Vietnam’s favorite fruit happens to be the Australian orange and due to a growing market trade with Australia, the country will continue to have their favorite fruit in hand… and more.
As of 2015, the bilateral trade between Vietnam and Australia was standing just over US $770 million and the relationship continues to grow. Just of last year the trades between the two countries increased by 12 percent.
However, education is currently the largest trade between the two countries. Australia is already the leading study destination for Vietnamese students, almost 30,000 of whom were enrolled in Australian institutions last year. According to Australia’s Department of Foreign Affairs and Trade, at this time education is Australia’s largest export to Vietnam and a key component of the bilateral relationship.
Vietnam participates in both the TPP and RCEP negotiations, and stands to be one of the biggest beneficiaries of further economic liberalization through these initiatives. The AEC is likely to have a similar reform-boosting effect.
With the growth of Vietnam within the ASEAN community, Australia understands the importance of continuing trade with them. HSBC Australia CEO, Tony Cripps noted, “ASEAN is forecast to become the world’s fourth largest economy by 2050, so it is crucial for Australia to reinforce its competitive position in the region.”
Based on this forecast, Vietnam can expect more than their favorite fruit from Australia, as the two continue to build a strong trading agreement.
