On October 2, in Cape Town, South Africa, a forum on prospects for economic, trade and investment cooperation between Viet Nam and South Africa was held with the participation of leaders of the Vietnamese National Assembly, representatives of the Ministry of Industry and Trade (MoIT), the Embassy of Viet Nam in South Africa, Wesgro - the Western Cape Tourism, Trade and Investment Promotion Agency, relevant authorities and business communities from both countries.  

The forum was one of the activities held as part of the official visit to South Africa by a high-level delegation of the Vietnamese National Assembly to Cape Town, the legislative capital of South Africa. Participants discussed the business environment, trade and investment opportunities, relevant policies and regulations, and areas where there remains significant room for cooperation.

Bringing the Strategic Partnership into the economic sphere

In his opening remarks, Vietnamese National Assembly Vice Chairman Nguyen Hong Dien emphasized that over the past more than 30 years, friendship and cooperation between Viet Nam and South Africa had continued to develop in a substantive and effective manner. The elevation of bilateral relations to a Strategic Partnership in November 2025 opened a new framework for cooperation with a long-term vision and higher expectations for quality and effectiveness. Economic, trade and investment cooperation is one of the key pillars of this partnership.

According to Vice Chairman Nguyen Hong Dien, two-way trade reached approximately USD 1.3 billion in 2025 and exceeded USD 1.7 billion in the first seven months of 2026, up 45% year on year. South Africa is currently Viet Nam’s second-largest trading partner and largest export market in Africa, while Viet Nam is South Africa’s fifth-largest trading partner within ASEAN.

However, these results are still considered not commensurate with the potential and strengths of the two economies or with the framework of their Strategic Partnership.

In terms of economic structure, the two economies have complementary strengths. South Africa has advantages in natural resources, industry, services and finance, as well as its position as a gateway to the African market. Viet Nam has strengths in manufacturing, processing, agriculture, technology, electronics, telecommunications, international trade and experience in participating in global value chains.

On this foundation, the two sides can expand cooperation in high-value-added areas such as processing and manufacturing, digital transformation, artificial intelligence, the green economy, renewable energy, mineral extraction and processing, high-tech agriculture and supporting industries.

One issue highlighted by Vice Chairman Nguyen Hong Dien was the need to establish a favorable legal environment to translate cooperation potential into concrete projects and investment flows. Businesses need an investment, production and business environment with clear, transparent, stable and predictable regulations, streamlined procedures, lower compliance costs, and safeguards for their legitimate rights and interests.

Trade promotion opens doors for businesses

From a trade promotion perspective, Vu Ba Phu, General - Director of the Viet Nam Trade Promotion Agency under the Ministry of Industry and Trade, outlined developments in Viet Nam’s economy and the opportunities that the Vietnamese market could offer South African businesses.

According to him, over the past five years, Viet Nam’s integration into international trade and investment has become increasingly deep and extensive. The value of merchandise trade rose from approximately USD 668.5 billion in 2021 to around USD 930 billion in 2025. Registered foreign direct investment reached approximately USD 38.42 billion in 2025, while disbursed FDI stood at USD 27.62 billion.

These results demonstrate Viet Nam’s growing role as a regional production and export hub. They also provide a basis for Viet Nam and South Africa to explore complementary cooperation models, ranging from the supply of raw materials and inputs, deeper processing and supporting industry development to expanding markets for products in which each country has strengths.

The Viet Nam Trade Promotion Agency is ready to serve as a bridge, supporting businesses from both countries in understanding markets, identifying partners and pursuing concrete cooperation opportunities.

International trade promotion programs and events such as Viet Nam Expo, Viet Nam Foodexpo, VIATT, the Viet Nam International Sourcing Fair, along with business-matching and trade connection programs, were highlighted as channels through which South African businesses can gain deeper access to the Vietnamese market.

According to him, Viet Nam hopes that South African trade promotion agencies, associations and businesses will participate more actively in programs in Viet Nam, ranging from exhibitions and B2B meetings to supplier and investment partner searches and the establishment of long-term business relationships.

For its part, Wesgro said South Africa is Africa’s most industrialized and diversified economy, with a GDP of USD 363 billion, a population of 63 million and preferential access to African markets through the African Continental Free Trade Area (AfCFTA).

Western Cape, in particular, has been identified as having significant potential for cooperation with Vietnamese businesses in renewable energy, green hydrogen, electric vehicles, battery manufacturing, high-tech agriculture, agricultural processing, logistics and information technology services. Wesgro has also developed the Cape Trade Portal, connecting more than 2,100 exporters in the region with buyers around the world.

Energy cooperation and business connections

A notable topic at the forum was the prospect of cooperation in the energy sector, including coal trade between Viet Nam and South Africa.

Trinh Duc Duy, Deputy Director of the Energy - Petroleum Agency under the Ministry of Industry and Trade, said that, in its efforts to ensure energy security, support socio-economic development and advance the energy transition, Viet Nam attaches importance to international cooperation in the energy sector.

According to discussions at the forum, Viet Nam’s coal import demand is expected to remain significant in the coming period, while South Africa has strengths in coal mining and exports, as well as large-scale infrastructure serving coal exports. The two sides could explore expanded cooperation by diversifying supply sources, strengthening business connections, exchanging market information and gradually studying potential investment cooperation.

The MoIT representative proposed that the South African side facilitate direct engagement between Vietnamese businesses and reputable coal suppliers, support access to market information, and facilitate surveys and studies into investment opportunities in coal mining, processing and supply in South Africa. This was identified as a complementary area of cooperation that is also consistent with the requirements of ensuring energy security and diversifying supply chains.

Alongside policy dialogue, the forum also provided time for businesses from the two countries to exchange views on their needs, cooperation opportunities and practical issues arising in the process of accessing each other’s markets.

The business Q&A session provided an opportunity to turn information exchanged at the forum into concrete connections, ranging from identifying partners, suppliers and customers to exploring investment opportunities.

The elevation of Viet Nam-South Africa relations to a Strategic Partnership has created an additional foundation for the two countries to expand cooperation across a wide range of fields. Economic, trade and investment cooperation remain important areas, with business communities playing an increasingly active role.