India and Vietnam on May 6, 2026, upgraded their bilateral relationship to an Enhanced Comprehensive Strategic Partnership following high-level talks between Prime Minister Narendra Modi and Vietnamese President To Lam in New Delhi. The meeting marked a major step forward in strengthening cooperation between the two nations across trade, defence, and emerging strategic sectors.
Both sides set an ambitious target of achieving $25 billion in annual trade by 2030, building on existing economic momentum. Current bilateral trade stands at around $16 billion and has nearly doubled over the past decade, reflecting steady growth in economic engagement.
Following the discussions, India and Vietnam signed 13 agreements covering a wide range of areas, including digital payments, pharmaceuticals, rare earth minerals, education, banking, culture, and critical supply chains. These agreements are aimed at deepening economic integration and enhancing long-term cooperation.
Prime Minister Narendra Modi emphasized that the upgraded partnership will strengthen collaboration in areas such as connectivity, capacity building, sustainability, and supply chain resilience. He highlighted that both countries are committed to expanding their relationship across multiple dimensions, including security and economic development.
The leaders also discussed regional and global developments, particularly the situation in the Indo-Pacific region. Both sides expressed concern over rising geopolitical tensions and reaffirmed their commitment to maintaining peace, stability, and adherence to international law in the region.
Issues related to China’s increasing assertiveness in the South China Sea were also understood to have been part of the discussions, reflecting shared strategic concerns.
As part of the agreements, cooperation in critical minerals and rare earth elements was highlighted as an important area for future collaboration. Both countries also agreed to strengthen financial connectivity by linking India’s Unified Payments Interface with Vietnam’s payment systems.
Additionally, steps will be taken to ease trade in agricultural and pharmaceutical products, improving market access for Indian exports such as medicines, fruits, and other goods.
India also acknowledged Vietnam’s support on key international issues, including its condemnation of terrorism, and reaffirmed its commitment to counterterrorism cooperation.
The meeting underscored Vietnam’s importance in India’s Act East Policy and broader Indo-Pacific vision, positioning the partnership as a key pillar in regional diplomacy and economic growth strategies.
