Russian Industrialist: Economic Cooperation with Vietnam Should Be A Priority

A Russian businessman believes that economic, trade and investment cooperation between Russia and Vietnam has considerable potential and that the development of this relations should become one of the main priorities.

Russian Industrialist: Economic Cooperation with Vietnam Should Be A Priority
Oleg Vladimirovich Deripaska, founder of aluminum giant RUSAL, and Russia’s largest automaker GAZ Group. Photo: VNA

Vietnam and Russia boast huge potential for cooperation in economy, trade, and investment, and the two countries should take collaboration as a main priority in the bilateral relations, VNA cited a Russian industrialist.

Oleg Vladimirovich Deripaska, the founder of aluminum giant RUSAL, and Russia’s largest automaker GAZ Group said over the past 15 years, two-way trade has grown stably, hitting a record high of 25.9% last year.

He stressed that to maximize the potential, the two countries need to perfect common legal frameworks and implementation mechanisms, develop networks of logistics and infrastructure, with new sea routes, streamline customs procedures and resume direct air routes.

The two countries should consider forming a single payment platform and use their currencies in payments to ease damage to exporters and importers, Deripaska proposed.

He suggested that Russian businesses should provide raw materials for factories in the Southeast Asian nation, noting energy, transportation and logistics, maritime communications, diamond processing, forest management, pharmacy and health care, tourism, and humanitarian sectors are Russia’s priority investment areas.

On the contrary, Russia is open to the localization of Vietnamese enterprises in Russia. In particular, favorable conditions for foreign investment and business are being created in the Russian Far East. Overall, the development of the Far East promises economic benefits for the entire region.

Vietnam’s rapid economic development requires stable access to raw materials. The issue of the environmental friendliness of the raw materials supplied is also of great concern in Vietnam, as Vietnam has set a target to be carbon neutral by 2050.

Russian Industrialist: Economic Cooperation with Vietnam Should Be A Priority
Vietnamese Ambassador to Russia Dang Minh Khoi (R) and First Vice Chairman of the Russian State Duma and Vice Chairman of the Communist Party of the Russian Federation (CPRF) Ivan Melnikov. Photo: VNA

Russia remains a reliable supplier of environmentally friendly raw materials – from energy resources and metals to raw materials for the chemical industry – and can help Vietnam in achieving its environmental goals.

The potential of Russia-Vietnam cooperation, according to Deripaska, lies in many other fields. Every year, the leading higher education institutions of the Russian Federation, including the M. V. Lomonosov Moscow State University, the environment of the elite of science and technology, still open to welcome Vietnamese students.

Russia and Vietnam also have joint projects in the field of science and technology that are completely unique to world practice, such as the Vietnam-Russian Tropical Research Center. Deripaska also expressed his hope that the bilateral collaboration in education, science, and culture will grow further in the time ahead.

Meanwhile, Evgeny E. Vlasov, acting vice president for International Relations, at the Far Eastern Federal University (FEFU) were the 7th Eastern Economic Forum (EEF) took place in September 2022, said that Vietnam has great potential to become a gateway for Russia to access all other ASEAN member states.

According to him, Vietnam holds an increasingly important role in Russia, and its bilateral cooperation with Vietnam can be considered its open door to ASEAN to cooperate with all partners.

He cited the Vietnam-Russia Business Dialogue held within the framework of the 7th EEF as an example, as it drew large attention.

Vietnam also has big competitors in relation to Russia, such as Singapore which has much greater economic potential. However, if experience and the positive past are taken into account, Vietnam has more opportunities, and is the foundation for Russia to build this new type of relationship, he added.

On the New Year, Russian President Vladimir Putin has extended the holiday and 2023 New Year’s greetings to heads of foreign states and governments, including Vietnamese Party General Secretary Nguyen Phu Trong and President Nguyen Xuan Phuc.

In his message to the Vietnamese leaders dated December 30, Putin noted that, despite adverse changes globally, the Comprehensive Strategic Partnership between Russia and Vietnam has continued to develop positively.

The Russian leader expressed his belief that through joint efforts, both countries will further strengthen bilateral cooperation of mutual benefit in all fields, in order to consolidate peace and security in the Asia-Pacific region.

Vietnam and Russia marked 10 years of their comprehensive strategic partnership in 2022. Despite the complicated situation, the two countries have maintained reciprocal visits and meetings, and promoted bilateral cooperation in many fields.

Hannah Nguyen