Ever since the formation of the Trades Association of Vietnam (TATV), Vietnam has been trying to seek better international trade relations. It has been a policy of the Vietnamese Government that no foreign investment will be allowed without prior consultation with the Vietnamese Embassy. Since Vietnam is in one of the most strategic and far-reaching countries in the world, foreign companies have been attracted by this policy. TATV aims to promote and maintain good relationships with foreign trading partners so as to encourage more foreign investment in Vietnam. The association also tries to promote the unity and territorial integrity of Vietnam at the same time promoting economic growth and stability in Vietnam. Vietnam welcomes foreign direct investments to all its regions, but particularly in terms of infrastructure development.
There are eleven official foreign trade associations in Vietnam. These associations promote cooperation between Vietnam and foreign trading partners, acting as a vehicle for Vietnam to project its soft power. TATV aims to strengthen Vietnam’s position in the international market and raise Vietnam’s attractiveness to international business. To accomplish these goals TATV facilitates the formulation of rules and procedures to govern foreign direct investments in Vietnam Trading Partners.
The first group of foreign trading partners that TATV signed an agreement with was the European Chamber of Commerce. This association works to promote trade liberalization in Vietnam. It also tries to improve the level of consumer protection and assistance available to small and medium enterprises. The European Chamber of Commerce is a very powerful organization. It can be used as a tool to influence national government policy and set the framework for a favorable Vietnam trading relationship.
Another group of foreign trading partners that has signed an agreement with TATV is the European Investment Fund. This organization promotes private sector investment in Vietnam. It offers loans and grants to Vietnam businesses. The European Investment Fund for Vietnam does not have as much political authority as TATV has. However, it does play a major role in terms of financing.
A few countries outside Vietnam that sign agreements with TATV include France, Italy, Singapore, and Spain. These nations have a lot at stake in Vietnam because each of them rely heavily on the country’s economic strength. Vietnam is their largest trading partner. For each of these countries there are advantages to becoming associated with Vietnam.
While it is true that most of the country’s government is dedicated to promoting economic growth and making the country more dependable on foreign trade, there are still a few problems that need to be addressed before Vietnam can become a significant trading partner. One of these issues is the political system in Vietnam. For this reason, TATV should focus on improving the status of the country’s economy. It is not enough just to provide a solid platform for Vietnam businesses.