MANILA -- Seeing the tremendous trade opportunities between Viet Nam and the Philippines, President Ferdinand R. Marcos Jr. said Tuesday that his government will work to expand bilateral trade with the Southeast Asian neighbor to $10 billion by exploring untapped resources.

“On trade and investments, I can see many, many opportunities for our two countries to explore. The Philippines is committed to enhancing and fortifying our economic, trade, and investment ties with Vietnam,” President Marcos said in a statement during his call with Vietnamese Prime Minister Pham Minh Chinh in Hanoi.

“Our objective is to expand our bilateral trade which stands at just about US$7 billion today to expand that to US$10 billion by exploring untapped resources. And in time hopefully the balance between our imports and exports will move to a more equitable ratio,” he said.

As the Philippines’ 11th largest trade partner globally, and the 5th largest trade partner in ASEAN, Marcos said the Philippines hopes to capitalize on its ratification of the Regional Comprehensive Economic Partnership (RCEP) to maintain the upward trend in its trade with Viet Nam.

The Philippines is encouraged in establishing a close partnership with Viet Nam to streamline trade and investment procedures, reduce trade barriers, and cultivate a transparent and predictable business environment that promotes fair competition and mutual growth and development, Marcos said.

The President also provided the latest updates regarding the advancements in the Philippine economy to the Vietnamese leader, particularly the country’s 2023 third quarter growth of 5.9 percent, making the Philippines as one of the strongest economies in Asia.

Furthermore, the Fitch Rating affirmed the Philippines’ “BBB” rating, which is a notch above the minimum investment grade, and has kept the outlook as “stable,” Marcos told Pham, citing the Philippines’ strong medium-term growth prospects and declining government debt-to-GDP ratio.

“This reflects the Philippine government’s efforts to implement structural economic reforms, including the enactment of the Public-Private Partnership (PPP) Code last December, which will streamline the PPP processes and eventually address the Philippines’ large infrastructure gaps,” he stressed.

The total trade between the Philippines and Viet Nam amounted to US$6.18 billion in 2022, with exports valued at US$1.72 billion and imports at US$4.46 billion. The US$2.74 billion balance of trade is in favor of Viet Nam.

The Philippines’ main exports to Viet Nam are electrical machinery and equipment and parts; copper and articles; nuclear reactors, boilers, machinery and mechanical appliance, and parts; plastics and articles; as well as fertilizers.

Among the Philippines’ main imports from Viet Nam include cereals; electrical machinery and equipment and parts thereof; iron and steel; salt, Sulphur, earths, and Stine; plastering materials, lime, and cement; and miscellaneous edible preparations. (PND)