Vietnam and Israel are set to accelerate the rollout of their free trade agreement, aiming to bolster collaboration in trade, industry, and innovation. This decision was reached during a meeting in Jerusalem between Vietnam’s ambassador to Israel and Israel’s Minister of Economy and Industry, where both parties underscored the strategic importance of leveraging the Vietnam–Israel Free Trade Agreement (VIFTA) to drive economic growth.
The economic relationship between the two nations has been on a positive trajectory, with bilateral trade reaching approximately $3.63 billion last year. In the first five months of this year alone, trade figures have surged to nearly $1.6 billion, reflecting a significant increase in Vietnam’s exports compared to the same period last year. If the current momentum continues, Vietnam’s exports to Israel are poised to surpass the $1 billion mark for the first time, buoyed by robust demand and enhanced market access facilitated by the free trade agreement enacted in late 2024.
Israel expressed interest in expanding business cooperation and investment exchanges with Vietnam, highlighting its expertise in areas such as artificial intelligence, cybersecurity, medical technology, and advanced agriculture. The collaboration aims to tap into these sectors to foster mutual economic benefits.
Both countries agreed to strengthen coordination between governmental agencies and businesses to fully exploit the potential offered by their trade agreement. This cooperation is expected to further solidify and expand their economic ties, building on the strong foundation already established.