“There is No Barter Trade Agreement between Tehran and Hanoi” States Vietnamese Ambassador to Iran.

 “There is No Barter Trade Agreement between Tehran and Hanoi” States Vietnamese Ambassador to Iran.

The ambassador of Vietnam to Iran, in an exclusive interview with AVA Diplomatic, while referring to the growing economic trend of his country in the past year, he motioned organizing trade promotion among business delegations to explore the markets and holding conferences to exchange information as the required activities for the expansion of ties between the two countries. In the meantime, he called for more advertisements to promote tourism in Iran and Vietnam as well as people-to-people exchange programs.

AVA Diplomatic’s Exclusive Interview with

Mr. Lương Quốc Huy, Vietnam’s Ambassador in Iran

Since His Excellency has been appointed as the Vietnamese Ambassador to Iran, what changes have we witnessed in the political and economic ties between the two countries?

I have been to Iran since February 2022. Since then, political relations between the two countries have regained its momentum after the Covid-19 pandemic with remarkable events. In May, after 7 years, the two foreign ministries held their 7th political consultation. In August, Assistant Foreign Minister Reza Zabib paid a working visit to Vietnam. In December, Vice Chairman of the National Assembly Tran Quang Phuong paid an official visit to Iran. During the meetings, the two sides agreed to continue promoting the two countries’ relations in the fields of politics, economics, science and technology, culture and education, etc. However, the economic relations still face many difficulties due to US sanctions, especially in the banking and financial sector.

What was Vietnam’s total foreign trade volume in 2022? In the same year, how much was the amount of the trade between Iran and Vietnam?

According to the Ministry of Industry and Trade of Vietnam, Vietnam’s total import and export turnover in 2022 reached a new record of US $ 732 billion, up 10% compared to 2021. Export turnover reached 371.5 billion USD, up 10.5% compared to 2021 and the annual record of import turnover increased to 360.5 billion USD, up 8.5% compared to 2021. As a result, Vietnam had a trade surplus of US$11 billion for the whole year 2022.

Trade turnover between Vietnam and Iran in 2022 recorded nearly $100 million. The goods Vietnam exports to Iran mainly include agricultural products such as tea, coffee, pepper, and cashew, while Vietnam imports from Iran electrical equipment, bitumen, fruits and meat products.

In order to deepen and facilitate the economic relations between the two countries of Iran and Vietnam, is there a need to develop a new MoU? Is there a specific plan to boost the business cooperation between the two countries?

The two countries have signed a number of cooperation agreements: “General Agreement on Economic, Cultural and Scientific-Technical Cooperation” (1993), “Agreement on Trade (including MFN clause) and establishment of the Joint Committee” (1994), and Agreement on the Promotion and Protection of Investment (2009).

In the near future, the two parties need to well implement the areas of cooperation mentioned at the 9th session of the Joint Commission on Economic and Commercial Cooperation. We hope that concrete plans to boost the business cooperation between the two countries will be made by the two sides after the upcoming 10th session of the Joint Commission.

Do the businessmen of the two countries have adequate knowledge of each other’s capacities? What effective actions and planning should be done in this regard?

Businesses of both sides should further interact to each other to better know the other side’s needs. Organizing trade promotion among business delegations to explore the markets or organizing conferences to exchange information on import and export regulations and participating in international exhibitions to introduce products of the countries are those activities needed.

When was the last meeting of the Joint Commission for Economic Cooperation of the two countries and what was its agenda? Has the time of the next Commission been determined?

The ninth meeting of the Joint Commission for Economic and Commercial Cooperation was held in Tehran in July, 2017. The two side discussed a wide range of issues, including trade, industry, energy, transport, economic affairs, diplomatic affairs, agriculture, fishery, culture, sport and tourism, information and communication and others of mutual interest between the two countries.

The 10th meeting is expected to be held in Hanoi in the first half of 2023.

Is there a barter agreement between the two countries?

There is no barter trade agreement between the two countries. In high-level meetings between the leaders of the two countries in the past, the issue was mentioned as an effective measure in the context of sanctions.

In the last year, how many Vietnamese tourists travelled to Iran and how many Iranian tourists went to Vietnam? What measures have been taken by authorities of the two countries to facilitate the issuance of tourist visas?

