Deputy Prime Minister Ho Duc Phoc met with European Commissioner for International Partnerships Jozef Sikela, who is visiting Vietnam and co-chairing the Global Gateway Business and Investment Forum (GGBIF).

The Deputy Prime Minister highlighted the European Union’s role and position as the world’s third-largest economy, leading global trends in sustainable development, green growth, circular economy, digital transformation, fair energy transition and free trade.

Vietnam consistently values and supports EU initiatives that align with its sustainable development goals, particularly the Global Gateway initiative.

Reflecting on Vietnam-EU relations, Ho Duc Phoc noted that following the recent upgrade in ties, translating agreements into practical programmes and projects - including the GGBIF - is highly significant, creating new momentum for bilateral cooperation.

He called on the European Commissioner to continue coordinating efforts to effectively implement Global Gateway projects in Vietnam, enhance development cooperation and encourage EU businesses to invest in large-scale projects.

Among these are newly established international financial centres in Ho Chi Minh City and Da Nang, which are expected to strengthen infrastructure connectivity, promote green and digital transitions, enhance capacity and enable Vietnamese enterprises to integrate more deeply into EU supply chains.

Commissioner Jozef Sikela expressed his impression of Vietnam’s socio-economic development achievements and praised the progress in EU-Vietnam relations, particularly the establishment of a Comprehensive Strategic Partnership framework.

He noted that the visit includes numerous policymakers and leading EU businesses, including the Vice President of the European Investment Bank. Increasing numbers of major European companies are interested in investment and business cooperation in Vietnam across sectors such as infrastructure, transport connectivity, energy transition, and green, digital and circular economy.

Sikela affirmed that the EU considers Vietnam a key partner in ASEAN, emphasising that despite global uncertainties and economic challenges, Vietnam remains a highly reliable partner. The two sides share common values in sustainable development and human-centred growth, and have reduced 99% of tariffs to facilitate trade.

Both sides agreed on the need to strengthen cooperation in investment, infrastructure connectivity, energy transition and human resource development for green, digital and circular economies.

Earlier in the day, Deputy Prime Minister Ho Duc Phoc and Commissioner Jozef Sikela co-chaired the GGBIF.

At the forum, Sikela announced that the EU will invest over 560 million euros in sustainable transport and clean energy in Vietnam. He said the package demonstrates how the EU-Vietnam partnership delivers on key priorities such as maintaining economic growth while reducing pollution and boosting clean energy.

He described Vietnam as one of the most dynamic economies in Asia, with a young population, a strong industrial base and a clear development direction. However, the next phase of growth will depend on two critical factors: reliable energy supply and quality employment.

Regarding specific projects, the first major investment will support the Bac Ai pumped-storage hydropower plant, with a capacity of 1,200 MW and total capital of around 900 million euros (approximately US$980 million). The project is expected to help stabilise the power system and improve the reliability of renewable energy by storing surplus electricity and generating power during peak demand.

The EU has also launched a new 40 million euro (approximately US$44 million) sustainable transport facility, aimed at mobilising more than 1 billion euros (approximately US$1.09 billion) in investment for railways and urban transport.

Tran Thuong