A representative from the RoK’s Ministry of Trade, Industry and Energy stated that, in a volatile global trade environment, Viet Nam is a key market in ASEAN for the RoK to diversify its markets and reduce dependence on the US and China. The RoK’s government pledged to continue supporting to promote bilateral trade in a mutually beneficial manner, not only in semiconductors but also in popular consumer goods.
Since the establishment of diplomatic relations in 1992, the trade scale between the RoK and Viet Nam has recorded a significant leap. The range of goods has expanded from labour-intensive products such as textiles and garments to high value-added products such as semiconductors and wireless communication equipment.
Notably, since the signing of the Viet Nam–Korea Free Trade Agreement (VKFTA), bilateral trade has tripled. The trade structure between the two countries is complementary, in which the RoK investing in Viet Nam, exporting intermediate goods to factories in Viet Nam, and Viet Nam then exporting finished products back to the RoK.
In addition, thanks to the influence of the Hallyu wave, exports of beauty-related products and food items have also recorded impressive growth. Previously, RoK media, citing the Import-Export Trend Analysis Report for the 2021–2025 period of the RoK’s Ministry of Trade, Industry and Energy, reported that the RoK’s exports to China had fallen by 19.7% over the past five years.
According to the Korea Institute for Industrial Economics and Trade, the declining trend in exports to China may result from companies relocating production facilities from China to the US or Southeast Asia.
