On the occasion of the 10th anniversary of the establishment of diplomatic relations between the US and Vietnam, Dong Nai Newspaper’s reporter talked with Mr. Seth D. Winnick, the US Consul General in Ho Chi Minh City.
This year marks the 10th anniversary of the normalization of diplomatic relations between the two nations. Can you highlight the outstanding achievements of the U.S.-Vietnam relation over the past ten years?
Bilateral relations between the United States and Vietnam have expanded dramatically since the normalization of relations just 10 years ago. Besides, the Bilateral Trade Agreement signed on July 13, 2000, marks a key step in the historic reconciliation between the United States and Vietnam. Visit exchanges between the two countries’ leaders, diplomats have actively contributed to boosting mutual understanding among the two nations. Prime Minister Phan Van Khai’s recent visit to the US has brought bilateral relations into a new height. I think that we cannot see the outstanding achievements of the U.S-Vietnam relations over the past years through only one outstanding event or one remarkable achievement. During the past ten years have witnessed positive changes in bilateral ties with the development of complex achievements.
We are striving to achieve the fullest possible accounting such as cooperating to combating scourges i.e. HIV/AIDS. U.S.-Vietnamese relations are experiencing a period of growth, change, and cooperation. While the two nations move forward on issues of trade and security, it will be progress on human rights, including religious freedom, which will define the scope and flexibility of future bilateral relations.
The U.S.-Vietnam Bilateral Trade Agreement (BTA) launched a new era of development for Vietnam and signed a commitment by the government to begin to open the economy. Vietnam’s exports to the U.S. have increased by more than a factor of ten. In the year before the BTA was signed, Vietnam shipped about US$500 million in goods to the United States. Last year the figure was US$5.5 billion. While Vietnam has experienced great success in exporting goods like textiles and seafood to the United States, two-way trade also benefits both countries. For example, Vietnams furniture industry imports U.S. hardwood that it makes into furniture for export to the United States and the rest of the world.
What are your own ideas for developing U.S. and Vietnam relations in the future?
We are very optimistic about developing our relation with Vietnam in the future. We pay special attention to supporting national development efforts in Vietnam. Vietnam-US have expanded the range of bilateral cooperation beyond trade and investment to include educational and cultural affairs. Bilateral exchanges and cooperation are increasingly expanded and the scale and level of cooperation are continuously uplifted. The two sides have also conducted many visit exchanges during the past years. Number of Vietnamese students traveled to the US sees a year-on-year increase of 5%. In 2005, the figure goes up 7% compared to 2004. Presently, almost 100 Vietnamese graduate students who are studying in the US under the sponsorship of the Vietnam Education Foundation (VEF). This year, VEF will fund additional 50 Vietnamese students to travel to the US. This will bring number of Vietnamese students studying in the US under the sponsorship of VEF up to 150. We expect that this figure will continue to grow at unsustainable rate. Every year, there are 50-100 graduate students returning to Vietnam after receiving their MA or Ph. Dr. Degree from universities at the US. They have subsequently received of the good impression that they themselves made at our country.
How will US businesses’ investment tendency develop in the next time? Which fields will attract US investors?
The business environment in Viet Nam has been improved positively in the past years and it’s very interesting to me when I work here. Many US investors are eyeing business opportunities in Viet Nam in general and in Dong Nai in particular because of their great economic potentialities as well as favorable investment climate, and they are very surprised about this. Dong Nai has ranked the top in attracting foreign investment among all provinces and municipalities throughout Vietnam.
I believe that Vietnam’s service sector will be the focus of US banks, insurers, and auditing firms if this business field is opened to foreign investors. This will create stronger competitiveness in service market and foster the development of domestic industry. US businesses will bring profits to Vietnam as they have many experiences, skills and high professional knowledge in the fields of finance, IT and other services.
Could you please give some advices about the promotion of rapid economic growth of Vietnam for the future?
All World Trade Organization (WTO) member countries benefit from the fair and effective enforcement of WTO rules. Becoming a WTO member, Vietnam will also benefit from international community. However, the country will need to adopt the entire body of WTO legislation, a process that involves liberalisation of currently restricted sectors. Vietnam should expand its open-door policy, thus attracting more foreign investment, pursue a stronger policy against corruption and increase intellectual property right protection aiming to meet international demands and benefit Vietnams economic development.
Vietnam should mobilize and increase the effective use of financial resources that make full use of their potential to eliminate poverty, improve social conditions and raise living standards of the people. Besides, the country should mobilize domestic resources, attracting international flows, promoting sustained development of the economy. Vietnam also should better implement its commitments in protecting the intellectual property right with the aim of bringing about the best investment climate for businesses. This will play an important role in economic development in Vietnam. One ineffective intellectual property right protection system will harm Vietnamese enterprises’ development for a long time and reduce investors’ interest for investment in Vietnam.
Thank you very much
Reported by Kim Loan
