Thank you, Madam Chair.
I reported for duty as Canada's Ambassador to Vietnam on May 3 and presented my credentials on May 26. I come to this position after more than four years as executive director for Greater China, an experience that offers an important perspective on Vietnam and its region.
After a difficult two years of pandemic restrictions, and thanks to a remarkably successful vaccine campaign, Vietnam is leading economic recovery in the region. Over the short one month since I arrived in Hanoi, economic and social activity, including international travel and business, has accelerated at a remarkable pace. The successful hosting of the Southeast Asian Games in Hanoi last month exemplified this rapid opening.
Economic and industrial indicators suggest that this country of almost 100 million people is poised to accelerate its growth in the near term even under difficult external conditions. Canadians, recognizing the opportunity and the need to diversify from difficult and unpredictable markets in the region, are responding.
I have already met a number of Canadian firms and institutions on the ground setting a common refrain: Vietnam is our best option for diversifying and we want to be first back in the market.
That shouldn't surprise us. Vietnam is Canada's largest trading partner in Southeast Asia, the 10th largest in the world. Since the conclusion of the CPTPP, bilateral trade is booming, reaching $10.5 billion in two-way trade in 2021 despite the pandemic. While most of that recent growth has been in Vietnamese exports, they do pave the way for a maturing trade relationship with many opportunities for Canada.
In the agriculture and agri-food sector, including seafood, a growing middle class is driving demand for high-quality foods and the CPTPP has levelled the playing field for Canadian suppliers. Canadian meat exports in particular have grown fourfold since the agreement came into effect in 2019.
Vietnam is a country that's among the world's most vulnerable to climate change. At COP26 the Government of Vietnam surprised many by committing to net neutrality by 2050. Its growing industry and energy demands make this commitment an enormous challenge, and an opportunity for Canada and Canadian businesses to provide clean technology and clean energy solutions.
Vietnam is also one of Canada's most important sources of international students. Education exchanges are rebounding quickly, and Canadian institutions see opportunities to grow both partnerships and student enrolment with Vietnam.
Canadian firms have a significant presence in Vietnam's insurance sector with major Canadian firms active and growing in the market.
Opportunities in aerospace, life sciences, health care and ICT are abundant and on the rise.
In January 2022 Canada and Vietnam established a joint economic committee, a mechanism dedicated to advancing trade and economic co-operation between Canada and Vietnam. Meetings of this committee will provide an ongoing opportunity to discuss current and emerging trade and commercial issues, and help unlock further potential.
Canada's commercial relationship with Vietnam is nested in and benefits from Canada's broader engagement in the country. In keeping with the comprehensive partnership launched in 2017, Canada's engagement with Vietnam has grown across the board. We now have established formal exchanges in diplomacy and foreign policy, events and security, international co-operation with Canadian contributions to inclusive growth, climate change solutions, and regulatory affairs.
Our Embassy in Hanoi and consulate general in Ho Chi Minh City are home to 110 employees from multiple government agencies, as well as provincial representatives. We anticipate continuing growth to match the demands and meet the opportunities for Canadian business in Vietnam.
Vietnam is a one-party state with significant government involvement in decision-making over the economy. According to the World Bank, achieving its ambitious goal of reaching high-income status by 2050 will require further opening and institutional reform. Engagement at the government-to-government level across the range of tools at our disposal will be important for Canada's continued success in this vibrant market now and over the long term.
In 2023 Canada and Vietnam will mark 50 years of diplomatic relations well positioned for further co-operation based on our common interests.
Thank you.