Vietnam’s Minister of Industry and Trade Le Manh Hung and representatives of the European Free Trade Association signed the Vietnam‑EFTA Free Trade Agreement in Hanoi on Sunday. The agreement is seen as a major step toward expanding Vietnam’s trade links with some of the world’s most innovative economies.

The comprehensive deal covers trade in goods and services, investment, intellectual property, government procurement, competition, small‑ and medium‑sized enterprises, dispute settlement and sustainable development. By addressing these areas, the pact creates a broad framework for economic cooperation.

Bilateral trade between Vietnam and the EFTA members already averages nearly US$2 billion each year. The agreement is expected to diversify Vietnam’s export and import markets, boost the competitiveness of local firms and help them join global value chains.

By the end of 2025, Swiss companies had launched 234 investment projects in Vietnam worth more than $2.4 billion, while Norwegian investors accounted for 62 projects valued at over $201 million. The VEFTA is expected to draw further high‑quality investment, advanced technologies and management expertise from Europe.

Overall, the Vietnam‑EFTA Free Trade Agreement gives Vietnamese businesses access to new customers and partners while encouraging foreign investors to bring cutting‑edge technology. This combination should support stronger economic growth and more job opportunities across the country.