Vietnam-US sign Trade and Investment Framework Agreement

10:18' 22/06/2007 (GMT+7)

President Triet and Chevron's Managing Director & CEO for the Asia South Strategic Business Unit Steve Green (photo: Reuters) VietNamNet Bridge – Vietnamese President Nguyen Minh Triet on June 21 witnessed the signing ceremony of the Vietnam-US Trade and Investment Framework Agreement and some economic contracts. The President also delivered a speech before around 20 CEOs of US leading corporations. Three million overseas Vietnamese can be proud of their native country President Triet arrived at the Andrew Air Force Base in Washington at 8pm, June 20 (local time) (7am June 21, Hanoi time). Welcoming President Triet and his wife at the airport were representatives of the US Department of State, staffs of the Vietnamese Embassy in the US, Vietnamese students in the US and overseas Vietnamese in Washington. Just after his arrival in the Willard InterContinental Washington Hotel, the President met with staffs of the Vietnamese Embassy in the US, Vietnamese students in the US and overseas Vietnamese in Washington and the neighbouring areas. At the meeting, Mr Triet said that more than three million overseas Vietnamese, including those in the US, can be proud of their native country, Vietnam. He highlighted the contributions of overseas Vietnamese to Vietnam and hoped that overseas Vietnamese would always look to their country and return home to see Vietnam’s development. President Triet affirmed that the Vietnamese Party and State always consider the overseas Vietnamese an integral part of the Vietnamese community of nationalities. He said for Vietnam to rise to its current position, many generations of Vietnamese, regardless of whether they are in or outside the country, have made unceasing efforts to contribute to the cause of national construction and defence, especially the reforms over the past 20 years. The President called on overseas Vietnamese to keep close connection with the home country and pass onto young generations their Vietnamese culture, particularly the Vietnamese language. President Triet presents a painting to Ms Barshefsky (Photo: Tuan Anh) President Triet also presented the first-grade Labour Order to staffs of the Vietnamese Embassy in the US and the second-grade Labour Order to Vietnamese Ambassador to the US Nguyen Tam Chien for his outstanding contribution to promoting the friendship between Vietnam and the US. In early June 21 (local time), President Triet met with Ambassador Charlene Barshefsky, former US Trade Representative of the Bill Clinton administration, who signed the Vietnam-US Bilateral Trade Agreement (BTA). At the meeting, Mr Triet praised Ms Barshefsky’s efforts to promoting the relationships between the two countries. He expressed the pleasure that Ms Barshefsky continues to hold important positions which can help her further contribute to the relations with Vietnam. He appreciated Ms Barshefsky’s assistance to bring Intel to invest in Vietnam. Through Ms Barshefsky, Mr Triet conveyed his compliments to former President Bill Clinton and his wife, Senator Hillary Clinton. After the meeting, the Vietnamese President and his entourage visited a US farmer family, Mr E. Paul Breaux, the owner of the Breaux Vineyeards farm in Purcellville, Virginia. Vietnam-US trade and investment framework agreement signed At 11.30am, June 21 (local time), the Vietnamese President attended the welcome meeting held in Washington D.C by the US Trade Council and the American chamber of Commerce. He witnessed the signing of the Vietnam-US Trade and Investment Framework Agreement (TIFA) and had a speech before donors and around 20 CEOs of US leading groups. President Triet witnesses the two sides exchanging TIFA documents (Photo: Reuters). Under the witness of President Triet and US Secretary of Commerce Carlos Guitierez, Deputy US Trade Representative Karan Bhatia and Vietnamese Deputy Trade Minister Nguyen Cam Tu signed the TIFA. Under TIFA, the two sides will establish a bilateral cooperation council led by a US and a Vietnamese minister. The agreement is considered a new landmark in the relationships between the two countries, after the BTA signed in 2000, and the first step for a free trade agreement. On the same day, some signing ceremonies took place between Vietnamese and American partners, including the Chevron Oil and Gas Group and the Vietnam Oil and Gas Group (PetroVietnam), Motorola and the Vietnam Post and Telecommunications Group (VNPT), SSA Marine and the Vietnam Shipping Lines Corporation (Vinalines). The total value of those contracts is more than US$1 billion. Vietnamese President meets with leaders of US Congress President Triet met with leaders of the US House of Representatives and US Senate at the Capital Hill at 3pm of the same day. Participating in the meeting were Speaker of the US House of Representatives Nancy Pelosi, Chairman of the Committee on Ways and Means Charles Rangel, House Majority Leader John Boehner, Senate Majority Leader Harry Reid, senator McConnel, and many other congressmen. The Washington Post on June 21 ran a full-page open letter by Vietnamese President Nguyen Minh Triet on the Vietnam-US relationship. “For Vietnam, the United States will always be a key partner, and our commitment to multi-faced cooperation should not be questioned,” the letter says. In the letter, the Vietnamese State President said in spite of the geographical distance between the two countries, Vietnam and the US go back together almost to the birth of America. The Vietnamese Declaration of Independence for example opens with Thomas Jefferson's immortal words, "All men are created equal; they are endowed by their Creator with certain inalienable Rights; among these are Life, Liberty, and pursuit of Happiness." The relationship between the two countries has undergone vicissitudes and a sorrowful past, the Vietnamese President said, while confirming, “today, both the immediate and long-term interests of our two countries, Vietnam and the US are working hard to forge a new chapter in our shared history”. The President also wrote that after a turbulent past, time has aided in healing the wounds that previously divided the two nations and it is now with the present that unprecedented opportunities lay for both countries to build a more sustainable and fruitful relationship. He also expressed his hope that his visit to the US, to culminate in June 23, will help tighten bilateral relations and expand the fields of bilateral cooperation. President Triet also said Vietnam has emerged today as one of the most dynamic and rapidly growing economies in the world, and is now known worldwide as a safe and stable country boasting an attractive business and investment environment. The country, he added, is showing itself to be a responsive and reliable partner in the international community, willing and able to work with all countries for peace, stability and prosperity. He also said that like all Vietnamese, he is very impressed by the dynamism, creativity and openness of the American people. Ending the letter, he said, “may the friendship and cooperation between our two nations be ever-growing”. Viet Nam Net

