Over nearly two decades, Vietnam and the Dominican Republic have recorded positive results in various areas. The economic and trade relations have grown rapidly, with significant potential and great room for further cooperation across multiple sectors.

Complementary relationship

According to Vietnamese Ambassador to Cuba and the Dominican Republic Le Quang Long, the PM’s trip will mark a big step forward in the two countries’ relations, and showing the importance the Southeast Asian nation attaches to the Latin America and the Caribbean, particularly the Dominican Republic.

The trip is expected to not only enhance bilateral political relations but also open up new opportunities for collaboration in the fields of economics, trade and investment, particularly in such areas as agriculture, tourism, energy, telecommunications, and infrastructure.

Economic relations, although still a small proportion of each country's total trade and not yet commensurate with the potential of both sides, have shown rapid growth, he noted.

The two-way trade between Vietnam and the Dominican Republic stood at US$36.5 million in 2013, and increased to nearly US$100 million after 10 years, with potential for further growth.

Trade experts noted that the Dominican Republic highly values Vietnam's achievements and position as a bridge for the American nation to Southeast Asia and Asia, and it hopes to further expand bilateral relations, particularly in areas of oil and gas, energy, telecommunications, cement production, solar panels, steel, sports equipment and devices, sanitary ware, fabrics, among others.

Citing data from the Vietnam General Department of Customs, a representative from the European-American Market Department under the Ministry of Industry and Trade (MoIT) reported that Vietnam's main exports to the Dominican Republic include machinery and electronic equipment, agricultural products, seafood, rubber and rubber products, footwear, wooden furniture, plastics and plastic products, and textiles, while the Southeast Asian nation mainly imports steel, optical equipment for medical use, and synthetic fibers from the American country.

Last year, although exports of Vietnam to the Dominican Republic recovered slightly to US$93.2 million, marking a 1.8% increase compared to 2022. In the first 10 months of 2024, two-way trade hit US$76.5 million, with Vietnam exporting US$64.3 million worth of goods and spending US$12.2 million on imports.

Accroding to experts, a strategy is needed to restore and strengthen bilateral relations, especially as the two sides currently have no investment cooperation projects.

Similar to many other Latin American and Central American countries, the Dominican Republic is an emerging market with potential business and investment opportunities for Vietnamese enterprises. Its trade and investment environment is more stable compared to many other nations in the region.

The two sides are actively conducting delegation exchanges at all levels, promoting negotiations, and signing a memorandum of understanding on economic, trade, and industrial cooperation between the MoIT and the Dominican Republic's Ministry of Industry, Commerce and Micro, Small and Medium Enterprises, laying a premise to move towards establishing a Joint Committee between the two ministries during high-ranking Dominican Republic leaders’ visit to Vietnam in 2025.

Additionally, they have actively exploring each other's markets through diplomatic missions or trade representative offices in their respective countries; and promoting information about trade fairs and exhibitions to encourage their businesses to participate.

Promoting in-depth cooperation

Recently, while meeting with Miguel Mejia, General Secretary of the United Left Movement (MIU) Party and Minister of Regional Integration Policies of the Dominican Republic, Minister of Industry and Trade Nguyen Hong Dien valued the strong friendship and cooperation between the parties, states and peoples of the two nations, and efforts of their agencies in promoting and deepening economic and trade cooperation.

Dien stressed that the Dominican Republic has been one of the fastest-growing economies in Latin America over the past two decades.

Against this backdrop, the economic cooperation between the two countries has achieved positive results, with bilateral trade maintaining a steady level of approximately US$120 million annually, he said, noting that the figure remains modest compared to the potential and strength of the two sides.

He suggested identifying new directions and measures to promote bilateral trade cooperation based on their potential and demand, and continuing to support each other in multilateral and regional forums.

The two sides should consider organising business delegations to participate in trade promotion activities and exhibitions in each country to explore trade opportunities; and the possibility of cooperation in developing processing industries, hi-tech agriculture, and energy sectors, as well as breakthrough sectors that align with international trends such as green technology, new energy, digital economy, and e-commerce.

Mejia affirmed that his country considers Vietnam an important partner in the region and highly values the role of the MoIT in fostering economic and trade cooperation between the two countries.

The decision of the Dominican Republic to open an embassy in Vietnam reflects its desire to develop a more comprehensive and effective cooperation with the Southeast Asian nation, he stated.

Ambassador Long said the two countries need to actively promote trade and investment through trade fairs, exhibitions, and investment forums to connect businesses and localities from both countries and exchange information about cooperation opportunities.

Additionally, Vietnamese businesses investing in Latin America and the Caribbean should take advantage of opportunities to access the Dominican Republic market, thus expanding their operation to other markets in the region, he said.

Source: VOV