Germany may become VN's biggest EU trading partner

HCM City (VNA) - Germany and Vietnam have strengthened
cooperation in various fields ranging from trade and investment to economic aid over the last decade or so.

Germany is set to become Vietnam 's biggest trading partner in
Europe , with bilateral trade expected to top 3.5 billion USD in 2008, a
threefold increase since 2000.

Vietnamese exports will be worth 2 billion USD and imports 1.5 billion
USD.

Germany has been a fairly large investor in the Vietnamese economy.
Its investment this year of 53.9 million USD takes its total investments to
607 million USD for sixth place in the list of European investors.

German equipment and technologies have significantly helped Vietnam
develop its thermal power, textile and garment, and footwear industries,
according to investment officials. The country has also been one of the
major aid donors to Vietnam over the last 15 years. In 2006-07 it gave
120 million USD in development aid. and it is considering aid of 100 million
USD next year.

During Prime Minister Nguyen Tan Dung's trip to Germany last March, the
two sides signed an agreement for the building of an urban rail system in
HCM City .

Businesses from the two countries have signed other agreements and
economic deals worth more than 5 billion USD.

Earlier this week a team of 40 German business executives visited Vietnam
to seek investment opportunities in Vietnam . They also inquired into the
progress made on the HCM City subway project. The German Government
has agreed to provide 350 million euros (416 million USD) for the project,
including 85 million euro in out-right grants.

The visitors said they wanted Vietnam to develop a solid legal system
and highly-trained workforce to reassure them about long-term investments.

Minister of Planning and Investment Vo Hong Phuc said he wanted Germany
to invest in and promote cooperation with Vietnam , especially with
small-and medium-sized enterprises to help them develop.-Enditem