Exports to Canada soar 70% after CPTPP takes effect

The country’s exports to Mexico and Japan, two other CPTPP members, also increased but at lower rates of 8% and 4%.

Minh said that the trade pact has benefited the country.

For example, Peru has committed to reducing 32% of its import tariff lines for wood and wooden products from Vietnam based on a five-year plan. Also, the products will be entitled to a tax reduction by 50% in Mexico based on a 10-year plan, according to a report by the Ministry of Agriculture and Rural Development.

However, the CPTPP has also posed multiple challenges for the Vietnamese economy, he said.

Specifically, enterprises in sectors where Vietnam has strengths, such as textiles and garments, must meet requirements for product traceability to be entitled to tariff exemptions and reductions by CPTPP partners.

The country must deal with the influx of goods from other countries attempting to benefit from the trade pact.

Moreover, under the CPTPP, enterprises can file lawsuits against government in cases of trade disputes. Therefore, the country must fulfill its commitments to the pact to prevent FDI enterprises’ possible lawsuits.

As many as 21 ministries and 54 localities have issued their plans to execute the CPTPP. Further, the Government is building eight laws, as committed to the CPTPP, and four decrees regulating the deployment of some articles of the Laws on Competition, Intellectual Property, Foreign Trade Management and Food Safety.