Vietnam, Azerbaijan boost cooperation in science, technology, and startups

Vietnam is actively encouraging investment funds and technology companies from Azerbaijan to explore opportunities within its dynamic market of nearly 100 million people, highlighting its rising entrepreneurial spirit. In return, Vietnam has offered to act as a gateway for Azerbaijani innovative projects to access the broader Southeast Asian market.

The call was made by Mr. Nguyen Hoang Long, Deputy Minister of Industry and Trade, during his address at the Vietnam-Azerbaijan Business Forum 2025 held in Hanoi on July 16.

Despite modest bilateral trade, which stood at approximately $52 million in 2024, the outlook for growth is highly optimistic, the deputy minister noted. He pointed out that two-way trade has already surpassed $100 million in the first quarter of 2025 alone, signaling a powerful recovery and underscoring the immense potential for further collaboration.

According to Mr. Long, the two countries have complementary economic structures. Vietnam’s strengths lie in exporting light industrial goods and high-quality agricultural products, with textiles and farming being key sectors for potential export growth to Azerbaijan.

Conversely, Azerbaijan is well-positioned to supply Vietnam with essential commodities such as crude oil, cotton fiber, and raw materials for the textile industry, among other products in high demand on the Vietnamese market.

Highlighting energy as a "traditional and central pillar" of their cooperation, the deputy minister noted that Azerbaijan has already become a stable and important supplier of crude oil for Vietnam’s Dung Quat Refinery.

Beyond the traditional oil and gas sector, both sides also recognize immense potential in renewable energy.

“President Ilham Aliyev has affirmed his readiness to invest in clean energy in Vietnam and has invited Vietnamese businesses to participate in wind and solar power projects in Azerbaijan. This direction aligns perfectly with the green and sustainable development goals of both nations,” Mr. Long remarked.

In the logistics sector, the two sides are considering plans to launch direct flights between Baku and major Vietnamese cities. The long-term vision is to establish a transport corridor connecting "Central Asia–Caucasus–Southeast Asia," with Vietnam and Azerbaijan serving as critical hubs, which would significantly boost the flow of trade and tourism.

Mr. Elnur Aliyev, First Deputy Minister of Economy of the Republic of Azerbaijan, for his part, added that the two countries already have existing agreements on aviation services and transport cooperation.

Mr. Aliyev noted that in May 2025, they signed a new Memorandum of Understanding (MoU) on technology and digital development. This cooperation, he said, supports Azerbaijan's broader vision of becoming a major regional hub.

"Today, Azerbaijan is strategically positioned at the crossroads of Europe and Asia and serves as a key partner in the Middle Corridor initiative," he explained. "Azerbaijan continues to develop and diversify its economy. Over the past three decades, the country has attracted over $360 billion in investment, with its real GDP tripling between 2004 and 2024."

“We are proud to offer a dynamic investment environment for Vietnamese businesses through the Alat Free Economic Zone (AFEZ) and a network of industrial parks, where we provide a highly favorable legal framework,” Mr. Aliyev concluded.