Exporters discover new opportunities in Asia through partnerships and financing solutions
Vietnam is one of the fastest growing economies in Southeast Asia and its importance for European trade is growing. This is an opportunity for Slovak companies to diversify their sales markets and enter high value-added segments. The country offers a combination of large-scale demand, modernising industry and quality human capital. This context creates room for building stable investment ties and long-term business partnerships.
Growing potential
Vietnam is deepening its economic growth through the development of export industries and the modernisation of production. Slovak companies will find employment in energy, infrastructure, IT solutions and engineering supplies, where the Vietnamese economy demands a higher level of technology. Urbanisation is playing a significant role, creating new projects in transport, smart infrastructure and green technologies. “Vietnam is the 34th largest and one of the fastest growing economies in the world. It is benefiting from a shift of labour from agriculture to manufacturing and services, growth in investment, tourism and urbanisation,” says Eximbank’s director of international relations , Matúš Šársky. The country’s expansion is underpinned by textiles, electronics manufacturing and seafood processing, which have long boosted exports. It is in these sectors that Slovakia can offer innovation and experience in high value-added industries. There is also increasing interest in digital solutions, which are important in the transformation of the Vietnamese economy.
Specifics of the business
When entering the Vietnamese market, thorough preparation for the administrative processes and legislative specifics plays an important role. Businesses have to face different procedures that include licensing procedures, keeping track of regulations and proper grasp of business practices. The cultural level influences both the negotiations and the pace of cooperation. “The key challenges are domestic regulation, administration and cultural differences,” explains M. Šársky. He considers the most effective approach to be working with local partners who understand the environment and can help navigate the regulatory framework. In addition, Slovak companies benefit from regular face-to-face communication, which strengthens trust and speeds up the resolution of practical issues. Gradual adaptation to Vietnamese business practices allows for a more stable establishment in the region.
Trade with Europe
Relations between the European Union and Vietnam are undergoing positive developments that are improving conditions for business. Tariff reductions, easier customs procedures and greater investment protection are bringing stability and opening the door to new projects. Meanwhile, Slovakia has a significant position among Central and Eastern European countries in trade with Vietnam. The Slovak-Vietnamese trade turnover exceeded four billion euros in 2024, while the Vietnamese economy is experiencing GDP growth of seven per cent annually. At the same time, Vietnam is Slovakia’s third most important partner in Asia, whose economic ambitions are increasing demand for European technologies. The favourable terms of the FTA bring predictability and reduce risks, encouraging the entry of new exporters.
Eximbanka provides a range of export and investment promotion products. In partnership with Vietnamese banks, solutions are being developed that combine convenient loan packages, digital services and reduced fees for international payments. These mechanisms optimise costs and strengthen project stability. “We are negotiating an investment loan insurance where our client would be a commercial bank financing a project of a Slovak investor in the territory,” says Juraj Macho from Eximbanka’s non-tradable risk insurance department.
Source: TREND.sk
Author of the article: Tomáš Szmrecsányi