HANOI: Japan and Vietnam have reaffirmed their commitment to supporting free trade and strengthening bilateral ties as Japan’s Prime Minister Shigeru Ishiba met with Vietnamese leaders in Hanoi on Monday. The visit, Ishiba’s first to Vietnam since taking office, comes as both nations engage in crucial talks with Washington to avert crippling US tariffs.
“The world economy is becoming more uncertain, and the impact on the Southeast Asian region is also becoming apparent,” Ishiba said during a joint press conference with Vietnamese Prime Minister Pham Minh Chinh. Journalists’ questions were not permitted during the briefing.
The two leaders pledged to uphold the global rules governing the free flow of goods, emphasising the importance of maintaining an open international order based on the rule of law. Their meeting follows a series of high-level engagements across East Asia amid escalating trade tensions, including Vietnam’s hosting of China’s President Xi Jinping and visits from top South Korean ministers. Meanwhile, Japan recently conducted a trilateral summit with China and South Korea.
In early April, the United States imposed “bilateral tariffs” of 46% on Vietnamese imports and 24% on Japanese goods. Although those duties were later paused until July pending negotiations, a blanket 10% levy currently applies to all imports into the US—one of the major export markets for both Japan and Vietnam.
Economic ties between Japan and Vietnam are already extensive. Japanese firms, including Honda, Canon, and Panasonic, have invested approximately US$78 billion in Vietnam, according to the country’s finance ministry. Japanese banks also hold strategic stakes in several leading Vietnamese financial institutions.
During Monday’s meeting, the two countries signed four cooperation agreements focused on boosting trade in energy transition products and advancing research and development in semiconductors. However, the details of the agreements were not disclosed, and it remains unclear whether they involve binding financial commitments.
Vietnam’s top leader, To Lam, also met Ishiba on Sunday, urging Japan to further invest in infrastructure projects. Japan has previously conducted preliminary studies for Vietnam’s most ambitious infrastructure undertaking: a proposed US$67 billion high-speed railway connecting Hanoi to Ho Chi Minh City. However, the railway was not explicitly mentioned among the latest areas of cooperation.
Ishiba’s next stop will be the Philippines, as Japan continues to strengthen its economic and diplomatic engagement across Southeast Asia during a period of growing global uncertainty.–REUTERS
