The 5th India-Vietnam Joint Trade Sub-Commission (JTSC) meeting recently held in New Delhi marked yet another milestone in the burgeoning relationship between the two nations. With bilateral trade reaching USD 14.70 billion in 2022-23 and Vietnam solidifying its position as the 5th largest ASEAN trade partner for India, it is evident that the partnership is on a trajectory of growth and mutual benefit.
Fostering Trade and Economic Ties
The India-Vietnam trade relationship has been a cornerstone of their diplomatic ties. The focus areas of the JTSC meeting spanned a range of sectors including agriculture, textiles, pharmaceuticals, energy, and machinery. During the meeting, market access issues, technical barriers, and pending registrations were addressed, paving the way for smoother trade operations. Moreover, discussions on service sector cooperation encompassed IT, finance, education, healthcare, tourism, and startups. The exploration of logistics solutions, such as shipping, freight, and air connectivity, further highlighted the commitment to enhance trade between the two nations.
Historical and Strategic Bond
The India-Vietnam relationship is deeply rooted in historical camaraderie and strategic alignment. Dating back to India’s support for Vietnam during the US intervention, these ties have consistently evolved. India’s “Look East Policy” in the early 1990s acted as a catalyst, propelling both nations towards closer economic and political cooperation. The Comprehensive Strategic Partnership, established in 2016, notably underscored defense cooperation as a key aspect, setting the stage for joint initiatives in modernizing Vietnam’s defense capabilities.
Diverse Avenues of Cooperation
The strategic partnership between India and Vietnam spans multiple domains, each contributing to their shared growth and security. Strategic alignment with India’s Indo-Pacific Oceans Initiative and ASEAN’s Indo-Pacific Outlook forms the foundation for regional security and growth. Economic cooperation has flourished, with trade post ASEAN-India Free Trade Agreement demonstrating substantial improvement. India’s investments in Vietnam’s development and capacity are testament to the commitment to foster mutual progress.
Defence Dynamics and Counterbalancing China
The defense cooperation between India and Vietnam holds immense significance in the context of regional stability. As Vietnam seeks modernization of its defense capabilities, India plays a pivotal role in assisting this process. Collaborations extend to capacity building, security concerns, personnel training, and defense research and development. Notably, India’s Akash systems, Dhruv helicopters, and Brahmos missiles have piqued Vietnam’s interest. The backdrop of shared concerns regarding China’s aggressive actions and historical conflicts further underscores the importance of a strong partnership.
Engagement on the Global Stage
The cooperation between India and Vietnam extends beyond bilateral ties, manifesting in their participation in various global forum. Both nations held non-permanent memberships at the UN Security Council in 2021, highlighting their commitment to global peace and security. Active involvement in regional forums such as the East Asia Summit, Mekong Ganga Cooperation, and ASEM solidify their roles as responsible stakeholders in the broader international landscape.
People-to-People Connections
The relationship between India and Vietnam isn’t solely restricted to political and economic dimensions. Vibrant people-to-people contacts play a pivotal role in fostering a deep sense of affinity between the two nations. Initiatives such as the ASEAN-India Year of Tourism in 2019 and simplified visa regimes for bilateral tourism have facilitated cultural exchange and tourism. Events like the Mahatma@150 celebrations and the “India for Humanity” initiative, including artificial limb fitment camps in Vietnam, underscore the humanitarian aspect of the relationship.
