Arnulfo Gomez, a foreign trade expert, said Vietnam has successfully implemented a commercial strategy that helps improve the quality and competitiveness of its products on the international market by reducing spending on materials and applying technology in production.
With such advantages, Vietnam has more capacity than Mexico to utilize opportunities generated by the CPTPP, he said.
The experts suggested that the Mexican Government set forth new measures to raise the competitiveness of domestic businesses, thus avoiding adverse impacts from the deal.
Statistics of the Mexican Ministry of Economy show that trade between Vietnam and Mexico between January and October 2018 reached USD 3.85 billion, with a trade surplus of USD 3.5 billion in favor of Vietnam.
The CPTPP, formerly named the Trans-Pacific Partnership Agreement (TPP), is made up of 11 signatories following the US withdrawal. The current member states are Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam.
The deal is considered a high-quality free trade agreement and one of the most comprehensive trade deals ever concluded. The CPTPP member states form a giant market with 500 million consumers and a combined gross domestic product of USD 13.5 trillion, accounting for 15 percent of the world’s GDP and 15 percent of the global trade turnover.
The Vietnamese National Assembly passed a resolution ratifying the CPTPP and related documents on November 12. Mexico, Japan, Singapore, New Zealand, Canada, and Australia had already ratified the agreement.
The CPTTP is expected to take effect on December 30 this year.
Source: VNA