Study title: Assessment of the Implementation of the ASEAN–India Trade in Goods Agreement (AITIGA)

Study period: 2025

Implementing agency: Department of Multilateral Trade Policy, Ministry of Industry and Trade of Viet Nam

After 15 years of implementation, the ASEAN–India Trade in Goods Agreement (AITIGA) has contributed to the expansion of bilateral trade, with ASEAN–India trade reaching over USD 130 billion in 2024, nearly 2.5 times higher than at the time the Agreement entered into force. Viet Nam–India trade has also recorded positive growth, amounting to USD 14.9 billion in 2024, with a range of key export products from Viet Nam. However, the utilisation of tariff preferences under AITIGA remains limited, due to the presence of non-tariff barriers, differences in technical standards, complex certification procedures, and high logistics costs. In addition, India’s withdrawal from the Regional Comprehensive Economic Partnership (RCEP) has made AITIGA the key free trade agreement governing ASEAN–India trade relations. At the same time, a number of AITIGA’s commitments and provisions have shown limitations and have yet to fully keep pace with new-generation trade standards as reflected in RCEP or other upgraded ASEAN free trade agreements, such as the upgraded ASEAN–Australia–New Zealand Free Trade Agreement (AANZFTA). Accordingly, a comprehensive assessment and upgrading of AITIGA are necessary to modernise the Agreement, safeguard Viet Nam’s interests, support the business community, and further strengthen ASEAN–India economic cooperation in the context of deeper regional integration.

In the context of ASEAN and India having agreed since 2023 to undertake a review and upgrade of AITIGA, the Department of Multilateral Trade Policy of the Ministry of Industry and Trade considers it essential to conduct an assessment of the Agreement’s implementation, in line with the Trade and Industry Sector Restructuring Plan towards 2030. This study aims to identify the achievements, challenges, underlying causes, and lessons learned after 15 years of implementation, thereby providing recommendations for Viet Nam in the negotiations on upgrading AITIGA, safeguarding national interests, and further facilitating the business community.

The detailed study in Vietnamese is attached below:

Assessment of the Implementation of the ASEAN–India Trade in Goods Agreement (AITIGA)