Vietnam, Australia bolster strategic trust

At the invitation of State President Luong Cuong and his spouse, Australian Governor-General Sam Mostyn and her spouse will pay a state visit to Vietnam from September 9–12. The trip comes as bilateral relations thrive, particularly since the elevation of their relationship to a Comprehensive Strategic Partnership in March 2024.

Milestones in Vietnam - Australia relations

Vietnam and Australia established diplomatic ties on February 26, 1973, laying the foundation for a robust partnership with more diverse benefits. Over the decades, the relationship has evolved from a Comprehensive Partnership in 2009 to an Enhanced Comprehensive Partnership in 2015, and a Strategic Partnership in 2018. The biggest leap came in March 2024 when Vietnamese Prime Minister Pham Minh Chinh’s visit to Australia culminated in the agreement to elevate ties to a Comprehensive Strategic Partnership.

The March 2024 joint statement outlined six major orientations, including deepening political trust and diplomacy; enhancing economic, trade, and investment ties; advancing cooperation in sci-tech, innovation, digital transformation, and green transition; strengthening collaboration in culture, education, environment, and climate change; expanding people-to-people exchanges; and fostering mutual understanding in national defense- security toward peace, stability, cooperation and development in the region and the world.

Both nations pledged to develop the partnership on the basis of respect for each other’s international law, sovereignty, independence, territorial integrity and political systems. The upgrade of ties to the Comprehensive Strategic Partnership, after more than 50 years of diplomatic ties, was described as a natural and necessary step.

Vietnamese Ambassador to Australia Pham Hung Tam highlighted the rapid expansion of cooperation across all six priority areas since the March 2024 upgrade. In October 2024, the two countries signed a 2024–2027 action plan, with 96% of the 180 agreed actions either completed or on track. Key achievements include the inaugural ministerial-level Security Dialogue in October 2024, enhanced collaboration in United Nations peacekeeping, a more balanced trade relationship, and a surge in tourism, with nearly 500,000 Australians visiting Vietnam in 2024, according to VNA.

Australian Governor-General Sam Mostyn (R) and her spouse (Photo: VNA)

The partnership is supported by over 20 bilateral mechanisms, including annual meetings between PMs, foreign and defense ministers, as well as the Economic Partnership Conference and subnational cooperation forums. Notable recent engagements include the third annual PMs’ meeting in June 2023, the seventh Foreign Ministers’ Meeting in August 2025, the first Ministerial Dialogue on Trade in March 2024, the fourth Economic Partnership Ministers’ Meeting in October 2024, the first Ministerial Security Dialogue in October 2024, the 10th Strategic Dialogue at the deputy foreign and defense minister level in August 2025, and the eighth Defense Policy Dialogue in August 2025, among others.

Parliamentary cooperation has also flourished, both within bilateral and multilateral frameworks. Vietnam and Australia continue to work closely at global and regional forums such as the UN, Asia-Pacific Economic Cooperation (APEC) and ASEAN.

Increasingly complementary economic, trade ties

Vietnam and Australia are forging increasingly complementary economic and trade ties, with Australia ranking as Vietnam’s seventh largest trade partner and Vietnam as Australia’s 10th. Two-way trade has surged in recent years, surpassing 12.4 billion USD in 2021, up 49.4% from 2020 despite the pandemic. The momentum continued with 15.6 billion USD in 2022, 13.8 billion USD in 2023, and 14.1 billion USD in 2024. In the first seven months of 2025, it stood at 7.9 billion USD.

Both nations benefit from frameworks like the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the Regional Comprehensive Economic Partnership (RCEP), and the ASEAN-Australia-New Zealand Free Trade Area (AANZFTA), which offer tariff advantages and broader market access. Vietnamese exports such as shrimp, basa fish, and cashew nuts have gained traction in Australia, while Vietnam relies on Australia’s resources and fuels. The economies are highly complementary, with Vietnam excelling in electronics, machinery, apparel, and footwear, and Australia strong in mining and energy.

Agricultural cooperation is expanding. Australia has granted access to Vietnamese lychee, mango, dragon fruit, passion fruit and frozen shrimp, while Vietnam has opened its market to seven types of Australian fruits, including oranges, mandarins, cherries, grapes, peaches, nectarines and plums. Negotiations for grapefruit exports are underway.

As of mid-2025, Australia invested in 864 projects worth 3.38 billion USD, focusing on manufacturing, information and communications, and hospitality services. Conversely, Vietnam had 93 investment projects valued at more than 551 million USD in Australia, ranking 11th among Vietnam’s 83 outbound investment destinations. Key sectors include agriculture, forestry, wholesale and retail trade, and manufacturing.

On official development assistance (ODA), Australia has long maintained stable ODA for Vietnam. Since diplomatic ties began over 50 years ago, Australia has provided a cumulative 3 billion AUD (1.97 billion USD). Australia remains one of Vietnam’s largest bilateral donors of non-refundable ODA. In March 2025, Canberra announced 96.6 million AUD in ODA for Vietnam for fiscal year 2025–2026, following 95.7 million AUD for 2024-2025, 95.1 million AUD for 2023-2024, and 92.8 million AUD for 2022-2023.

