US, Vietnam to boost ties as Biden visits, seek China hedge with chips, rare earths
Vietnam plan to elevate their relations as U.S. President Joe Biden visits the country from Sunday, with officials saying the focus of the talks will be semiconductors and critical minerals.
The U.S.
has been pushing for the upgrade for months as it sees the Southeast Asian manufacturing dynamo as a key country in its strategy to secure global supply chains from China-related risks.
The overhaul may be shadowed, however, by a report on Saturday that Vietnam was in talks with Russia over a new arms supply deal that could trigger U.S. sanctions.
The New York Times cited a March Vietnamese finance ministry document laying out plans for Hanoi to pay to modernise its forces through a Vietnamese-Russian oil venture in Siberia.
Reuters has seen, but not been able to authenticate, documents describing talks for a credit facility that Russia would extend to Vietnam to buy heavy weaponry, including anti-ship missiles, antisubmarine aircraft and helicopters, antiaircraft missile systems and fighter jets.
A spokesperson for Vietnam's foreign ministry did not respond to multiple requests for comment on the documents, which show Moscow pushing for months for a loan deal that would bypass Western sanctions on Moscow, and Vietnam showing «interest».
Hanoi is in similar talks with multiple arms suppliers including the U.S… In recent weeks, Vietnam has engaged in several high-level defence meetings with top Russian officials.
The upgrade will include a security dimension, Jon Finer, the U.S.
principal deputy national security adviser, told reporters on Sunday, while on the plane with Biden to Vietnam from a Group of 20 summit in India.
He said he had no arms deals to announce at this stage but stressed that the U.S. and its partners could
