"Bridging East and West": Vietnam's Ambassador Unveils the Roadmap for Ties with Israel

Economic Partnerships Flourish: Amid strengthening ties between Israel and Vietnam in both economics and technology, as well as diplomatic relations, Vietnam's Ambassador to Israel, Ly Duc Trung, openly discusses opportunities, vision, and present challenges.

In an exclusive interview with PassportNews, he proudly mentions the activation of the historic free trade agreement (VIFTA), the vast potential for technological cooperation, and the future impact of direct flights between the countries.

The Vietnamese ambassador strongly praises the development of trade relations between Israel and Vietnam, emphasizing the free trade agreement between the countries as a breakthrough in their relations.

"As soon as security and peace return to the region, the option for direct flights is excellent and will undoubtedly bring our two countries closer than ever," the ambassador says regarding VietJet Air, which was previously supposed to operate a direct route to Israel but plans were delayed due to the "Swords of Iron" war in October 2023.

Vietnam's Ambassador to Israel, Ly Duc Trung. Photo: Courtesy of the Embassy Club

In recent years, trade and cooperation between Vietnam and Israel have evolved. What are you gaining from this relationship, and what are we in Israel gaining?

The economies of both countries complement each other. Vietnamese exports fit well with Israeli needs, and vice versa.

More and more Israeli business people and investors are interested in the Vietnamese market and partners; many have come to Vietnam to seek suppliers of Vietnamese goods and materials in the context of a fragmented supply chain due to regional conflicts and obstacles. Moreover, thanks to Vietnam's geopolitical location in Asia, Israeli businesses can gain access to a larger market in Southeast Asia and beyond.

For Vietnam, companies can benefit from advanced Israeli technologies in various fields, such as information and communication, agricultural production and processing, healthcare, and more. I strongly believe that Israel can serve as a "bridge" connecting Vietnam with countries and territories in the region as well as with European countries.

Subsequent questions will further explain how closer trade relations between Vietnam and Israel benefit both sides.

Vietnam. Photo: Shutterstock

Many delegations of Israeli businesspeople travel to explore business opportunities in Vietnam. What would you suggest they focus on?

According to the most recent Asian Development Outlook by the Asian Development Bank, "strong trade, export manufacturing recovery, and strong foreign direct investment" are the main drivers for the 7.1% growth forecast for Vietnam's economy in 2024. Amid uncertainties posed by tariff measures from its trade partners, the Vietnamese government has initiated an ambitious program to boost economic growth, which could reduce risks and external uncertainties.

In its recent report "Vietnam 2045 - Breakthrough in Institutions for a High-Income Future," the bank emphasizes the key role of institutional reforms in maintaining rapid growth and achieving ambitious development goals. Resolution 68-NQ/TW not only recognizes the so-called "significant institutional push" needed to unlock the potential of the private sector and create quality jobs, but it also lays a concrete foundation for institutional changes that aim to facilitate the private sector to thrive and become a key factor in the economy.

Focus should also be on science, technology, innovation, and digital transformation. Given that Israel is a significant power in these areas, Vietnam demonstrates its strong determination to succeed in digital transformation and promote development in science and technology. To realize the visions in Politburo Resolution 57-NQ/TW and its determination to become a leader in science, technology, innovation, and digital transformation, the main solution is to enhance cooperation among government, scientists, and businesses.

From your side, Israel's Minister of Economy and Industry, Nir Barkat, pointed out the economic focuses Israel is concentrating on: high technology, homeland security, healthcare and life sciences, agricultural and food technology, and tourism. In addition, he noted that Vietnam can also be the "bridge" to Southeast Asian markets for Israeli companies.

Vietnam Ambassador, Ly Duc Trung. Photo by: Private

A free trade agreement was signed between our countries two years ago. Has it already been implemented and what are its benefits for both countries?

I am pleased to announce that the free trade agreement between Vietnam and Israel (VIFTA) came into effect in November 2024. During our meeting, Nir Barkat took the opportunity to acknowledge the joint efforts to bring the agreement into force and publicly announce it to the citizens and business communities of Israel.

The agreement, which, according to Barkat, marks a "significant breakthrough" in bilateral relations, will also open doors for citizens of our two countries to enhance cooperation in various fields and exchanges between people. Beyond bilateral trade, both economies commit to reducing procedural barriers in business and trade.

However, both sides should not expect immediate increases in trade volumes and business activities, as, in the words of Israel's ambassador to Vietnam, Yaron Mayer, "We are just beginning to understand the opportunities it presents."

For Israel, the free trade agreement VIFTA provides better access not only to a dynamic economy, a market of over 100 million people, but also to a potential market in Southeast Asia, with Vietnam playing the role of a bridge. Under the VIFTA agreement, preferential tax rates will be applied to 11,446 tariff lines. Average tax rates will gradually decrease from 10.3% in 2024 to 9.3% in 2025, 8.4% in 2026, and 7.5% in 2027.

For Vietnam, the business reform "What's good for Europe is good for Israel" could bring opportunities and challenges to Vietnamese exports, as Israel recognizes European standards.

