Sandton: Government has committed to creating a favourable environment for trade and investment as South Africa and Vietnam work diligently to strengthen their economic ties, Deputy President Paul Mashatile said.
According to South African Government News Agency, during his speech at the South Africa-Vietnam Business Forum held at the Capital Empire Hotel in Sandton on Friday, the Deputy President highlighted the importance of simplifying business operations, improving industrial infrastructure, and increasing trade finance support. He emphasised the roles of organisations such as the Industrial Development Corporation (IDC) and the Export Credit Insurance Corporation (ECIC) in these efforts.
The Deputy President encouraged Vietnamese companies to explore investment opportunities in the Special Economic Zones (SEZs), which offer world-class infrastructure and incentives. He also welcomed South African businesses to invest in Vietnam's dynamic industrial clusters and technology hubs. Through Joint Trade Committee and bilateral cooperation frameworks, he noted that they will continue to address trade barriers, facilitate market access, and enhance cooperation between both chambers of commerce and industry bodies.
The forum coincides with the Group of 20 (G20) Leaders' Summit, commencing tomorrow at the Nasrec Expo Centre. It builds on President Cyril Ramaphosa's recent State Visit to Vietnam, which marked a new phase in bilateral relations and expanded cooperation in areas such as agriculture, renewable energy, digital transformation, and science and technology.
According to the country's second-in-command, South Africa remains Vietnam's largest trading partner on the African continent, while Vietnam offers a gateway to the 700-million-strong Association of Southeast Asian Nations (ASEAN) market. Meanwhile, South Africa provides access to the African Continental Free Trade Area, connecting 1.4 billion consumers.
The Deputy President emphasised that the forum is not only about economics but also about partnership, shared growth, and solidarity, recognising that South-South cooperation offers a path to inclusive development, innovation, and resilience. He highlighted the importance of collaboration among emerging economies to reform global trade systems and ensure that development benefits all.
He addressed the business leaders, stating they are the engine of this partnership, and encouraged them to use the platform to identify bankable projects, establish joint ventures, and promote technology and skills exchange that can advance industrialisation and inclusive growth in both countries. He assured that the government, alongside Vietnamese counterparts, is ready to support these initiatives.
The Deputy President called on delegates to build on the momentum of President Ramaphosa's State Visit and the spirit of the G20 Leaders' Summit to propel South Africa-Vietnam relations to new heights. This commitment was reaffirmed during the reciprocal visit by Vietnam's Vice President to South Africa in September 2023, and during the Deputy President's visit to Vietnam in December 2023, which included engagements with business leaders aimed at strengthening bilateral relations in trade and investment sectors.
South Africa has advocated for stronger economic collaboration with Vietnam, highlighting untapped opportunities in trade and industrial partnerships. Despite steady trade growth, South Africa recorded exports of US$610.89 million to Vietnam in 2024 against imports of US$1.14 billion, resulting in a sizable trade deficit. The two countries currently trade largely in raw commodities and manufactured goods, respectively, an imbalance South Africa hopes to address through value addition and industrial cooperation.
The Deputy President is also expected to hold a bilateral meeting with the Prime Minister of Vietnam, Pham Minh Chinh.