Vietnam - Pakistan trade turnover towards billion dollar mark

VPPTA: Foundation for a new phase of cooperation

Vietnamese Ambassador to Pakistan Pham Anh Tuan said that the recent working trip of Minister of Industry and Trade Nguyen Hong Dien to Pakistan has opened a new and promising chapter for economic and trade relations between the two countries.

According to Ambassador Pham Anh Tuan, Vietnam-Pakistan relations have made steady progress after more than 53 years of establishing diplomatic relations. Bilateral trade turnover has grown impressively, from 750 million USD in 2023 to nearly 850 million USD in 2024, and in the first 6 months of 2025 it reached 402 million USD, an increase of 28% over the same period.

However, the Ambassador said that this figure is still modest compared to the potential of a common market of nearly 360 million people. Sharing about the recent highlights in the bilateral cooperation relationship, the Ambassador said that after 8 years of interruption, the Joint Trade Committee (JTC) has been re-organized, demonstrating the strong political determination of both governments. The leaders of the two countries have agreed to increase bilateral trade turnover to over 1 billion USD and aim for several billion USD in the long term. In addition to traditional trade, the two sides are expanding into new areas such as information technology, renewable energy, Halal cooperation and tourism.

Ambassador Pham Anh Tuan believes that in the context of the restructuring of the global supply chain, Vietnam and Pakistan can complement each other. Vietnam, as a regional manufacturing hub, can become a bridge to help Pakistan access the large ASEAN market.

Vietnamese Ambassador to Pakistan Pham Anh Tuan.

The visit of Minister Nguyen Hong Dien was assessed by Ambassador Pham Anh Tuan as a "breakthrough milestone". This is the first ministerial visit of Vietnam to Pakistan in 20 years, bringing specific and practical results. The Vietnam - Pakistan Business Forum brought together more than 100 leading enterprises, with the participation of 5 Pakistani ministers, showing your deep interest in promoting economic relations.

The most notable result was the official launch of negotiations on the Vietnam-Pakistan Preferential Trade Agreement (VPPTA). The Ambassador said that this agreement will create a real boost for businesses of the two countries.

Accordingly, the VPPTA will help reduce import and export costs through tariff incentives, creating transparency and predictability in the business environment. The agreement not only promotes trade in goods but also encourages businesses to establish joint ventures and cooperate in production. At the same time, it creates a linked value chain. Especially in the textile sector, Pakistan with its strengths in cotton and yarn and Vietnam with its processing and manufacturing capacity can create an effective integrated value chain.

Many new opportunities for a series of export industries

Ambassador Pham Anh Tuan said that Pakistan is a huge consumer market with more than 250 million people, of which 65% are under 30 years old. The complementarity between the two economies opens up opportunities for extensive cooperation in many fields. In the textile and footwear sector, Vietnam can import raw materials from Pakistan and export finished products. With agriculture and Halal food, this is a field with explosive potential. Vietnam has strengths in tea, pepper, coffee, and seafood, while Pakistan can export rice, meat, mangoes, and citrus fruits.

Electronic and electrical equipment are Vietnam’s leading export items to Pakistan and there is still a lot of room for growth. Meanwhile, pharmaceuticals, construction materials, information technology and green energy are also strategic areas of cooperation for the future.

"With the upcoming negotiation and signing of the VPPTA, these potentials will be systematically and effectively exploited, opening a new explosive chapter in trade and investment relations between the two countries," the Ambassador expected.

To turn political commitments into concrete economic results, Ambassador Pham Anh Tuan said the Vietnamese Embassy in Pakistan is developing a comprehensive action roadmap. The top priority is to promote negotiations and early signing of the PTA, with the goal of completion in 2025.

In addition, the Embassy will actively promote the exchange of specialized business delegations, in coordination with VCCI and Pakistan Chambers of Commerce. Organizing and participating in major trade fairs and exhibitions such as the Autumn Fair in Hanoi and the Food and Agriculture Exhibition (FoodAg) in Karachi is also a focus.

At the same time, the Embassy will strengthen direct cooperation between local chambers of commerce of the two countries and maintain regular working channels with government agencies to remove obstacles.

"The Vietnamese Embassy in Pakistan will make every effort to promote the signing of the PTA as soon as possible, opening a new development phase in economic cooperation between the two countries," Ambassador Pham Anh Tuan emphasized.

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Source: https://doanhnghiepvn.vn/kinh-te/kim-ngach-thuong-mai-viet-nam-pakistan-huong-toi-moc-ty-do/20251017090537441