A delegation of more than 45 business, government, port, industry, and education leaders representing 10 counties around Washington state participated in a five-day trade mission to Vietnam.
Gov. Jay Inslee was represented by the directors of the Office Financial Management, Department of Commerce and Department of Agriculture. Other leaders of the mission included state Senators Joe Nguyễn and June Robinson, and state Representatives My-Linh Thai and Steve Tharinger.
The trade mission started April 8 in Hanoi and ended April 12 in Ho Chi Minh City. Delegates engaged in bilateral meetings, visits to manufacturing facilities and innovation centers, meetings with cultural and higher education leaders, as well as business networking and product promotion events. A significant focus for Washington state government leaders was to strengthen partnerships and business opportunities in advanced technology sectors such as agriculture, clean energy and artificial intelligence.
Vietnam and Washington have a $3.5 billion two-way trade relationship. For Washington agriculture such as dairy, wheat, apples, cherries and processed foods, Vietnam was Washington’s tenth-largest export market in 2023. Half of Vietnam’s consumers are under 30. It has one of the fastest growing economies in southeast Asia.
The Commerce delegation focused on strengthening collaboration between Washington and Vietnam on advanced technology, renewable energy and clean technology, forestry, maritime, and a strong STEM workforce.
“Our key sector growth priorities are well-aligned and offer many opportunities in clean technology, information technology and renewable energy,” Commerce Director Mike Fong said. “Vietnam is changing, and it’s a unique moment that offers many interesting pathways and connections for Washington.”
Fong spoke about the importance of Washington’s relationship with Vietnam during a Washington-Vietnam Business Reception on April 8, which was attended by the delegation, Vietnam’s Ministry of Industry and Trade, U.S. Ambassador Marc Knapper, and representatives from the National Innovation Center and Ministry of Planning and Investment.
“We very much look forward to building those meaningful partnerships with you,” Fong said. “Washington state is an ocean away, located on the ‘upper left corner’ of the United States, but I hope that after this week’s mission we will be very much closer to one another.”
Other economic development events included a business meeting and roundtable at the Vietnam Low-Emission Energy Program, a business perspectives and panel conversation, business-to-business matchmaking, and a visit to Viettel.
At Viettel, a Vietnam based telecommunications company, representatives from Commerce's Office of Economic Development and Competitiveness discussed how to better cooperate on Information and Communications Technology advancements.
Viettel has a 50% market share in Vietnam’s telecommunications industry, and Washington, with T-Mobile USA’s headquarters in Bellevue, has a 20% market share in the U.S., said Commerce’s ICT sector lead Joseph Williams.
“We discussed how dynamic the telecommunications market is, and the incredibly innovative ecosystem,” Williams said. “We also discussed Viettel’s aspirations about building their own semiconductors.”
The U.S. is collaborating closely with Vietnam in its CHIPS Act outreach program to help Vietnam expand its worldwide semiconductor ecosystem, including production and distribution outposts. Vietnam ranks third in semiconductor exports to the U.S., and the U.S.-Vietnam Comprehensive Strategic Partnership included $2 million in funding from the U.S. to help Vietnam develop its semiconductor workforce.
Agriculture delegation members also gained insights into the Vietnamese market and opportunities for increasing the presence of Washington-produced agricultural goods.
While in Hanoi, Agriculture Director Derek Sandison signed a Memorandum of Understanding with the Vietnam Ministry of Agriculture & Rural Development. The MOU is aimed at strengthening cooperation around agricultural research and trade promotion. It lays out a variety of actions and objectives such as coordinating trade promotion activities, supporting supply chain development, growing academic and research ties through collaborative projects, and facilitating information sharing and best practices for agricultural research and technology between appropriate institutions in Washington state and Vietnam.
In addition to business networking meetings, site visits and promotional events, the Agriculture delegation hosted a well-attended Washington Agriculture Products Reception to showcase the quality of Washington’s many exports including apples, seafood and wine. Both the wide variety of products and the number of agricultural delegates participating in the mission reflect the agriculture industry's interest and potential for growth in Vietnam.
Because Vietnam’s middle class is growing, a greater percentage of the Vietnamese population can afford, and choose to, spend their money on Washington products, which are often more expensive than our competitors due to tariffs on U.S. products. However, these tariffs coupled with the increase of produce quality and volume from competitors like China, underscores the need for strategic market positioning and investment in the overall vitality of Washington’s agriculture industry to compete effectively with other exporters.
“This year’s visit to Vietnam served as a catalyst not only for strengthening economic ties between our two nations but also paving the way for a brighter future for our agriculture industries and trade relationship,” Sandison said. “By working hand in hand, we have opened new doors of opportunity and laid the groundwork for continued growth and prosperity.”
See photos here.