SINGAPORE(AP)-Singapore and Vietnam signed an agreement on Sept. 24 to further increase
trade between the two countries.
"Our assessment is that bilateral trade will further expand into the 1990s as
Vietnam continues with its economic reforms," said Senior Trade and Industry
Minister, Lim Boon Heng Said.
The agreement grants the two countries "most favored nation status" in
respect to customs duties and other taxes.
In the 1980s, bilateral trade between Singapore and Vietnam grew at a rate of 28
percent annually to reach U.S. $562 million. But in 1991 it reached a record U.S.
In the first six months of this year, Singapore's exports to Vietnam amounted to
U.S. $340 million, while imports were valued at U.S. $190 million, representing an
increase of 18 percent in two-way trade from the same period last year.
Singapore imports include crude oil, coffee, rubber, spices, tin and food from Vietnam
and exports fertilizers, rubber products, textiles, plastic resin, refined oil, tobacco,
flour and television sets.
Singapore companies will have many opportunities in the next few years to expand
their operations in Vietnam, as its reconstruction program generates demand for infrastructure
construction and engineering services, Lim said.