30-1-2024 (HANOI) Vietnam and the Philippines affirmed their commitment to enhancing cooperation between their coastguards to prevent incidents in the South China Sea, as President Ferdinand Marcos Jr. embarked on a state visit to Hanoi.
The two Southeast Asian nations have overlapping claims in the South China Sea, a crucial waterway for over US$3 trillion (S$4 trillion) of annual maritime trade, contested largely by China.
During a formal ceremony at Vietnam’s presidential palace, officials announced the signing of two memoranda of understanding on security. These agreements focused on “incident prevention in the South China Sea” and “maritime cooperation” among coastguards, although specific details were not disclosed.
The move towards increased cooperation between Vietnam and the Philippines could potentially irk Beijing, particularly if it signals future compromises on disputed claims. China typically views progress in resolving border disputes among other claimants with suspicion.
Both Hanoi and Manila have experienced confrontations with China’s coastguard in the past. Incidents between Chinese and Philippine vessels have escalated over the past year, straining already tense relations.
Prior to his meeting with Vietnamese President Vo Van Thuong, Marcos underscored Vietnam’s significance as the Philippines’ “sole strategic partner” in Southeast Asia. He emphasized that maritime cooperation forms the cornerstone of their bilateral relations.
Vietnamese Prime Minister Pham Minh Chinh highlighted the importance of closer cooperation in the face of evolving and complex global and regional dynamics, welcoming Marcos’ visit as a step towards strengthening bilateral ties.
In addition to agreements on coastguard cooperation, Vietnam and the Philippines also sealed deals relating to rice trade and agricultural cooperation. The Philippines, a major rice importer, stands to benefit from Vietnam, one of the world’s largest rice exporters.
During his two-day visit to Hanoi, Marcos held meetings with Vietnamese leaders, excluding Communist Party chief Nguyen Phu Trong from his official schedule. Trong’s absence marks his third consecutive non-appearance in meetings with visiting leaders this month.
Despite concerns about his health, Trong attended a parliamentary session in mid-January. Marcos also met with Pham Nhat Vuong, the head of Vingroup, Vietnam’s largest conglomerate, exploring opportunities for collaboration in the electric vehicle sector.
Vingroup announced that its electric car unit, VinFast, will establish a business network in the Philippines. Marcos expressed the Philippines’ potential contribution to electric vehicle battery production, citing the country’s reserves of cobalt, copper, and nickel, according to Vingroup’s statement.