The first half of 2022 witnessed a limited number of Iranian tourists to Vietnam due to Covid-19 epidemic. More than 200 Iranian tourists visited Vietnam in the second half of the year.

Both sides should have more tourists’ promotion, cultured fairs and people-to-people exchange programs so that people understand each other country’s life, people and culture.

Tourist advertisements are very important. A direct flight between the two countries will surely boost tourism. Iranian people who need visa can contact the Embassy’s staff at these numbers:

 +98.930.645.9865; +98.991.205.7570; +98.905.812.0018; +98.991.205.7568.

To strengthen the scientific and academic cooperation between Iran and Vietnam, what consultations have been conducted by the officials of the two countries?

Scientific and academic cooperation is one of the main areas of the two countries. Both sides attached great importance to this area which is clearly mentioned in the meeting of the Joint Commission on Economic and Commercial Cooperation. The Iranian side recommends boosting cooperation in scientific and academic fields, especially in biotechnology and nanotechnology, ready to transfer technology for Vietnam. Iran and Vietnam are making efforts to give scholarships for students to study at universities and academies in both countries.

What limitations do the two countries have in terms of banking and finance issues?

Due to sanctions on the Iranian banking and financial sector, it’s difficult for Vietnamese banks to do business with Iranian side. Vietnamese enterprises cannot transfer money directly to Iran and vice versa, making it hard for promoting trade and investment in both countries.

The United States is one of the biggest trading partners of Vietnam. To what extent have the long-term US sanctions against Iran affected the economic relations between Tehran and Hanoi?

US sanctions always cause troubles to other countries, institutions, individuals and business. However, every country has its own resilience and internal strength. I believe with knowledge, courage and mutual endeavours, we can overcome all harsh difficulties.

How has Vietnam reached such an expansive relationship with the U.S. out of a historical confrontation with this country?

Perseverance in safeguarding national independence, autonomy, self-reliance in service of national interests and willingness to be friends with all countries in the world, Vietnam has persistently pushed for the normalization of relations with the US since the early 1990s. Normalization of Vietnam-US relations is the result of efforts and also for the benefits of both sides. Accordingly, in 2000, the U.S. lifted its trade embargo against Vietnam, and the two countries signed a bilateral trade agreement in 2001. In recent years, the relationship between the U.S. and Vietnam has grown stronger, with the two countries elevating their relationship to a comprehensive partnership in 2013. This partnership has allowed the two countries to cooperate on a wide range of issues, based on shared interests and mutual respect of each other political regime.

In Vietnam, we are seeing a fight against corruption at all levels. This approach has influenced the political arrangement of the country. Which part of the Vietnamese governance supports this policy?

The fight against corruption in Vietnam is a top priority for the Vietnamese government and is supported by a wide range of government institutions and agencies and the Vietnamese people. The Vietnamese government has established several key institutions and agencies that are responsible for fighting corruption, including the Central Steering Committee for Anti-Corruption, the Central Inspection Committee and the Ministry of Public Security. These agencies work together to investigate and prosecute corrupt officials, and to implement reforms aimed at reducing the opportunities for corruption. In addition to these government-led efforts, the Vietnamese people have also been active in advocating for greater transparency and accountability in the country’s governance system.

Why does Vietnam’s political changes not affect its foreign policy?

Vietnam’s diplomacy has been formed and continuously developed since the establishment of the Democratic Republic of Vietnam (1945) to present. Vietnam’s diplomacy is built from invaluable lessons with such guidelines as: perseverance in safeguarding national independence, autonomy and self-reliance in service of national interests. Standing steadfast in its targets and principles, yet remaining flexible in negotiation tactics.

The Vietnamese government places a strong emphasis on maintaining national interests, including the protection of sovereignty and the promotion of economic development. These interests have remained consistent over time and have shaped Vietnam’s foreign policy, regardless of the political changes.

What is the official stance of the Vietnamese government on the Russia-Ukraine war?

Vietnam is concerned about the armed conflict situation in Ukraine. We call on all parties concerned to exercise restraint, complying with the United Nations Charter and basic principles of international law, not to use force, continue using dialogues to seek peaceful solutions, contribute to peace, security, stability and cooperation in the region and the world./.

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