The EU has concluded a free trade agreement with Vietnam, which includes tariff reduction for almost 99% of products.

The EU-Vietnam Free Trade Agreement (EVFTA) has been called the “most ambitious one ever” and removes tariffs for almost all goods, with some quotas for agricultural products. The deal also allows foreign investment for public services including the postal, banking and maritime sectors.

The trade deal is estimated to increase EU exports to Vietnam by 15%, and Vietnamese exports to the EU by 20% in 2020.

The EVFTA is expected to increase Vietnam’s GDP within the range of 2.18%-3.25% every year until 2023.