Vietnam and Israel have agreed to accelerate the implementation of their free trade agreement, aiming to enhance collaboration across trade, industry, and innovation sectors. This decision was reached during a meeting between Vietnam’s ambassador to Israel and Israel’s Minister of Economy and Industry in Jerusalem, where both officials underscored the potential of the Vietnam-Israel Free Trade Agreement (VIFTA) to drive further economic growth.
Economic ties between the two nations have been strengthening, with bilateral trade reaching approximately $3.63 billion last year. In just the first five months of the current year, trade figures have nearly hit $1.6 billion, highlighting a marked increase in Vietnam’s exports compared to the same period last year. If the current growth trajectory continues, Vietnam’s exports to Israel are poised to surpass the $1 billion mark for the first time, buoyed by strong demand and enhanced market access facilitated by the free trade agreement that took effect in late 2024.
Israel has expressed interest in leveraging its expertise in various fields, including artificial intelligence, cybersecurity, medical technology, and advanced agriculture, to foster deeper business cooperation and investment exchanges with Vietnam. The Israeli side is keen on tapping into these sectors to further cement the economic partnership between the two nations.
Both countries have committed to maintaining close coordination between their respective agencies and businesses to maximize the benefits of the trade agreement. This collaborative approach is intended to unlock new opportunities and further expand economic relations, capitalizing on the groundwork laid by the VIFTA.