INTRODUCTION: ECONOMIC RELATIONS BETWEEN VIETNAM AND

CPTPP COUNTRIES

1. OVERVIEW

Vietnam’s growth in the past three decades has been incredible. Economic and political
reforms after 1986 have stimulated rapid economic growth, transforming what was at the
time one of the world’s most poverty-stricken nations into a lower middle-income
country. Between 2002 and 2018, GDP per capita increased by 2.7 times,exceeding
US$2,700 in 2019, and more than 45 million people were lifted out of poverty. There was
also a noticeable drop in poverty rates from over 70 percent to below 6 percent
(US$3.2/day PPP). Almost all of Vietnam’s remaining poor residents, approximately 86
percent, are ethnic minorities.

In 2019, Vietnam’s economy continued to show fundamental strength and resilience,

supported by robust domestic demand and export-oriented manufacturing. Real GDP
grew by an estimated 7 percent in 2019, similar to 2018, one of the fastest growth rates in
the region.

The unprecedented growth of Vietnam’s economy is partly attributable to strong

networking throughout the years: the connection and cooperation with a myriad of
developed countries. Exposure with such countries in different economic parties has
facilitated Vietnam not only to boost its overall revenue but also gain invaluable
experience in the global market. The TTP (Trans-Pacific Partnership) agreement was
signed in February 2016. Following the withdrawal of the United States, the agreement is
now facing a very uncertain future. In March 2018, the remaining 11 states finally signed
the now re-named and less ambitious Comprehensive and Progressive Agreement for
Trans-Pacific Partnership (CPTPP). The Comprehensive and Progressive Agreement for
Trans-Pacific Partnership (CPTPP) is a free trade agreement (FTA) between Australia,
Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, Peru, New Zealand,
Singapore and Vietnam. Before it can enter into force, it must be ratified by the
countries’ respective national parliaments. Vietnam entered the treaty on 14 January
2019.

2. RATIONALE

Researching the economic relations between Vietnam and neighbor CPTPP

countries is a critical factor in the formulation for Vietnam’s economic guidelines
in the foreseeable future. A deep insight of how Vietnam and other CPTPP
perceive each other’s economy is likely to placate any undesirable dispute between
countries. As a matter of fact, in this day of information and technology, conflicts
between countries will easily be aggravated with the intervention of social media.
Consequently, scrutinising the economic ties between Vietnam and CPTPP
countries will be the ultimate solution to appeasing the heated atmosphere between
nations. That is the primary driving force for our group to choose the topic of
analysing the Economic relations between Vietnam and CPTPP countries.

3. SCOPE OF RESEARCH

With regard to Vietnam, there is currently a scarcity of professional research that

focuses on the economic ties between Vietnam and CPTPP countries,
consequently calling for the establishment of comprehensive research and studies
into the rather perplexing topic.

4. RESEARCH QUESTION

Our research is conducted with a view of providing readers with the most in-depth
data about economic relations between Vietnam and CPTPP countries. The
research will attempt to provide answers to perplexing conundrums such as Hơw
CPTPP will have an impact on Vietnam’s economy.

5. METHOD OF RESEARCH
 The research will apply qualitative research, focusing on facts and figures about
trades and barter exchanges like imports or exports.

6. AIMS AND OBJECTIVES

After the research is completed, its results are expected to provide readers with
fundamental understanding of how Vietnam’s economy and other CPTPP countries’
economies are connected and what impact will such relations have on separate country’s
economy, in particular Vietnam.

CONCLUSIONS
Overall, Vietnam will benefit greatly and the economic status will be thriving upon
joining The Comprehensive and Progressive Pacific Partnership (CPTPP). Not only
CPTPP but also other multilateral trade agreements are anticipated to accelerate
Vietnam’s investment and export-based growth model. Apart from economical
accomplishments, Vietnam also stands a high chance of strengthening diplomatic ties
with the other 10 countries in the Partnership, which means that the Vietnam market will
be significantly broadened and yield even greater revenue. Exporting and Importing, a
rising economic sector, is also anticipated to witness dramatic rise as a result of closer
relations between Vietnam and the other 10 countries. In brief, CPTPP will enhance the
overall economy and marketability of the 11 members, including Vietnam.