4/25/2023

ĐH Ngoại thương Cơ sở II tại TP.HCM

FOREIGN TRADE UNIVERSITY

HOCHIMINH CITY CAMPUS

Course: TRADE IN SERVICES

Dr. Tran Nguyen Chat
trannguyenchat.cs2@ftu.edu.vn

Chapter 5

Services Trade in Vietnam

Cô Trần Nguyên Chất 1

 4/25/2023
ĐH Ngoại thương Cơ sở II tại TP.HCM

Chapter outline

5.1. Vietnam’s commitments on services trade

5.2. Vietnam’s services trade in numbers

OVERVIEW OF VIETNAM’S
ECONOMIC INTEGRATION

Economic Integration
1986: “Doi Moi” (Reform)
1995: normalization of Vietnam – US relations
Member of ASEAN, APEC, WB, IMF…
2001: BTA with the US
2006: PNTR with the US
2007: member of WTO

Cô Trần Nguyên Chất 2

 4/25/2023
ĐH Ngoại thương Cơ sở II tại TP.HCM

VIETNAM’S ACCESSION TO WTO

- 04/01/1995: applying to WTO

- 07/11/2006: WTO’s approval for membership
- 11/01/2007: officially becoming 150th member of WTO

Vietnam’s commitment
- Tariff binding: 10.600 tariff lines (the whole tariff table)
- Tariff reduction: 23% in comparison to the current average tariff
(MFN) from 17,4% to 13,4% during 5 - 7 years

Vietnam’s commitments on services

Vietnam’s WTO commitments on services

- Schedule of specific commitments
https://www.wto.org/english/tratop_e/serv_e/s
erv_commitments_e.htm
- More info
http://wtocenter.vn/chuyen-de/73-vietnams-
wto-commitments-on-services

Cô Trần Nguyên Chất 3

 4/25/2023
ĐH Ngoại thương Cơ sở II tại TP.HCM

Group discussion

Vietnam’s commitments on services

World Economic Outlook

Cô Trần Nguyên Chất 4

 4/25/2023
ĐH Ngoại thương Cơ sở II tại TP.HCM

World Economic Outlook

https://www.imf.org/en/
publications/weo

Vietnam economy

Vietnam’s development over the past 30 years

has been remarkable.
Economic and political reforms under Đổi Mới,
launched in 1986, have spurred rapid economic
growth, transforming what was then one of the
world’s poorest nations into a lower middle-income
country. Between 2002 and 2018, more than 45
million people were lifted out of poverty. Poverty
rates declined sharply from over 70% to below 6%
(US$3.2/day PPP), and GDP per capita increased by
10
2.5 times, standing over US$2,500 in 2018.
10

Cô Trần Nguyên Chất 5

 4/25/2023
ĐH Ngoại thương Cơ sở II tại TP.HCM

Vietnam economy

Vietnam is experiencing rapid demographic and

social change.
Its population reached 97 million in 2018 and is
expected to expand to 120 million before moderating
around 2050. Today, 70% of the population is under
35 years of age, with a life expectancy of 76 years,
the highest among countries in the region at similar
income levels. But the population is rapidly aging.
And an emerging middle class, currently accounting
for 13% of the population, is expected to reach 26%
11
by 2026.
11

Vietnam economy

Environmental issues
Vietnam’s rapid growth and industrialization have not been
friendly to the environment and natural assets. Urbanization
and strong economic and population growth are causing
rapidly increasing waste management and pollution
challenges. Compounding the problem is the reality that much
of Vietnam’s population and economy is highly vulnerable to
climate impacts.
The Government is aware of the need to lower the
environmental footprint of the country’s growth, to effectively
mitigate and adapt to climate change, and that addressing
these challenges also present opportunities to contribute12to
growth.
12

Cô Trần Nguyên Chất 6

 4/25/2023
ĐH Ngoại thương Cơ sở II tại TP.HCM

Group discussion

Vietnam’s services trade

13

13

Dr. Tran Nguyen Chat

Email: trannguyenchat.cs2@ftu.edu.vn

14

Cô Trần Nguyên Chất 7