Japan, Vietnam reach a broad agreement on the transfer of defense gear
20 October, 2020
Japan and Vietnam decided on Monday (Oct 19) to strengthen security and economic ties, including an agreement in principle for Japan to export military gear and technology to the Southeast Asian nation, amid concerns about China's regional assertiveness.
"It is a major step in the field of security for both countries that people reached an agreement in principle on the transfers of defense equipment and technology," Japanese Prime Minister Yoshihide Suga told reporters after meeting his Vietnamese counterpart, Nguyen Xuan Phuc, in Hanoi.
"Vietnam, which is serving as ASEAN (Association of Southeast Asian nations) chair this season, is paramount to realize a free of charge and open Indo-Pacific," Suga added.
The leaders also decided on the value of maintaining peace, security, and freedom of navigation and overflight in the South China Sea, and settle disputes in a relaxing manner, Phuc said in a joint media appearance with Suga.
"Vietnam welcomes Japan, a global power, to keep to actively donate to regional and global peace, stability and prosperity," Phuc said.
Suga, who took office last month after Shinzo Abe quit as a result of poor health, is making his overseas diplomatic debut this week with a vacation to the essential Southeast Asian nations of Vietnam and Indonesia.
Japan must balance its deep monetary ties with China with security concerns, including Beijing's push to assert claims over disputed East China Sea islets.
Vietnam and other ASEAN members, a lot of that has territorial feuds with China in the South China Sea, are cautious about alienating a big economic partner and reluctant to become entrapped in an intense confrontation between the USA and China.
China claims swathes of Vietnam's exclusive economic zone, and also the Paracel and Spratly Islands.
Japan, which ended a decades-old ban on overseas arms sales in 2014 to greatly help fortify the nation's military and lower the price tag on home-built military equipment, has been around talks with Vietnam, Indonesia, and Thailand on deals to permit such exports to those nations.
Suga's visit also coincides with Japan's efforts to diversify its supply chains and reduce reliance on China by bringing production home or moving it to Southeast Asia.
Vietnam is a popular choice for Japanese firms. Half of the 30 Japanese organizations that used a 23.5 billion yen (US$222.9 million) government programme to diversify supply chains in Southeast Asia targeted Vietnam, which includes aggressively courted such investment.
Suga said the two countries had agreed to bolster their cooperation to mitigate the impact of the coronavirus pandemic.
"We agreed on restarting 'business track' travel and also passenger flights between your two countries today," Suga said.
Suga also said that Japan would help Vietnamese "trainees" employed in Japan, a lot of whom are struggling as the COVID-19 outbreak hits Japanese companies.
Source: