Morocco-Vietnam’s Economic relations

14/06/2021 3789

Morocco-Vietnam Economic relations

Vietnam, through its strategic location in South-East Asia and as a member of the emerging “ASEAN Economic Community”, offers large perspectives of promising economic cooperation with Morocco, which is considered a genuine and effective gateway to access Africa market for Vietnam, and benefit from African market trade, economic potentials and opportunities.

Bilateral relations have recently seen a significant evolution and a new dynamic that could develop trade between the two countries, through joint ventures, partnerships and cooperation agreements in the fields of agro-food, tourism, finance, renewable energies, pharmaceutical industry, and aquaculture…

a)   Economic and Trade Relations

  • Trade between Morocco and Vietnam increased by nearly 50% between 2015 and 2019 (from 145 million USD in 2015 to 218 million USD in 2019)
  • A significant evolution in terms of Moroccan exports increased, from 5 million USD in 2015 to 22,4 million in 2019;
  • In 2020, due to the effects of the COVID-19 pandemic, bilateral trade decreased by 17.43% compared to 2019 (from 218 to 180,5 million USD). Moroccan exports to Vietnam decreased by 10,5% while Vietnamese exports to Morocco fell by 18%.

 

Source: General Department of Vietnam Customs.

  • The trade balance between the two countries is in Vietnam's favor. Morocco’s trade deficit with Vietnam was around 140 million USD in 2020;
  •  Vietnam stands out today as Morocco’s second trade partner in ASEAN region.

b)   Main Imported and Exported Products between Morocco and Vietnam:

  •  Main imported products by Moroccan from Vietnam:

Phones and accessories, shoes, cashew nut, textiles, computers, electronic products and components, coffee, chemical products…;

  • Main exported products from Morocco to Vietnam:

DAP fertilizers, computers, textiles, electronic products and components, vegetable oils, chemicals, animal feed products, sea food, raw materials for textiles and shoes, fruits and vegetables...

 c)    Recent agreements signed between Morocco and Vietnam in the economic field (in March 2019):

  • A Trade Agreement was signed between the Ministry of Industry and Trade of Vietnam and the Ministry of Industry, Investment, Trade and Digital Economy of Morocco in order to promote cooperation in numerous fields of shared interest, mainly renewable energy, textile, clothing, electronic and mechanical industries, chemical industry and fertilizers production;
  • Another MOU between the two Ministries in charge of trade was also signed, establishing a sub-committee on trade and industrial cooperation with the mission of promoting bilateral trade and supporting the SMEs through the implementation of measures identified to this end.