Vietnam and Egypt enhance economic relations, aiming to establish a bilateral Free Trade Agreement
In August 2025, Vietnam and Egypt took a significant step forward in their bilateral relations, upgrading them to a Comprehensive Partnership. This new phase marks a period of increased cooperation across trade, investment, and other sectors.
According to data, bilateral trade between the two countries reached between $472.6 million and $541.4 million in 2024, with an increase of around 8-9% year-on-year. Trade continued growing in the first half of 2025 to nearly $267 million.
Vietnam, seeing Egypt as a gateway to Middle East and African markets, and Egypt offering access to the European Union and African economic agreements, both seek enhanced cooperation in logistics, renewable energy, oil and gas, textiles, and chemicals.
To further boost bilateral trade and investment flows, promote balanced growth, and deepen economic ties, both governments have agreed to establish a joint Working Group to explore the feasibility of negotiating a Vietnam–Egypt Free Trade Agreement (FTA). This group will assess potential benefits and work toward more balanced trade.
The growth in trade has been driven by Vietnam's key exports to Egypt, which include coffee, mobile phones and components, vehicles and parts, electronics, seafood, pepper, machinery and equipment, fruits and vegetables, cashew nuts, textile fibers, garments, and base metals.
During a working meeting between Việt Nam's Ministry of Industry and Trade and Egypt's Investment and Foreign Trade Ministry, led by Deputy Minister Phan Thị Thắng from Việt Nam's ministry, the marked progress in bilateral ties was reaffirmed, and Egypt's important role in North Africa and across the African continent was highlighted.
The Egyptian Minister of Investment and Foreign Trade, Hassan El Khatib, commended Việt Nam's strong economic growth in recent years, while Thắng expressed appreciation for the close cooperation extended by the Egyptian ministry to its Vietnamese counterpart in recent years.
Looking ahead, the Egyptian side announced the plan to send a business delegation to Việt Nam in 2025 and proposed joint efforts to organise promotion events. Both sides agreed to coordinate in organising the 3rd session of the Việt Nam-Egypt subcommittee on trade and industry cooperation in Việt Nam, scheduled for the fourth quarter of 2025.
They also agreed to step up coordination in organising trade and investment promotion activities to expand scale and move toward a more balanced bilateral trade relationship. The potential FTA negotiations are a testament to the strong and growing relationship between Vietnam and Egypt.
- The growth in trade between Vietnam and Egypt is due, in part, to the AI-driven advancements in industries such as mobile phones and electronics, which Vietnam exports to Egypt.
- Recognizing the potential for increased cooperation, the governments of Vietnam and Egypt have agreed to establish a joint Working Group to explore the feasibility of negotiating a Free Trade Agreement (FTA) in energy, oil and gas sectors, as both countries strive to promote sustainable trade.
- To further foster growth in the cultural and industry sectors, the Egyptian Minister of Investment and Foreign Trade, Hassan El Khatib, has announced plans to send a business delegation to Vietnam in 2025, aiming to strengthen bilateral ties and culture exchange.
- As part of their efforts to achieve a more balanced trade relationship, both Vietnam and Egypt have agreed to coordinate in organizing promotion events and the 3rd session of the Vietnam-Egypt subcommittee on trade and industry cooperation, focusing on finance, logistics, and textiles.
