News conference with Dmitry Medvedev and Nguyen Xuan Phuc following the talks

Dmitry Medvedev: This is not only my colleague’s first visit to our country in his new capacity, but also his first foreign visit, which we are particularly pleased to note. I see this as a sign of the special trust that exists between our two countries, and, of course, as atestamentto the strategic partnership that binds our states.

The talks ended with the signing of a large number of documents. We reaffirmed our sharedcommitment toadvancingthe comprehensive strategic partnership between Russia and Vietnam. We focused particularly on implementing existing agreementsand expanding our cooperation in promising areas.

Trade between Russia and Vietnam is not as extensive as we would like. It is below the potential of our countries, especially so since Vietnam accounts for one-third of our exports to Southeast Asia.

Despite certain difficulties, trade is up this year. Last year, it reached almost $4 billion, and the dynamics remain positive. Nevertheless, we believe that we should do all we can to boost the growth of trade. First, it is imperative to carry out existing investment projects. Second, we should launch a free trade area, which already exists, in legal terms, between the Eurasian Union and Vietnam. Vietnam was the first nation to form such an area with the Eurasian Union. This is a pilot agreement for us. The ratification procedures are underway.

A number of major projects, including industrial cooperation projects in Vietnam, such as supporting the manufacture of motorised vehicles, for example, have practical effects. The business community is interested in cooperation in the sphere of telecommunications, information technology, and banking. We also agreed to expand the use of our respective national currencies in bilateral trade.

Machine-building, shipbuilding, mining and agriculture are important areas of cooperation for us. There are good opportunities for increasing bilateral trade inagricultural products (seafood, fruit, and vegetables from Vietnam, and livestock products from Russia)and developing joint investment projects.

We are interested in mutual investments in various energy and non-energy industries. About 100 non-energy projects are underway in Vietnam that involve fairly large amounts of Russian capital. With regard to energy, it is a strategic partnership. There are major, complex projects, such as a nuclear power station.

Speaking of the numerous examples of cooperation involving our major energy companies, the situation on this front is favourable. Not only do we supply our technology and produce oil and gas, but we actually performed a deposit swap, which is something we haven’t done with any other country.

The tourism industry is on the upswing. This year, many more Russian tourists vacationed in Vietnam than last year.

Nguyen Xuan Phuc (via interpreter): In the first quarter of 2016, trade between our countries increased by 30 per cent, which gives us great hopes for the future.

In areas of cooperation such as energy and oil production, we are faced with a host of significant tasks. We have signed many documents to facilitate the implementation of these projects. There is a major investment project by TH true Milk – a company run by Ms Thai Huong – which is estimated at about $700 million.

Prime Minister Medvedev and I are of the same mind on the need to take our relations to a new, more effective level in accordance with the interests and aspirations of our leaders and peoples. We must make sure that all agreements are implemented at the highest level, as a reflection of the high level of our relations.

Dmitry Medvedev: With regard to the new projects, I hope they will generate decent revenue for the budgets of our two countries. We agreed at the level of our respective governments that we will promote these projects by preserving the easy terms that were established initially in order to achieve the desired level of profitability.

Agriculture is a growing industry in both our countries. The markets are large. Until recently, agriculture in Russia largely depended on supplies from the European Union and some other countries. At the moment, we are in a unique situation with restrictions imposed on supplies of a number of products to the Russian market from the European Union and other countries. We are interested in having our Vietnamese partners supply fish products, seafood, fruits and vegetables to the Russian market. At the same time, we are interested in supplying livestock products to the Vietnamese market.

Investments, both in Russia and Vietnam, represent the highest level of such cooperation. We have just signed a very large and important document on creating a major livestock production facility in Russia with a fairly large amount of investment.

Nguyen Xuan Phuc(via interpreter): Vietnam has economic relations with over 200 countries and territories. We have also signed 13 bilateral free trade agreements. If you include international organisations, 55 countries have free trade agreements with Vietnam. All the free trade agreements complement each other. Our government welcomes the fact that the Russian President has signed an executive order on ratifying the free trade agreement between Vietnam and the Eurasian Economic Union. I think that this agreement will come into full force in June. I am confident that its implementation will give a major boost to our relations.

With regard to energy and the oil and gas industry, they are important parts of our cooperation. There are already many successful projects. These projects are being implemented in Vietnam and Russia (the Nenets Autonomous Area), and they are all very profitable. A cooperation agreement between PetroVietnam and Russian oil and gas companies was signed recently.

The oil and gas industry remains high on the agenda of our cooperation.

Dmitry Medvedev: With regard to whether our free trade area will become a competitor to the Trans-Pacific Partnership, first, neither has started working yet. Second, a large number of states are participating in the creation of the Trans-Pacific Partnership. Our agreement also includes several countries, and a market of 180 million people. In any case, these partnerships are in the process of taking shape, and still need time to reach the necessary level.

Importantly, the rules that will apply to our free trade area (we have no doubt whatsoever in this regard) with Vietnam, and, on the other hand, the Trans-Pacific Partnership, are consistent with World Trade Organisation rules. We (by which I mean the entire world) developed this set of rules to be followed, not torn up by new agreements. Therefore, I hope that what is being done now will serve to consolidate international trade rules.

 

http://government.ru/en/news/23047/