Emergence of Vietnamese -U.S. Cooperation
251first quarter of 2009, nearly two-thirds of the FDI registered in Vietnam
were from the US.^43
From a geopolitical point of view and in regards to China, the
economic and trade cooperation between Vietnam and the US is going to
be much more significantly and institutionally strengthened within the
Trans-Pacific Partnership. There are ongoing negotiations for the TPP led
by the US, in which Vietnam has officially taken part since 2008, and it is
moving very close to ratification.^44 The creation of the Trans-Pacific
Partnership, which will cover one-third to two-fifths of the world trade
turnover, is seen as an American geopolitical tool in containing China’s
economic rise.^45 The negative impact that the TPP will have on China is
strongly pointed out by many Chinese scholars;^46 nevertheless, the USA is
actively pushing toward creation of this partnership for a free economic
and trade zone which will enhance its economic position globally and
regionally. Vietnam, which is regarded as the “next China” within this
partnership, sees its objective as expanding its production and exports,
primarily in the limitless American market for sportswear and footwear, at
the expense of China.^47 Considering all other benefits (such as lifting
quota regimes) to the overall economy, Vietnam seems highly interested in
creating the Trans-Pacific Partnership. In that regard, Vietnam and the US
met on bilateral ministerial-level in Brunei in late August 2013, where
they reached a basic accord on market access and reform of state-owned
enterprises. This step has the effect of clearing one of the major hurdles
toward an overall agreement.^48 Evidently, the growing economic
cooperation between the two states in the actual context can be seen and
used as a balancing act in containment of the common threat – the rising
China.
(^43) Martin, “U.S.-Vietnam Economic and Trade Relations: Issues for the 111th
Congress”, 20.
(^44) http://www.vietnam-briefing.com/news/vietnam-moves-closer-ratification-
trans-pacific-partnership.html/
(^45) Ash, “Welcome to the geopolitics of trade, where Dr.Pangloss meets
Machiavelli.“
(^46) Wen, “The Trans Pacific Partnership and China’s Corresponding Strategies.“
(^47) Asia Sentinel, “Vietnam’s need for TPP“: http://www.asiasentinel.com/econ-
business/vietnams-need-for-the-tpp/
(^48) Global Post, “U.S. – Vietnam basic accord clears major hurdle to TPP deal“:
http://www.globalpost.com/dispatch/news/kyodo-news-international/130914/us-
vietnam-basic-accord-clears-major-hurdle-tpp-deal