EZs attract investment

16:22' 21/06/2007 (GMT+7)

VietNamNet Bridge – Operational economic zones (EZs) have attracted some $8.6bil worth of investment capital, according to a newly released report by the Ministry of Planning and Investment (MPI). Dung Quat port The report says that EZs prove to have good performances, and the total capital to be injected in projects in EZs may reach $14bil by the end of this year. There are eight EZs: Chu Lai in Quang Nam province, Dung Quat in Quang Ngai, Nhon Hoi in Binh Dinh, Chan May-Lang Co in Thua Thien-Hue, Vung Ang in Ha Tinh, Nghi Son in Thanh Hoa, Van Phong in Khanh Hoa, Phu Quoc Island and Nam An Thoi group of islands in Kien Giang province. Six of the EZs are located in the central region, while only two are in the southern region. Several of the EZs have just been licenced and they are still under construction. However, many investors have registered investment in the EZs, thanks to the natural advantages and attractive investment incentives. The Dung Quat EZ, for example, has accepted 70 investment projects which have the total investment capital of $3.8bil. Of these projects, 33 projects have become operational, including very important ones on an oil refinery, shipbuilding, steel laminating and heavy mechanics facilities. The Chan May-Lang Co EZ has attracted 50 investment projects worth $1bil, mainly in the fields of industries, tourism, shipbuilding and seaport development. The Chu Lai EZ has successfully attracted 43 investment projects capitalised at $480mil, which will specialise in assembling vehicles, making floating glass and thermopower plants. The Van Phong EZ in Khanh Hoa province has caught the special attention of the Japanese group, Sumitomo, which is planning to build a container transit port, expected to cost $250mil. The group is also planning to set up a coal-run thermopower plant there with the total capital of $3.5bil. The projects are on the table of competent authorities for consideration. Meanwhile, the Vung Ang EZ has found a big domestic investor, Lilama, which will implement a project on a thermopower plant which has the investment capital of $1.25bil. The Nghi Son EZ will also have a thermopower plant, the construction of which has been kicked off. According to MPI, in the second half of 2007 and 2008, the capital to be flown into EZs will see sharp increases once big projects become operational after completing procedures. Ministry officials have estimated that some $2.5-3bil more of capital will be pumped into the EZs. The most important thing the EZs should do now is to push up the construction of infrastructure items, creating favourable conditions for the investors to run their projects. In related news, the MPI’s report also announced that by the end of May 2007, Vietnamese investors had registered 200 external investment projects totalling more than $1bil. In the first five months of the year alone, Vietnam approved 15 investment projects abroad with the total capital of $89.5mil. Vietnam-invested projects are running in 33 countries and territories in the world, but most of the projects are being carried out in Laos (70 projects, $461mil in capital), Algeria, Iraq, Cambodia and Russia. It is expected that in 2008, the capital of new external investment projects will be $500mil. Viet nam net

