Economic impact of the Vietnam-India FTA: an analysis of Vietnam's rubber and articles

Trade between Vietnam and India has continuously achieved steady growth over the past 25 years. However, alongside the stable growth trajectory, the degree of dependence and complementarity in trade between the two sides still has much room for development. This research paper analyzes the impacts of the Vietnam-India Free Trade Agreement (FTA) on Vietnam's rubber and articles thereof in bilateral trade between the two countries. The results calculated from the SMART model show that establishing an FTA between Vietnam and India will bring benefits from trade growth, particularly for rubber and articles thereof, which will have greater opportunities for trade growth. Therefore, Vietnam and India should jointly promote the establishment of a bilateral FTA. To achieve this goal, it is most important to improve the quality of rubber and articles thereof, develop comprehensive cooperation mechanisms, promote dialogue at all levels, and ensure transparent and clear information exchange.