Kumar Bahukhandi
Prime Minister Narendra Modi and Vietnamese President To Lam.
Target $25 billion Indo-Vietnamese bilateral trade by 2030
New Delhi: India and Vietnam on Wednesday elevated their bilateral ties to an “Enhanced Comprehensive Strategic Partnership” following talks between Prime Minister Narendra Modi and Vietnamese President To Lam, with both sides signing 13 agreements across sectors.
The agreements cover cooperation in radioactive and rare earth elements, digital payments, health, education, conservation and culture. The two countries also set a target to increase bilateral trade to $25 billion by 2030 from the current $16 billion and announced Vietnam’s participation in the Indo-Pacific Oceans Initiative to strengthen maritime cooperation.
At a briefing, ministry of external affairs secretary (East) P. Kumaran said India has offered support for servicing and maintenance of Vietnam’s Sukhoi-30 fighter aircraft and Kilo-class submarines. On the proposed BrahMos missile deal, he said discussions were ongoing, adding, “Watch this Space”.
He said projects worth $300 million have been identified under the $500 million defence Line of Credit extended by India, including procurement of high-speed patrol boats and offshore patrol vessels, with the remaining $200 million to be utilised in a subsequent phase.
The joint statement emphasised the importance of peace, stability and freedom of navigation in the South China Sea, calling for resolution of disputes in line with international law, including the United Nations Convention on the Law of the Sea, without resort to force.
In his remarks, Modi said, “In this era of global turmoil and economic challenges, thanks to their talent, good governance, and economic reforms, India and Vietnam are emerging as the world’s fastest-growing economies. Now, through our enhanced strategic partnership, we will support each other’s rapid growth.”
On defence ties, he said, “Vietnam is a key pillar of India’s Act-East Policy and Vision Ocean. We also share a common outlook in the Indo-Pacific region. Through our strengthened defence and security cooperation, we will continue to contribute to the rule of law, peace, stability, and prosperity.”
Referring to trade, Modi said, “Bilateral trade between India and Vietnam has doubled in the last decade to reach $16 billion. We have taken several important decisions today to increase this to $25 billion by 2030.”
On cultural ties, he said, “He began his visit to India from Bodh Gaya, reflecting the shared civilizational and spiritual traditions of our two countries.”
President To Lam, in his remarks, called for deeper political engagement and stronger defence cooperation, describing India-Vietnam ties as a “special relationship that was as clear as a cloudless sky.”
