Geopolitical rivals compete for Vietnam’s defence dollars at expo

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HANOI: International arms industry players vied for Vietnam’s defence dollars at a recent expo, as the country seeks to shift away from its reliance on Russia for weaponry. 

Over 200 firms from 30 countries including China, Russia, United States, Iran, Israel and India took part in the event which ended on Sunday (Dec 22).

Vietnam’s defence ministry, which organised the event, said that over US$286 million worth of deals were signed by local businesses, double the value signed in the last edition in 2022. Seventeen cooperation agreements were inked in total.

However, the event’s success was not just about the business aspect, said Nguyen Khac Giang, visiting fellow at Singapore’s ISEAS-Yusof Ishak Institute’s Vietnam Studies Programme.

“Organising the expo is not about having more contracts for Vietnam … (It’s) showing that Vietnam is willing to work with many other partners around the world,” he told CNA’s East Asia Tonight on Monday.

Given the ongoing tensions between some countries that attended – including Iran-Israel, US-China and US-Russia – the event showcased Vietnam’s diplomatic capability, he added.

CHINA’S PARTICIPATION

Among the participants was major state-owned Chinese defence conglomerate Norinco Group. 

“The presence of a Chinese conglomerate at the Expo (is a) very important signal, because it shows that China wants to (remain a) relevant player in Vietnam’s military landscape,” Nguyen said.

“It shows that Vietnam is willing to engage with any countries, even with China, which it actually has a quite complex relationship with because of the South China Sea dispute,” he added.

Hanoi has ramped up its military presence in the Spratly Islands, standing up to China’s expansive claims of the disputed waters.

At the same time, China was conducting military drills in an area overlapping with Vietnam’s exclusive economic zone (EEZ) in the South China Sea during the expo. 

Nguyen said that this was no coincidence, adding that it serves to caution Vietnam that despite its efforts to grow its defence capabilities and boost its ties with the US, China still has the upper hand.

US-VIETNAM TIES

Vietnam and the US have been deepening their military ties as part of a comprehensive strategic partnership signed last year.

Sources told CNA that the two countries are set to reach an agreement for the sale of C-130 military transport aircraft. 

“Our goal is to ensure that Vietnam has what it needs to defend its interests at sea, in the air, on the ground and in cyberspace. It is a reflection of the United States commitment to work with Vietnam as it seeks to advance its goals, to diversify and modernise its military,” said US Ambassador to Vietnam Marc Knapper.

Commander of the US Indo-Pacific Command Samuel Paparo said: “As we look to the future, I could see better cooperation for maritime security operations in maritime domain awareness and allowing each other to better have maritime domain awareness for the ability to secure EEZ rights, for sovereign rights for each country. “

Despite such commitment, Nguyen said it could take decades for Vietnam to acquire more weapons from the US.

He pointed to the cost of these weapons in comparison with those from Russia, the Czech Republic and India, the potential barriers to securing approval to acquire military hardware, and the heavy reliance on Russia as reasons. 

He noted that American weapons were used against the Vietnamese during the Vietnam War between 1955 and 1975. The war took place between the communist government of North Vietnam and South Vietnam, which was supported by the US and other anti-communist nations.

“Now, all of those weapons are in the expo and to showcase for the Vietnamese, and Vietnamese are willing to buy American weapons,” he said.