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Vietnam hopes to make economic cooperation truly an important driver for its relations with Japan, the US, and Australia, Head of the Party Central Committee’s Economic Commission Nguyen Van Binh said on October 30.

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For many years, Japan has always been in the group of four largest trading partners of Vietnam (along with China, the US and South Korea). The trade balance between the two sides has always been kept at an equilibrium.

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Vietnam, the world's biggest producer of robusta, has become the top supplier of coffee beans for Japan as the consumption of instant coffee, which uses robusta, is soaring there amid the COVID-19 pandemic, according to the Nikkei Asia Review.

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Japanese enterprises are expanding investment in sectors that are seen to have growth potential in Vietnam, according to experts.

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The 4th meeting of the Vietnam-Japan Joint Committee on Cooperation in Industry, Trade and Energy was held in Hanoi on August 7 in the form of video conferencing.

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A survey on business conditions of Japanese companies in Asia and Oceania released by the Japan External Trade Organisation (JETRO) in Hanoi showed optimistic signals that 63.9 % of Japanese enterprises in Vietnam are planning to expand their business in the coming years. In case of business relocation, Vietnam is the first choice of Japanese enterprises (accounting for 42.3% of enterprises).

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Services and retail are forecast to attract a large amount of Japanese direct investment into Việt Nam this year.

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Japanese investment in Vietnam is expected to grow this year, given Japan’s recent initiative to shift investment to Vietnam and other Mekong River nations, as well as free trade agreements (FTA), experts said.

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Deputy Prime Minister Trinh Dinh Dung has recently issued the working regulations of the Steering Committee for Vietnam’s Industrialisation Strategy within the Vietnam – Japan cooperation framework until 2020 with a vision to 2030.

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VietNamNet Bridge - Japanese investors are expected to become a leader in FDI (foreign direct investment) inflow into Vietnam once the CPTPP (Comprehensive and Progressive Agreement for Trans-Pacific Partnership) takes effect.

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