[Editorial] May South Korea-Vietnam ties become a turning point for a new leap forward

President Lee Jae Myung paid a state visit to Vietnam and held a summit with To Lam, the Communist Party of Vietnam (CPV) general secretary and President of Vietnam. As economic cooperation between South Korea and Vietnam gathers pace, bilateral relations now stand at a new turning point. Global risks are arriving on multiple fronts at once, including tariff pressure from the U.S., China’s rise and turmoil in the Middle East. In this rapidly changing global trade environment, the time has come for the two countries to elevate their relationship further as strategic partners.
Economic cooperation between the two countries is like a check that guarantees success. Vietnam recorded $94.5 billion in trade last year, keeping its place as South Korea’s third-largest trading partner for the fourth consecutive year. Trade, which stood at just $500 million when diplomatic ties were established in 1992, has grown 190-fold in a little over 30 years. Much of that expansion came after the 2014 signing of the Vietnam-Korea Free Trade Agreement (VKFTA). Another factor behind the success was the alignment between South Korea’s strategic need to reduce dependence on the U.S. and China and diversify export markets, and Vietnam’s interest in strengthening its manufacturing base through foreign investment. Strong semiconductor exports and rising shipments of consumer goods led by K-beauty and K-food also helped expand trade between the two countries. South Korea was also a major importer from Vietnam, and Vietnam’s economy was able to grow rapidly on the back of expanding bilateral trade. It was, in every sense, a win-win relationship in which both sides secured practical gains.
But now is the time to change the way the two economies cooperate. The existing trade structure between South Korea and Vietnam has been simple. South Korea exports intermediate goods such as semiconductors, and Vietnam turns them into finished products at local factories for shipment to global markets. This model has clear strengths, but the two countries must now expand both the scale and quality of their trade. In fact, the South Korean government has set a goal of raising trade with Vietnam to $150 billion by 2030. That means increasing trade volume by 60% from current levels within the next four years. Yet the current framework of cooperation alone will not be enough to achieve such an ambitious target.
To reach that goal, the two countries must diversify cooperation into high-value-added areas such as nuclear power plants, clean energy, AI, advanced manufacturing and critical mineral supply chains. Beyond simple manufacturing investment, they need to broaden the scope of cooperation by sharing technology and nurturing talent together. Only then can they reach such a bold objective.
Execution matters more than targets. Even if the two leaders sit down together and list the number of agreements on paper, not everything will be realized. A memorandum of understanding is only a paper document that confirms possibility. The reason the 2014 FTA led to explosive trade growth was not simply that it was signed, but that the system actually worked in practice.
For the agreements reached at this summit to avoid becoming mere slogans, a standing consultative body that regularly reviews implementation must be properly activated. In addition, institutional mechanisms are needed to remove regulatory barriers and bureaucratic silos that companies from both countries face on the ground. Just as much diplomatic energy was spent setting cooperation goals, equal attention must now be given to follow-up management that turns them into reality.
South Korea-Vietnam relations have reached a turning point, preparing for a new leap forward on the foundation of cooperation and trust. The 2030 trade target of $150 billion will be achieved depending on how quickly the two countries put their promised cooperation projects into action.