With $4.432 billion of export turnover to South Korea and $9.942 billion of import turnover from Korea in the first four months of the year, the country has become the biggest partner with which Vietnam has a trade deficit.
South Korea enjoys the most preferential tariffs under the ASEAN-Korea FTA and Vietnam-Korea FTA (VKFTA). Experts said that, thanks to VNFTA, the trade between the two countries has increased significantly.
South Korea boosted its exports after Vietnam gradually removed the import tariff on 89.9 percent of import products from South Korea within 15 years, since the day the agreement took effect in late 2015.
The sharp increase in South Korean investment in Vietnam in the last four years is also the reason behind the increased exports to Vietnam.
source: english.vietnamnet.vn
