounted to over 565 million USD, reflecting a decrease of 1.7% compared to 2023.

Vietnamese products that demonstrate competitive advantages in the Swiss market include seafood, textiles, handbags, footwear, handicrafts, tea, coffee, and spices. In recent years, Vietnam has consistently ranked among the top four largest seafood import markets for Switzerland, following Norway, France, and the Netherlands.

As reported by the European-American Market Department, in 2020, the Trade Promotion Agency, part of the Ministry of Industry and Trade, entered into a Memorandum of Understanding with the International Trade Center (ITC) to provide financial assistance. This support encompasses matching funds for teaching expenses and accommodation costs for lecturers involved in 12 training programs across various provinces and cities aimed at benefiting small and medium enterprises in Vietnam.

Furthermore, the database system for processing, manufacturing, and supporting industries in Vietnam was established through a collaborative effort between the Department of Industry (Ministry of Industry and Trade) and the International Finance Corporation (IFC), a member of the World Bank Group, with financial backing from the Swiss State Secretariat for Economic Affairs (SECO).

At present, over 100 Swiss companies are operating within Vietnam, with Swiss investments distributed across 12 regions. These companies have generated approximately 20,000 employment opportunities within the Vietnamese market. As of January 2025, Switzerland is involved in 222 projects, boasting a total registered capital exceeding 2.117 billion USD, thereby positioning itself as the 20th largest investor among 148 countries and territories with direct investments in Vietnam.

Sources: various sources