EU leaders grapple with reforms

Angela Merkel has led calls for a EU members to reach a deal

European Union leaders are meeting in Brussels, where they are struggling to reach agreement on new ways to run the 27-member bloc.

Germany, which holds the EU presidency, has called for a treaty to replace a planned constitution that was rejected by French and Dutch voters in 2005.

The UK and Poland are both threatening to use their vetoes.

The UK opposes any growth of EU powers, while the Poles are resisting plans to reduce their voting rights.

A draft paper tabled by Germany makes several concessions to EU member states opposed to key parts of the failed constitution.

But both the British Prime Minister Tony Blair - attending his final EU meeting before leaving office next week - and his Polish counterpart have taken a hard line.

Touchy subject

Poland's Prime Minister Jaroslaw Kaczynski has suggested that his country deserves a greater share of voting rights than it is being offered under the current draft.

He said Poland was disadvantaged because of the millions of Poles killed by Nazi Germany during World War II.

Tony Blair is a veteran of 10 years of European negotiations

Under the current system Poland has just two fewer votes than Germany, but under the proposed treaty Warsaw would have a much smaller share because EU votes would be linked to population.

Mr Kaczynski argues that his country would be a much larger country now if not for the war, and should therefore qualify for stronger voting rights.

Mr Blair has set out a number of "red lines" which the UK government regards as unacceptable.

These include proposals to make the EU Charter of Fundamental Rights legally binding.

Agreement urged

European Commission President Jose Manuel Barroso has warned all member nations to be open to a compromise, and has suggested that the draft treaty would be a "good deal" for the UK.

Failure would almost amount to humiliation for Germany's chancellor, Angela Merkel Mardell's thoughts in full Polish war of words EU summit sticking points

The German draft paper removes any mention of the word "constitution", accepts that the title of EU-wide foreign minister will not be used, and provides countries with a chance to opt out of EU policies in the area of policing and criminal law.

The Netherlands and the Czech Republic also have concerns about the treaty.

German Chancellor Angela Merkel says every member nation will have their issues addressed at the summit.

HAVE YOUR SAY What kind of democracy is this when our own leaders are doing deals behind our backs? Philip Davies, UK Send us your comments

But she too urged leaders to move towards a deal.

"Many are watching us, not only in Europe," she said.

"It is important that we don't drag on too long and that we make every effort to reach an agreement."

Correspondents say failure will plunge the EU into a fresh crisis as deep as the one that followed the rejection of the constitution two years ago.

In one early decision, leaders agreed to allow Cyprus and Malta to adopt the European single currency, the euro, beginning in January 2008.

Source BBC