Italy and Vietnam, 50 years of friendship

Editorial by Lorenzo Riccardi, Managing Partner RsA Asia

Hanoi is Rome's main trading partner in ASEAN. And it is on the list of priority countries for investment promotion

Italy and Vietnam are getting closer and closer. In 2022, trade between the two countries reached an all-time high of $6.2 billion, up 11% from 2021. A trend that has been on the rise for a while and has led to doubling figures within a decade. And that is set to continue, as Italy has included Vietnam in its list of 20 priority countries for trade and investment promotion through 2030. Among other things, next March 23 marks the 50th anniversary of bilateral relations, and to celebrate the recurrence a calendar of initiatives is planned to promote cultural and economic ties. For example, on the occasion of the Lunar New Year, the Consulate of Vietnam in Turin on January 30 organized a round table discussion on investment opportunities in Vietnam and Southeast Asian countries. Along with the writer, Sandra Scagliotti, Honorary Consul of the Socialist Republic of Vietnam in Italy, and Mario Donadio of Leading Law participated. Vietnam is Italy's main trading partner in Southeast Asia, but the whole region offers great opportunities. The political and economic union of the ten members of the Association of Southeast Asian Nations counts on a huge market, with 667 million people and a territory of 4.5 million square kilometers; it is the third largest economy in the Asia-Pacific and the fifth largest in the world. The ASEAN Economic Community (AEC) has a combined GDP of $3.6 trillion, according to estimates for 2022. The International Monetary Fund released its World Economic Outlook on January 31, 2023. The report forecasts global growth for 2023 at 2.9% before rising further to a GDP rate of 3.1% in 2024, which is an upward revision of 0.2 percentage points from the October 2022 estimates. The recent reopening of China's borders is expected to pave the way for a faster-than-expected global recovery. For the five largest ASEAN economies (Indonesia, Malaysia, the Philippines, Thailand and Vietnam), growth is projected at 4.3% in 2023. Cooperation with Europe and Italy is set to increase further.