The Vietnamese government is actively seeking solutions to enhance coal trade cooperation with Laos, addressing challenges in the current coal trade. On July 25, Vietnam’s Minister of Industry and Trade, Nguyen Hong Dien, chaired a conference to discuss these issues. He emphasized the need for corporations and coal-using firms to engage with partners and propose solutions to overcome existing obstacles. In the first six months of 2024, Vietnam imported 1.171 million tonnes of coal from Laos, valued at 75.8 million dollars. However, achieving the MoU’s ambitious goal of importing 20 million tonnes of coal annually remains a significant challenge.

In 2023, Vietnam imported a total of 2.239 million tonnes of coal from Laos, worth 159.4 million dollars. However, several key obstacles hinder further progress, including high transportation costs due to over 300 kilometers of difficult terrain, a lack of long-term purchase mechanisms, and limited customs clearance capacity. To address these challenges, the Vietnamese government has proposed measures such as reducing costs, upgrading roads, and considering tax exemptions on coal exports.

Long-term plans include investing in coal exploration and extraction in Laos, synchronizing infrastructure improvements, and building conveyor belts for coal transportation. The Vietnamese government remains committed to enhancing bilateral cooperation and overcoming challenges to achieve the ambitious goals set in their coal trade agreement.

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