RCEP opens up many opportunities on trade and investment cooperation. Illustrative photo: VNA

A new report by DBS Singapore says Vietnam’s tariffs on intra-RCEP trade are in the middle of the pack, but lower than South Korea and China. “Trade integration between Vietnam and the RCEP members is already high, and should grow tighter as companies tap RCEP benefits. Vietnam has consistently imported a significant amount of goods from RCEP partners,” the report said.

The report also said RCEP offers Vietnam an opportunity to increase its exports to RCEP partners, which have been falling in recent years.

Another area where RCEP will help Vietnam is in increasing foreign direct investment. FDI inflows into Vietnam have been trending higher, and have ranked among the top three recipients within ASEAN-6 (ASEAN plus China, India, Japan, South Korea, Australia and New Zealand). “Vietnam continues to boast multiple advantages to attract foreign investors,” the report said.