India and Vietnam elevated their bilateral ties to an Enhanced Comprehensive Strategic Partnership on Wednesday and set an ambitious target of $25 billion in annual trade by 2030, as Vietnamese President To Lam held talks with Prime Minister Narendra Modi during a state visit.
The leaders oversaw the signing of 13 agreements covering key areas including critical minerals, digital payments, pharmaceuticals, culture and education, as the two nations sought to deepen economic and strategic cooperation amid regional uncertainties.
Bilateral trade has doubled over the past decade to around $16 billion, Modi said in a joint media appearance. The new pacts aim to accelerate growth in sectors ranging from supply chain resilience to people-to-people ties.
Key agreements include an MoU between IREL (India) Ltd and Vietnam’s Institute for Technology of Radioactive and Rare Elements on cooperation in rare earths and emerging technologies. Another links India’s drug regulator with its Vietnamese counterpart to ease access for Indian medicines and facilitate agricultural and fisheries exports.
Financial connectivity received a boost through pacts between the Reserve Bank of India and State Bank of Vietnam on digital payments and innovation, as well as between NPCI International and Vietnam’s NAPAS for cross-border QR code interoperability.
A cultural exchange programme for 2026-2030 was signed, alongside pacts on tourism, digitisation of Cham manuscripts, public sector auditing, and academic partnerships involving institutions such as Nalanda University. A sister-city agreement was inked between Mumbai and Ho Chi Minh City.
Modi described Vietnam as a key pillar of India’s Act East Policy and highlighted shared interests in the Indo-Pacific. Both sides agreed to strengthen defence and security cooperation, building on prior pacts for submarine search and rescue and defence industry collaboration.
The two leaders discussed regional and global issues, including the situation in the Indo-Pacific, and welcomed Vietnam’s decision to join the Indo-Pacific Oceans Initiative. Modi thanked Vietnam for condemning a 2025 terrorist attack in India.
To Lam’s three-day visit, his first state trip to India since assuming the presidency, also includes engagements in Mumbai. It marks the 10th anniversary of the countries’ Comprehensive Strategic Partnership, originally elevated in 2016.
The pacts underscore growing convergence between the world’s two fastest-growing major economies on trade, technology, critical minerals and maritime security, officials said. Further details on implementation are expected in coming months.