Sci-tech cooperation is also a highlight. Both sides are effectively following the second phase of the Aus4Innovation program, while the Vietnamese Ministry of Science and Technology and Australia’s Commonwealth Scientific and Industrial Research Organization CSIRO signed a new five-year Memorandum of Understanding on sci-tech, and innovation.

Looking ahead, Vietnam and Australia see vast potential for cooperation in hi-tech industries, innovation, clean energy, mining, infrastructure, telecommunications, services, tourism, and high-tech agriculture. During Australian Foreign Minister Penny Wong’s recent official visit to Vietnam in August, PM Pham Minh Chinh stressed the “ample room” for bilateral collaboration. He called for the effective implementation of their Comprehensive Strategic Partnership action plan, regular dialogues, and 20 billion USD in two-way trade, particularly through market access and trade facilitation.

For her part, Minister Wong reaffirmed Australia’s commitment to advancing the Comprehensive Strategic Partnership, including in national defense-security, sci-tech, digital transformation, and education, and human resource development through ODA and investment funds.

Beyond trade and aid, education remains a pillar of bilateral ties. Vietnam is Australia’s fifth-largest source of international students, with nearly 37,700 enrolled. Universities are deepening academic links, highlighted by RMIT University’s launch of the Australia–Vietnam Policy Institute in March 2024 and the University of Sydney’s establishment of the Sydney Vietnam Institute in June 2024.

People-to-people ties are also reinforced through twinning relationships, such as Ho Chi Minh City–Queensland and Da Nang–Gold Coast. To date, 15 such partnerships exist. Four Australian states, Queensland, New South Wales, Victoria, and Western Australia, have opened trade and investment offices in Vietnam, as part of their Southeast Asia engagement strategies, with Vietnam a priority.

The Vietnamese community in Australia, numbering around 375,000, is the fifth largest ethnic community in the country. Remarkably, Vietnamese ranks among the four most widely spoken languages in Australia, after English, Chinese, and Arabic, reflecting both cultural affinity and mutual respect.

To deepen these bonds, Vietnamese Ambassador to Australia Pham Hung Tam stressed the importance of enhancing people-to-people exchanges, particularly in culture, tourism, sports, and education-training. He advocated for supporting Vietnamese students in Australia and encouraging more Australians to experience Vietnam through initiatives like the New Colombo Plan.

Underscoring the significance of the Australian Governor-General’s upcoming visit to Vietnam, Tam noted that the trip aligns with the Vietnamese Party and State’s foreign policy of valuing ties with Pacific partners, particularly Australia, a key regional player and an increasingly active and effective partner of Vietnam.

From Australia’s perspective, the visit reflects its consistent policy of valuing and giving high priority to stronger engagement with Southeast Asia, including Vietnam.

During her stay, the Governor-General is scheduled to meet high-ranking Vietnamese leaders, attend the opening of the Vietnam–Australia Forum 2025, inaugurate the Australia–Vietnam Policy Institute, and engage with Vietnam’s peacekeeping officers.

Tam believed that the visit would further consolidate strategic trust between the two nations while contributing to regional peace, stability, and development.

Vietnam recognized for contributions to global disease prevention

The United Nations General Assembly (UNGA) has adopted a resolution on preparations for the 2026 High-Level Meeting on Pandemic Prevention, Preparedness and Response (PPPR), with Vietnam being appointed as co-facilitator of the resolution.

The resolution was co-facilitated by Ambassador Do Hung Viet, Permanent Representative of Vietnam to the UN, and Ambassador Paula Narvaez of Chile. The UNGA President’s decision to entrust Vietnam with this key coordinating role reflects the international community’s trust in the country’s leadership and achievements in pandemic prevention and response, especially during the recent global COVID-19 crisis.

At its session held on September 5, UNGA Vice Chair Gheorghe Leuca, on behalf of member states, extended appreciation to the Vietnamese and Chilean ambassadors for their proactive and inclusive consultations, which played an important part in building consensus and advancing the preparation for the upcoming High-Level Meeting, reported VOV.

Ambassador Do Hung Viet, Permanent Representative of Vietnam to the UN, speaks at the UNGA High-Level Meeting on September 5.

According to the resolution, the meeting is scheduled to take place in September 2026 at the UN Headquarters in New York, USA, during the High-Level Week of the 81st UN General Assembly. The resolution underscores the urgent need to enhance global readiness for future health emergencies, calling for a whole-of-government and whole-of-society approach to achieve this goal.

Key highlights of the resolution include strengthening multilateral commitment and cooperation between member states and UN agencies, particularly the World Health Organization (WHO); ensuring equitable, timely, and effective development, distribution, and access to vaccines and other medical countermeasures; and encouraging broad participation at the highest level from member states, international organizations, NGOs, academia, the private sector, and communities to share lessons learned and improve global pandemic preparedness.

In a time when the world continues to face complex public health challenges, Vietnam’s appointment as co-facilitator of the resolution for the upcoming High-Level Meeting not only reflects its rising global standing, but also highlights the country’s proactive and responsible role in strengthening the global health system.

