On June 9-10, 2014, Italian Prime Minister Matteo Renzi paid an official visit to Vietnam. The visit is the first one of an Italian prime minister since the two nations established diplomatic relations in 1973. The visit aimed at strengthening the Vietnam – Italy strategic partnership and cooperation in many fields.

During the talks with Prime Minister Nguyen Tan Dung, Italian Prime Minister Matteo Renzi highly appreciated great achievements in all fields of Vietnam during its national developments. He affirmed that Italy always respects and wants to promote the strategic partnership with Vietnam which plays an important role in ASEAN and Southeast Asia region.

The two sides agreed to continue the exchange of delegations at all levels; lift the two-way trade turnover to 5 billion dollars by 2016 from the current figure of 3.5 billion dollars; create favourable conditions for the two nations’ enterprises to make partnerships; foster cooperation in many fields, especially in the field where Italy has strength and Vietnam has demand, such as manufacturing – mechanics, garment and textile, footwear, wood processing, supporting industries, construction materials, energy and food processing.

The two leaders evaluated the fine outcomes of the cooperation projects over the past years and they will continue to discuss and approve a development cooperation programme in the future. The two sides also agreed to strengthen links in culture, education and training and science-technology, while promoting the setting up of cooperation mechanisms between universities of both countries as well as the establishment of an excellent Vietnam-Italy research centre.

They agreed to maintain and promote consultations among ministries and sectors, including strategic dialogues of deputy foreign ministers and deputy defence ministers, and establish an inter-governmental committee on economic cooperation with its first meeting slated for this November.

As a coordinator of ASEAN – EU relations, Vietnam supports Italy to enhance its ties with ASEAN. Meanwhile, the European country backs Vietnam to expand its all-faceted relations with the EU, by urging the organisation to quickly approve the Partnership and Cooperation Agreement (PCA) with Vietnam and recognise the country’s full market mechanism status simultaneously with the conclusion of the negotiation of the Vietnam – EU Free Trade Agreement (FTA).

Regarding the East Sea issue, Prime Minister Nguyen Tan Dung briefed his Italian counterpart on China’s illegal placement of Haiyang Shiyou-981 oil rig deep inside Vietnam’s continental shelf and exclusive economic zone as prescribed by the UN Convention on the Law of the Sea in 1982. The act seriously violates international law and the Declaration on the Conduct of Parties in the East Sea to which China is a signatory, and directly jeopardises peace, stability, security, safety and freedom of navigation and aviation in the waters.

In response, Prime Minister Renzi affirmed that Italy shares the EU and G7 Group’s viewpoint that deeply concerns about the current East Sea situation and wants all sides to exercise their utmost restraint and solve disputes through peaceful measures in line with international law.

During his stay in Vietnam, Prime Minister Renzi met with Party General Secretary Nguyen Phu Trong and State President Truong Tan Sang, and attended many important activities.

Italy operates an economic model quite similar with Vietnam’s, including a dynamic and effective system of small and medium enterprises which contributes 2/3 GDP of the nation.

The country has some key economic sectors such as tourism, trade, industry (manufacturing mechanics, defence, chemistry, furniture and ship building), telecommunication, clothing, footwear, ceramic, agriculture (olive, wine, fruit and vegetable). The commercial policy of the nation closes with the general economic policy of EU.

Italy cooperates on trade mainly with EU nations, the US and Mediterranean Sea countries. At present, Italy has strengthened foreign trade with Asian nations, including ASEAN countries.

The two-way trade turnover between the two countries also saw growth in recent years, reaching 3.5 billion dollars in 2013 (2.8 billion dollars in 2012). Major export products of Vietnam to Italy are footwear, aquatic products, coffee and garment products.

Vietnam imports machines, means of transportation and leather material. Italy has listed Vietnam in its list of 10 emerging markets prioritized for trade and investment ties.

Statistics of the Ministry of Planning and Investment showed that Italy ranked 29th among 100 countries and territories investing in Vietnam last year, with 53 projects worth 294 million USD in fields such as the processing industry, mechanics, footwear, construction, facilities for bathrooms and steel.

Italy commits to provide ODA for Vietnam in the 2014-2016 period.

VNA/VNP