On the other hand, Vietnamese exports meeting European standards will have easier access to the Israeli market. Those that haven't done so until now will need to work harder to gain access.

Vietnam. Photo: Shutterstock

An aviation agreement was also signed between us. According to the agreement, Vietnam was supposed to operate two weekly flights between Hanoi and Tel Aviv, but due to the war, it was not implemented. Is there a chance that we will soon see direct flights between Vietnam and Israel?

The value of direct flights between Vietnam and Israel holds promising significance in fostering bilateral relations. By shortening travel time by almost 40% and reducing layovers to just one, direct flights will surely bring our peoples and businesspeople closer, both geographically and mentally.

From my personal perspective, once security and peace return to the region, direct flights will be activated and bring our two countries closer than ever.

VietJet Air. Photo: Shutterstock

Although there are no direct flights, many Israelis visit Vietnam and many more are interested in visiting. What can you tell them about what awaits them when they visit Vietnam?

Vietnam is currently home to 72 UNESCO World Heritage sites, including 8 World Heritage sites (5 cultural heritage sites, 2 natural heritage sites, and one mixed heritage site); 16 intangible heritage sites; 10 documentary heritage sites in the "Memory of the World" program; 11 biosphere reserves; 4 geoparks; 3 cities in the UNESCO Creative Cities Network; 5 cities in the UNESCO Global Learning Cities Network; and more.

For this reason, Vietnam offers a wide range of tourist products, namely sea and island tourism, ecological tourism, cultural tourism, agricultural and rural tourism, and more. Tourists can choose between living with ethnic minority people in mountainous areas, through culturally rich festivals in cities, to lavish experiences in Vinpearl Hòn Tằm, Vinpearl Nam Hội An, Amanoi Ninh Thuận or the leisure paradise in Phu Quoc.

I was happy to encounter a response from an Israeli tourist who said that the Vietnamese culture in the modest villages of Ninh Binh and Cat Ba is unique and exotic, never experienced anywhere else in the world.

The hospitality of the Vietnamese people stands out and makes a name for itself. Tourists are treated as guests in Vietnamese households, and it is quite common for Vietnamese households to make their guests feel at home. Many stories on social media about tourists' stays in Vietnam share experiences of landscapes, heritage, and warm-hearted Vietnamese people.

Finally, Vietnamese cuisine with its "kaleidoscope of flavors, textures, and regional influences" awaits you and will amaze you on your journey through the country. The famous Tasteatlas shop named Vietnam as the 19th best cuisine in the world for 2024/2025. I believe this is more than enough to excite any culinary explorer.

Vietnam. Photo: Shutterstock

Does the option of obtaining an electronic visa without the need to go to the embassy increase the number of Israelis traveling to Vietnam?

The Vietnamese government decided to "ease" its visa policy to improve national competitiveness in tourism and make the country more attractive to international tourists. Citizens from all countries and territories can now apply for an e-visa to Vietnam. Moreover, tourists can extend their stay in Vietnam up to 90 days.

International visitors in general, and Israelis in particular, can now save time and effort when applying for an e-visa. Hence, they can plan their visit more efficiently and conveniently. Additionally, longer stays offer a wider range of experiences, waiting for visitors in Vietnam, from the exotic rural mountain ranges in the north, through the warm and captivating beaches in the central region, to the celebratory island festivities in Phu Quoc.

Vietnam Ambassador, Ly Duc Trung. Photo by: The Ambassadors Club

How are you encouraging tourism to Vietnam, and is there a chance that many Vietnamese tourists will also visit Israel?

I would like to start by noting that Vietnam was among the most resilient economies in terms of tourism. In 2024 statistics, the tourism recovery rate in Vietnam remained at 98%, meaning the industry has almost returned to pre-pandemic pace.

Since I have already mentioned what awaits Israeli visitors in Vietnam, I think there is now room for Israelis to share their remarks and experiences.

In summary, my colleague, Yaron Mayer, noted that the number of Israeli visitors to Vietnam is increasing in the post-pandemic period, and they leave Vietnam with great memories of Vietnamese culture and cuisine. This can serve as a solid foundation for our two countries to further strengthen exchanges in the near future.

After visiting Vietnam, an Israeli tourist claimed that our two countries have similarities in culture and history, as "people in both countries have a strong personality, are very proud of their identity, and have fought formidable enemies for the integrity of their homeland."

Vietnam has a growing middle class, and people are willing to travel abroad and explore. In official statistics, Vietnam recorded 2.68 million departures in the first three months of 2025 (more than double that of the previous year). I think these facts speak for themselves, and I hope to see more Vietnamese tourists in Israel when the situation and travel conditions improve.

So far, regarding the State of Israel, the holy ancient city of Jerusalem, the old city of Acre, the Dead Sea, the Mediterranean, etc., are the names that come to the minds of Vietnamese tourists. My time in Israel teaches me that Vietnamese tourists have more to see, experience, and explore in Israel. We need to work together to bring our peoples, economies, and cultures closer.

Vietnam. Photo: Shutterstock