Vietnam welcomes Korean businesses following ‘New Southern Policy’

Prime Minister Nguyen Xuan Phuc delivers a speech at the ASEAN-RoK CEO Summit in Busan.

The summit with more than 500 business leaders from KoK and ASEAN member states in attendance, discussed cooperation measures for growth innovation, and the role of ASEAN in the face of changing global trade environment.

In his speech, PM Phuc said the governments of Vietnam and other ASEAN member states always offer the best possible conditions for businesses to enhance connectivity and creativeness to carry out their business initiatives in the ASEAN market with a population of 630 million people and total GDP value of nearly US$3 trillion.

The RoK is one of Vietnam’s top trade partners with the two-way trade rising to nearly US$70 billion in 2019, holding 40% of the total trade between ASEAN and the RoK, said PM Phuc while underscoring that sustainable development and comprehensive connectivity are among ASEAN’s top priorities.

He voiced his hope that enterprises will cooperate with governments to boost the application of science-technology achievements so as to create breakthroughs in development, especially in the context of the Fourth Industrial Revolution.

PM Phuc said he hopes that that the “New Southern Policy” initiated by Korean President Moon Jae-in would contribute to taking the relations between ASEAN and the RoK to new heights as the RoK has pledged to stand side by side with ASEAN to develop the ASEAN Community 2025 towards the common goal of peace and prosperity in East Asia.

The policy is also poised to help raise the two-way trade from US$160 billion in 2018 to US$ 200 billion in 2020, he said, noting that both nations are aiming for US$100 billion in trade value next year.

The Vietnamese government leader underlined the need for ASEAN and the RoK to promote multilateral trade through upgrading the ASEAN – RoK Free Trade Agreement as a contribution to consolidating investors’ confidence as well as incentivizing them to expand production and business in the areas of sustainable infrastructure, green energy and IT.

PM Phuc said he is looking forwards to seeing more investments from the two sides in environmentally-friendly technologies, climate change response, mitigation of natural disasters, disease prevention and control, and water management, among others, to ensure that future generations will have better lives.

Vietnam has moved up places in business environment improvement recognized by international organisations, and the country will push ahead with greater efforts to facilitate business operation of all enterprises in the country, he added.

During his trip to the RoK from November 24-28, PM Phuc is set to attend the 2019 ASEAN-RoK Commemorative Summit, the first Mekong-RoK Summit and pay an official visit to the RoK at the invitation of President Moon Jae-in.