Vietnam expects that with the Comprehensive and Progressive agreement for Trans-Pacific Partnership (CPTPP) its exports of garments and leather shoes to Canada will rise.

The 16 per cent to 17 per cent import duties on garment and textiles will vanish in four years while the 18 per cent import duties on leather shoes will be reduced to zero in seven to 11 years. Under the trade pact, Canada has pledged to remove 94.5 per cent of tax lines levied on Vietnamese products, and after four years, Vietnam will be exempt from some 96.3 per cent of the tax lines.

Canada offers great prospects for Vietnamese exports like garments and textiles, leather shoes and seafood. The country is an important bridge for Vietnamese firms to expand their markets in America. Demand for Asian food has been rising in Canada due to the increase in the population of Asian-Canadian people.

Trade links between Canada and Vietnam have improved after they joined the CPTPP. In the first two months of 2019, Vietnam’s exports to Canada were up 36.6 per cent year on year. The CPTPP comprises Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam that altogether make up 13.5 per cent of global GDP.