Vietnam has been widely recognized for its rapid, transparent, and effective response to COVID-19, as well as for its policy contributions, public health strategies, and international support during the pandemic.

Vietnam’s growth to remain resilient: World Bank

Vietnam’s economy expanded by 7.5% in the first half of 2025, one of the fastest rates in the region, reflecting strong momentum despite continued global uncertainties, according to the latest Vietnam Economic Update by the World Bank (WB), released on September 8.

The report said the strong momentum provides a solid basis for Vietnam to achieve its growth target for the whole year, even as the global economy continues to face geopolitical and trade challenges.

Sacha Dray, WB economist for Vietnam, said Vietnam is currently the fastest-growing economy in the region, outpacing countries such as Indonesia, Malaysia and Thailand. Exports have been the main driver, spurring manufacturing, logistics and transport services, he noted.

The WB projects Vietnam's GDP growth at 6.6% in 2025, before easing to 6.1% in 2026 and rebounding to 6.5% in 2027. As an export-oriented economy, Vietnam remains vulnerable to slower global growth and softening demand from major trading partners. Trade policy uncertainties may also begin to weigh on business and consumer confidence. Despite challenges, Vietnam remains appealing as a competitive manufacturing base.

WB Division Director for Vietnam, Cambodia, and Laos Mariam J. Sherman noted that with low public debt, Vietnam has ample fiscal headroom to respond to external uncertainties.

To sustain growth and mitigate risks, the WB recommended Vietnam to continue scaling up public investment, ensuring strict oversight of financial-sector risks, and accelerating structural reforms, cited VNA.

At the launch event for the World Bank’s Vietnam Economic Update. (Photo: VNA)

The special focus of this edition, titled "Nurturing Vietnam’s High‑Tech Talents” highlights the need to build a skilled talent base that can support and accelerate the country’s innovation ecosystem and its goal of high‑income status by 2045.

According to the WB, Vietnam will require not only a broad and growing pipeline of young STEM graduates, but also a stronger core of experts who lead research, run laboratories, and turn ideas into market-ready products.

The report highlights the potential to raise public and private R&D spending in Vietnam, complementing broader business enabling reforms. Total R&D spending in Vietnam remains lower than more developed regional peers. There is scope to increase PhD-level faculty to grow the pipeline of advanced-degree graduates and high-caliber researchers. Strengthening university–industry-government linkages could catalyse the development of a work-ready workforce and promote technology transfer and knowledge spillovers.

Taking Stock – Vietnam Economic Update is the World Bank’s biannual economic report series on Vietnam, providing insights into the country’s economic outlook and strategies for growth.

Storm Tapah approaches China, northern Vietnam braces for heavy rains

Storm Tapah is nearing the coast of Guangdong, China with strong winds and is expected to weaken after landfall. Northern Vietnam will see widespread heavy rainfall from September 9.

Storm Tapah, the seventh tropical storm to form in the East Sea this year, is currently moving at 20-25 km/h with sustained winds of level 10-11 and gusts up to level 13. It is expected to make landfall in Guangdong Province, China, this morning and gradually weaken.

According to the National Center for Hydro-Meteorological Forecasting, as of 7 a.m. on September 8, the storm was located offshore near Guangdong with level 11 winds and gusts of level 13. It is moving northwestward at 20-25 km/h and will likely hit land this morning before gradually weakening.

In the next 12 hours, the storm is forecast to shift slightly northwest, continuing at 20-25 km/h and weakening into a tropical depression. By 7 p.m., its center will be over Guangxi Province, China, with sustained winds down to level 7 and gusts of level 9.

In the following 12 hours, it will move west-northwest and further degrade into a low-pressure system over Guangxi.

Meteorologists warn that although Vietnam will not be directly impacted by the storm’s core, its outer bands may still affect regions such as the Gulf of Tonkin and the eastern coastal areas of northern Vietnam. Thunderstorms, whirlwinds, and strong gusts could occur, reported VNN.

Direction of storm Tapah as of the morning of September 8. Source: National Center for Hydro-Meteorological Forecasting.

From September 9 to the night of September 10, mountainous and midland regions of northern Vietnam are expected to experience widespread rainfall, ranging from 70 to 150 mm. In some places, rainfall could exceed 300 mm. There is also a risk of intense downpours, exceeding 100 mm in just three hours, along with lightning, hail, and strong gusts.

Starting September 11, as the tropical depression dissipates, rainfall in the north will begin to ease. From September 12 to 14, the weather will become dry and cooler.

Due to the storm’s influence, the northern sector of the East Sea is experiencing strong winds of level 7-8, with areas near the center reaching level 10-11 and gusts of level 13. Waves are ranging from 4 to 6 meters, and the sea is extremely rough. All vessels in affected areas face a high risk of thunderstorms, whirlwinds, strong winds, and high waves.

This marks the seventh tropical storm in the East Sea so far this year. Forecasts suggest that between now and the end of the year, the region could see 5 to 7 additional storms or tropical depressions. Of these, 2 to 3 may directly impact mainland Vietnam, mostly affecting central and southern provinces.

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