South Korea and Vietnam are looking to enhance supply chain cooperation, potentially making Vietnam a key link in the supply chains of South Korean businesses, especially in the automobile, electronics and garment and textile sectors. On 13 April 2020, South Korean Minister of Trade, Industry and Energy Sung Yun-mo and his Vietnamese counterpart Tran Tuan Anh had discussion on how to expand the relationship between the two countries amid the ongoing pandemic.
One key topic is food security involving rice supply, fruit, vegetables and seafood trade. Tuan Anh requested South Korea to accelerate assessments for risk import licensing for Vietnamese red dragon fruit and grapefruit, and support for distribution of Vietnamese goods in South Korean retailers such as Lotte Mart, E-Mart, Home Plus and CJ Home Shopping.
The two ministers also discussed about regulations to allow businesses combining high quality textile and apparel materials from South Korea, serving production and export of Vietnamese textile products to Europe, taking advantage of the EU-Vietnam Free Trade Agreement (EVFTA).
Moreover, both countries agreed to work towards establishing a system that would allow the processing of certificates of origin through electronic platforms. This would speed up customs procedures for exporters and prevent the forgery of documents.
In 2019, South Korea was second largest source of imports into Vietnam, amounting to USD 48 billion, and the fourth largest destination for exports, which reached USD 21 billion.
(Source: Vietnam News)