Sri Lanka, Viet Nam set $1 billion trade target during state visit
EconomyNext: Sri Lanka and Viet Nam have set a target to increase bilateral trade to 1 billion dollars by 2030, following talks in Colombo between President Anura Kumara Dissanayake and Vietnamese President Tô Lâm.
The visit, which marks President Tô Lâm’s first state visit to the South Asian region, focused on transforming the long-standing political relationship between the two nations into a robust economic partnership.
“We held very successful discussions. Our long-standing friendship has further developed between these two countries over the past 55 years,” Tô Lâm said.
“It is essential for us to strengthen and increase our economic, security, and political cooperation. It is necessary to establish cooperation in fields such as economy, trade, investment, agriculture, and technology to ensure mutual benefits. We are currently taking the necessary actions to achieve this.”
Dissanayake highlighted Viet Nam’s journey from a post-war nation to a global manufacturing hub as an inspiration for Sri Lanka’s own recovery.
“Vietnam today stands as a living witness to overcoming hardships. We offer our best wishes regarding the transformation of Vietnam from a post-war Asian country into a major production hub,” Dissanayake said.
The two leaders emphasized that the 55-year diplomatic relationship must now evolve to include deeper security and political cooperation alongside trade.
“We have set a target to increase bilateral trade to $1 billion by the year 2030,” Dissanayake said.
The discussions covered a wide range of sectors, including renewable energy, digital infrastructure, and manufacturing.
Both nations expressed commitment to building a digital economy, specifically focusing on Artificial Intelligence and shared digital infrastructure to create new economic opportunities.
The Vietnamese delegation included 50 business representatives.
An economic and investment promotion program was organized for the afternoon, allowing the visiting delegation to engage directly with local industry leaders.
Sri Lanka has invited Vietnamese entrepreneurs to explore opportunities in solar and wind energy, as well as the manufacturing of electric vehicles.
Vietnam Airlines and VietJet Air are scheduled to launch flights connecting Colombo with Ho Chi Minh City and Hanoi within this year.
In the agricultural sector, the two countries agreed to share technical expertise in seed development and post-harvest management.
Viet Nam also donated 100 metric tonnes of Urea and Superphosphate fertilizer to Sri Lanka in a gesture of goodwill.
OSL take:
The agreement between Sri Lankan President Anura Kumara Dissanayake and Vietnamese President Tô Lâm to target $1 billion in bilateral trade by 2030 signals a clear intent to deepen economic engagement between Sri Lanka and Viet Nam. The discussions in Colombo came at a time when Sri Lanka’s economy is showing signs of steady recovery and renewed investor confidence, creating a favorable environment for expanded trade and investment flows. For Vietnamese businesses/investors, Sri Lanka offers a range of emerging business/investment opportunities. Key sectors include infrastructure development, agriculture and agro-processing, textiles and apparel manufacturing, renewable energy, and information technology services. Sri Lanka’s strategic location in the Indian Ocean also positions it as a potential logistics and re-export hub, opening pathways for Vietnamese firms looking to expand into South Asian, Middle Eastern, and African markets. At the same time, Sri Lankan companies stand to benefit from Viet Nam’s strengths in manufacturing, electronics, and export-oriented industrial development, creating scope for joint ventures and technology partnerships. As both countries pursue export-led growth strategies, stronger private sector linkages could play a central role in achieving the $1 billion trade target, while also broadening opportunities for other foreign businesses/investors seeking entry into two dynamic and increasingly connected Asian economies.
| Article Code : | VBS/AT/20260514Z_2 |