Russian President Vladimir Putin put his signature to ratify the free trade agreement (FTA) between the Eurasian Economic Union (EAEU) and Vietnam on May 1.
It is the first FTA of the union, which comprises Russia, Belarus, Kazakhstan, Armenia and Kyrgyzstan, with another country. It was signed on May 29 last year in Burabay, Kazakhstan to facilitate trade and investment between the two sides.
According to the agreement, Vietnam and the EAEU will reduce and/or eliminate customs duties on 87% of goods originating in the other party.
It also stipulates trade protection, anti-dumping and compensation measures in accordance with regulations of the World Trade Organisation (WTO).
Before Russia, Kazakhstan has also ratified the deal.
Vietnam-EAEU trade is estimated at around US$4 billion, which is expected to rise to US$10 billion by 2020 thanks to the FTA.