The agreement, which is expected to move towards signing, is anticipated to provide fresh impetus to economic relations, promote trade and investment, and strengthen the participation of businesses from both sides in international value chains.
Switzerland is an important trading partner for Viet Nam in Europe, while Viet Nam is Switzerland’s third-largest trading partner in ASEAN. Switzerland increasingly recognises Viet Nam’s role, particularly as the country deepens its international integration and has signed a free trade agreement with the European Union (EU).
Helene Budliger Artieda, State Secretary of the Swiss State Secretariat for Economic Affairs, said that Viet Nam is a dynamic economy with an impressive growth rate and a domestic market offering considerable potential and strong manufacturing capabilities. These factors make the country attractive to Swiss businesses, not only for trade but also for long-term investment. The conclusion of negotiations and move towards signing the free trade agreement between Viet Nam and EFTA are expected to open a new chapter in economic cooperation between the two sides.
Swiss businesses regard Viet Nam as one of the most integrated and well-connected economies in Southeast Asia, thanks to its network of free trade agreements (FTAs). The FTA between Viet Nam and EFTA, which includes Switzerland, is expected to help complete the network of economic partnerships and strengthen Viet Nam’s position in global value chains.
The agreement will also create further opportunities for trade, imports and exports, and investment for businesses in both countries, particularly small and medium-sized enterprises. Viet Nam is becoming increasingly strategically significant to Swiss companies, serving both as a dynamic consumer market and as a key business location in Asia. More than 100 Swiss companies currently operate in Viet Nam, many of which plan to expand their investments, particularly in infrastructure. In addition, Viet Nam’s development of international financial centres (IFCs) offers new prospects for cooperation with Swiss companies that have strengths in this field.
Amid global economic volatility driven by geopolitical factors, supply chain, and trade policies, expanding networks of FTAs has become an important strategy for many economies. For Viet Nam, FTAs not only help broaden market but also contribute to attracting investment, enhancing competitiveness, and promoting economic structural transformation.
Viet Nam has strengths in industrial manufacturing, electronics, textiles and garments, footwear, agricultural products, and seafood, as well as in connecting supply chains across Asia. Switzerland, meanwhile, stands out in finance, pharmaceuticals, technology, machinery, chemicals, and knowledge-intensive industries. The complementary nature of the two economies creates considerable room for closer cooperation: Switzerland brings strengths in technology, capital, and research and development, while Viet Nam offers manufacturing capabilities, a skilled workforce, and an extensive trade network.
A stable, transparent, and predictable trade framework would enable both sides to make more effective use of these advantages. In this context, the move towards signing an FTA between Viet Nam and EFTA is expected to provide a long-term foundation for bilateral economic relations while strengthening Viet Nam’s links with EFTA member economies.
Under its Southeast Asia Strategy for the 2023–2026 period, Switzerland has designated Viet Nam as a “priority partner country” in the region. According to the Swiss Federal Council, the partnership with Viet Nam aims to strengthen political dialogue and deepen economic relations in a sustainable and structured manner. Cooperation between Switzerland and Viet Nam will be built on a new foundation. This includes supporting the signing of an FTA between EFTA and Viet Nam, as well as modernising the existing investment protection agreement.
Viet Nam and Switzerland established a comprehensive partnership in January 2025, marking a new stage in bilateral relations. Since then, cooperation between the two countries has continued to expand in both depth and effectiveness. Once signed, an FTA between Viet Nam and EFTA is expected to deliver tangible benefits to both economies while consolidating the foundations of the friendship and cooperation that the two countries have built and nurtured over more than half a century.
