Vietnam, China Boost Border Economic Development

Speaking at the meeting, VCCI Vice President Doan Duy Khuong said that the big Chinese province of Yunnan has close investment, trade, production and tourism relations with Dien Bien, Lai Chau, Lao Cai and Ha Giang provinces of Vietnam and actively develops the Yunnan - Lao Cai - Hanoi - Haiphong economic belt development of in the framework of “Two corridors - One economic belt” cooperation programme initiated by Vietnamese and Chinese governments in November 2006. In the past years, economic and commercial exchanges between Yunnan and Vietnamese localities, including cross-border economic exchanges, have been effectively developed and facilitated business cooperation among two nations’ enterprises.

 

He added that current trade relations between Vietnam and China in general and between Vietnam and Yunnan province in particular are however facing three obstacles. Firstly, although the two-way trade turnover is huge, Vietnam runs a huge trade deficit. Secondly, Chinese commodities exported to Vietnam are not conformed to specifications, counterfeited and knocked off, thus raising concerns over the quality of Chinese products among Vietnamese consumers. Thirdly, that cross-border trade is still limited and below potential and expectations of both sides.

 

To address these difficulties, the two sides need to narrow the trade gap in addition to boosting trade promotion and raising trade value, Dr Khuong proposed. Regarding the inconsistency of Chinese products with property specifications, they need specific effective measures to control Chinese exports to Vietnam.

 

To develop the cross-border trade, it is essential to provide a favourable legal framework and facilitate businesses of both sides to increase cooperation and investment to draw on geographical advantages and time-honoured traditional relationship.

 

CCPIT Yunnan Chairman Liu hoped the two sides will actively promote comprehensive cooperation in a spirit of friendly neighbourliness. CCPIT Yunnan also hoped to sign a cooperation agreement with VCCI later this year to create favourable conditions for businesses from both countries to promote investment cooperation.

 

To boost intensive cooperation ties, he suggested Vietnamese localities and Yunnan enhance real cooperation in economy, trade, investment, tourism and infrastructure connectivity. Yunnan will create more favourable conditions for transporting and importing goods from Vietnam, especially agricultural, forest and aquatic products, in an effort to further develop Vietnam - China bilateral trade towards a more balanced growth.

 

Yunnan also proposed building cross-border economic cooperation zones, simplifying import and immigration procedures, building electronic information exchange systems, facilitating one-stop single-window customs procedures, and improving customs clearance. Liu proposed both sides accelerate trade and investment promotion and welcomed Vietnamese companies to attend major exhibitions and fairs in Yunnan, including Kunming International Trade Fair.

 

VCCI Vice President Khuong stressed that Yunnan and Vietnamese localities necessarily enhance their cooperation mechanisms; quicken the construction and formation of the economic corridor; develop trade cooperation and expand merchandise import and export scale; and actively build Hekou - Lao Cai cross-border economic cooperation zone. . Both sides also need to intensify cooperation to prevent smuggling, counterfeiting and knockoff from entering each other's markets.

 

Dr Khuong also agreed to cooperate with CCPIT Yunnan to sign a cooperation agreement to facilitate enterprises of the two countries to foster investment and cooperation opportunities. This will be the impetus for accelerating economic, commercial and service growth and for strengthening and expanding comprehensive friendly cooperation relations between Vietnam and Yunnan in particular and Vietnam and China in general.