The Free Trade Agreement between Switzerland and Vietnam: What You Need To Know

The Free Trade Agreement between Switzerland and Vietnam is a significant development in the economic relations between the two countries. The agreement aims to strengthen the economic ties between Switzerland and Vietnam by creating new opportunities for business and trade, reducing barriers to trade, and promoting sustainable development.

The agreement, which was signed on December 4, 2020, is the first-ever FTA between Switzerland and a Southeast Asian country. It is expected to come into force in the second half of 2021, subject to the completion of the internal approval procedures by both countries.

Here are some key features of the agreement that you need to know:

– Tariff reductions: The FTA aims to eliminate or reduce tariffs on a wide range of goods and services, including industrial and agricultural products. This will make Swiss products more competitive in the Vietnamese market and vice versa.

– Market access: The agreement will improve market access for Swiss and Vietnamese companies, allowing them to compete on a level playing field. This will create new opportunities for businesses to expand their operations and increase their market shares.

– Services: The agreement includes provisions for the liberalization of trade in services, including financial, transport, and telecommunications services. This will facilitate the entry of Swiss and Vietnamese service providers into each other`s markets.

– Intellectual property: The FTA includes provisions for the protection of intellectual property, including patents, trademarks, and copyrights. This will provide a more secure and predictable environment for Swiss and Vietnamese companies to invest in innovative products and technologies.

– Sustainable development: The agreement includes provisions for sustainable development, including environmental and labor standards. This will ensure that the benefits of the FTA are shared fairly and that economic growth is not achieved at the expense of social and environmental objectives.

The Free Trade Agreement between Switzerland and Vietnam is a major step forward in the economic relations between the two countries. It will create new opportunities for businesses, promote sustainable development, and strengthen the ties between Switzerland and Vietnam. As the agreement comes into force, Swiss and Vietnamese companies should take advantage of the new opportunities to expand their operations and increase their market shares.