The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is considered as super and agreed upon negotiation. On such basis, the nations have reviewed legitimacy and fulfilled all internal procedures for signing in the morning of March 9 (Vietnamese time) in Chile. CPTPP is signed to be effective at the soonest and become the challenge for provinces of strongly developed industry, importation and exportation like Binh Duong.
Shoe making at Dong Hung Industrial Joint Stock Company in Di An Town. Photo: Xuan Thi
More opportunities for development
Economic expert and Dr. Vo Tri Thanh, Chairman of the Vietnam National Committee for Pacific Economic Cooperation, said that the 11 countries participating in the CPTP are committed to making every effort to put CPTPP into operation. realistic. Once signed, it is likely that CPTPP will be effective soon.
According to many experts, CPTPP is like a continuation of the previous TPP with 12 countries, including the United States. Leaders of many countries affirmed the process of globalization, integration is irreversible. This has great benefits for participating countries, as well as for the whole world. CPTPP was signed, continuing to assert that the Asia-Pacific region should be the flagship, pioneering the integration, integration and liberalization of trade and investment.
The CPTPP is a new, high-level, comprehensive free trade agreement (FTA). The agreement refers not only to traditional areas such as tariff reductions for goods, services markets, intellectual property, technical barriers to trade, etc. To deal with new and non-traditional issues such as labor, environment, government procurement, state enterprises, etc. This is a great opportunity for Vietnam in general as well as for localities with attractive policies. good investment, industrial development, trade - service as strong as Binh Duong.
Of the 11 CPTPP members, it is easy to see that Singapore and Japan have been very important in promoting investment in Binh Duong in recent years. Singapore has started investing in Binh Duong 22 years ago, marked by the establishment of Vietnam - Singapore Industrial Park and gradually rose to the third position among countries and territories investing in Binh Duong. . Meanwhile, Japan also poured a large amount of capital into Binh Duong in recent years, with a series of real estate projects, transport infrastructure, industrial production ... to rise to No. 2 of foreign investment (FDI) in the province. The signing of CPTPP is considered a great opportunity for Binh Duong through these two big partners to attract more FDI into the province in the near future to serve the development needs.
In broad terms, the CPTPP was signed, with a commitment to open markets, a strong message against the current protectionist trend in the world, as well as promising to bring economic benefits to the nations. member. The deal will create one of the largest free-trade areas in the world, with a market of 499 million people, with a gross domestic product of $ 10,100 billion, or 13.5% of the world's GDP. This promises to be a big market promoting exports to some key manufacturing industries of Binh Duong such as textiles, leather shoes, wood ... Through which help the industry, trade - service of the province there are Stronger development.
All aspects should be well prepared
The CPTPP sets high transparency requirements and standards, as well as provides a binding and coherent dispute resolution mechanism. As for market access, the contracting parties agree to eliminate almost all import tariffs on the same schedule; Services and investment liberalization on the basis of complying with the law of the host country, ensuring the management of the State, thereby creating new business opportunities for businesses and new benefits for consumers. Member States. However, this also means that there is no small challenge for both the State and the Vietnamese enterprises.
Dr. Tran Dinh Thien, director of the Vietnam Institute of Economics, acknowledged that after the successful negotiation and signing of negotiations, the challenge of integrating into the new reality became a reality. In his view, the key issue is to actively prepare the enforcement capacity for compliance and operational capacity to meet the stringent, highly demanding conditions of an agreement that is considered to be the most progressive. He argues that it is necessary to act in a highly innovative way, with radical structural reform and building of superior institutions.
Talking to the reporter Binh Duong after hearing CPTPP was signed, Tran Thanh Trong, Vice Chairman of Federation of Business in Binh Duong, said optimism is inevitable. However, businesses in the province need to urgently prepare for integration and development. Because of this, the risk of losing the market and being under great pressure on the ground is present. As Vietnamese enterprises, despite their strong development in recent years, are mainly small and medium enterprises with low development level and weak and weak supply. Therefore, when CPTPP is in effect, the ability of enterprises in the province to lag is very likely to occur.
Not only that, according to many experts, the removal of tariff barriers will lead to increased competition pressure among member countries of the FVC, forcing member countries in general and enterprises in particular to transform and recombine. in accordance with international practice. If this is not possible, many businesses, especially those in developing countries, are likely to lose out on the domestic market, be dissolved or bankrupt.
Obviously, in order to overcome the challenges, maintain and maximize the efficiency of the CPTPP framework, enterprises in Binh Duong province should make good use of opportunities to exploit the market, actively raise their capacity, Pressure and competition are the drivers of innovation and development. With the signing of the CPTP at dawn on March 9th (Vietnam time), it means that only 60 days will be effective. The remaining preparation time is not much. From now on, Binh Duong enterprises must take the initiative to avoid the prospect of losing at home and in the block.
Reported by Khanh Vinh – Translated by Vi Bao
