Vietnam and Canada have taken a significant step in strengthening their bilateral relations by upgrading to a strategic partnership. This development, announced by Vietnamese President To Lam during his state visit to Canada, aims to expand cooperation in key sectors such as trade, energy, agriculture, defence, technology, and education. Both nations are seeking to enhance resilience and diversify partnerships while maintaining a rules-based international order.
Canadian Prime Minister Mark Carney expressed his support for the enhanced partnership, highlighting the growth in bilateral ties since the 2017 cooperation agreement. This agreement already covers areas such as investment, defence, and academia. The newly established strategic partnership will further focus on energy, agriculture, defence cooperation, and fostering stronger people-to-people connections.
Vietnam stands as Canada’s largest trading partner in Southeast Asia, with two-way merchandise trade surpassing $20 billion last year. Canada’s primary exports to Vietnam include food, metals, and fertilizers, while Vietnam exports electronics, clothing, furniture, and footwear to Canada. Both countries are also members of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), which facilitates trade and economic cooperation across the Asia-Pacific region.
The decision to upgrade the partnership comes at a time when both nations are seeking to diversify their trade and supply chains amidst increasing global economic uncertainty. For Vietnam, this move is part of a broader strategy to expand its international economic relationships beyond its reliance on major markets.