Vietnam-Singapore Partnership Advances with Focus on Sustainability, Investment, and Trade

Vietnam and Singapore seek to upgrade bilateral ties to a comprehensive strategic partnership, focusing on sustainable economic cooperation, legislative collaboration, and emerging sectors like green logistics and clean energy. Such a move reflects shared commitment to regional stability, mutual growth, and innovation.

Vietnam and Singapore are embarking on a new chapter in their long-standing diplomatic and economic relationship, aiming to upgrade their strategic partnership to a comprehensive strategic partnership. This significant development was discussed during the official visit of Vietnamese National Assembly (NA) Chairman Trần Thanh Mẫn to Singapore, where he met with Singaporean Prime Minister Lawrence Wong and other key leaders.

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This visit marks the culmination of over five decades of diplomatic relations, established in 1973, and a decade of strategic partnership initiated in 2013. As both nations look ahead, they seek to deepen political trust, expand economic cooperation, and strengthen collaboration across emerging industries to meet the demands of a rapidly evolving global economy.

Singapore among top investors in Vietnam

VSIP: Reflecting on a legacy of cooperation

Vietnam and Singapore’s bilateral relations have grown stronger over the years, underpinned by mutual respect and shared objectives. The Vietnam-Singapore Industrial Parks (VSIP) network stands as a symbol of this partnership. Established nearly three decades ago, the VSIP network now includes 18 industrial parks across 13 provinces in Vietnam, collectively generating employment for over 300,000 workers.

The VSIP initiative has demonstrated the potential for combining modern infrastructure with targeted foreign investment. During his visit, NA Chairman Mẫn lauded VSIP as a model of successful economic cooperation and reaffirmed Vietnam’s commitment to expanding this collaboration. Discussions with Sembcorp, the developer behind VSIP, revealed plans to transition these parks into low-carbon, high-tech industrial hubs, aligning with Vietnam’s aspirations for sustainable development.

A sustainable vision under VSIP 2.0

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Sembcorp’s vision for VSIP extends beyond industrial development to include green infrastructure and smart urban planning. The next phase, VSIP 2.0, aims to integrate sustainable energy solutions, advanced manufacturing technologies, and innovative logistics systems. These upgrades are expected to enhance Vietnam’s attractiveness as a hub for international investors seeking eco-friendly and efficient operations.

NA Chairman Mẫn affirmed that the Vietnamese government would continue to prioritize the development of smart industrial parks and facilitate projects that contribute to the country’s long-term economic goals. The collaboration reflects Vietnam’s broader strategy of combining economic growth with environmental sustainability.

Elevating bilateral economic cooperation

The decision to upgrade the Vietnam-Singapore strategic partnership signals a shared intent to enhance economic cooperation further. Both nations aim to leverage their strengths to create new growth opportunities, particularly in emerging sectors. Among the areas identified for collaboration are semiconductor manufacturing, clean energy, green logistics, data center development, carbon credit markets, and green finance.

These industries align closely with global trends and the priorities of both nations. Vietnam’s ongoing digital transformation and commitment to reducing carbon emissions complement Singapore’s expertise in technology, finance, and sustainable development.

During his meetings with Singaporean leaders, NA Chairman Mẫn emphasized Vietnam’s readiness to support foreign investors and resolve administrative challenges. His message resonated with Singaporean corporations, which expressed optimism about Vietnam’s economic potential and willingness to adapt its policies to attract sustainable investment.

Strengthening legislative and political ties

Economic cooperation is just one aspect of the Vietnam-Singapore partnership. The official visit also highlighted the importance of legislative collaboration in addressing contemporary challenges. Both countries agreed to enhance their legislative frameworks to foster investment, streamline governance, and create a more conducive business environment.

Meetings between NA Chairman Mẫn and Singapore’s Speaker of Parliament Seah Kian Peng emphasized the need for deeper cooperation between legislative bodies. Both sides agreed to share experiences and best practices, particularly in legal and institutional reforms, to address socio-economic challenges effectively.

This collaboration is expected to lay the foundation for Vietnam’s ongoing administrative reforms, which aim to create a more efficient and transparent government. Experts see this as a critical step for Vietnam, enabling it to build a robust civil service capable of leading the nation through its next phase of development.

Expanding beyond economics

An upgraded partnership would also broaden cooperation in areas such as education, culture, and defense. Both nations agreed to strengthen people-to-people exchanges, which have played a crucial role in enhancing mutual understanding and trust. With around 25,000 Vietnamese people living and working in Singapore, the Vietnamese community serves as a bridge between the two nations.

Prime Minister Wong expressed appreciation for the contributions of the Vietnamese diaspora and assured continued support for their well-being. NA Chairman Mẫn, in turn, urged the Singaporean government to create favorable conditions for Vietnamese businesses and professionals in the city-state.

Defense and security cooperation are also on the agenda, with both nations recognizing the importance of maintaining stability in the region. They pledged to enhance collaboration in these areas to address common challenges and safeguard their shared interests.

Growing trade ties

Trade remains a cornerstone of Vietnam-Singapore relations. Since 1996, Singapore has consistently ranked among Vietnam’s largest trade partners. In 2024, bilateral trade reached an estimated US$9.6 billion in the first 11 months, marking a 17.5 percent year-on-year increase.

This growth reflects the complementary nature of their economies. Vietnam’s strengths in manufacturing and agriculture align with Singapore’s expertise in logistics, finance, and technology. The two nations aim to capitalize on these synergies to boost trade further and diversify their economic partnership.

Regional and global impact

Vietnam and Singapore’s collaboration extends beyond bilateral relations to regional and global platforms. As key members of ASEAN, both countries are committed to maintaining the bloc’s centrality in addressing strategic issues, including territorial disputes in the East Sea (South China Sea).

Their shared commitment to ASEAN’s solidarity and central role underscores their dedication to regional stability and prosperity. Both nations also collaborate closely in multilateral forums, advocating for open trade policies and sustainable development initiatives.

The official visit by NA Chairman Mẫn marks a turning point in Vietnam-Singapore relations, reaffirming their shared vision for the future. With plans to deepen economic ties, enhance legislative collaboration, and explore new areas of cooperation, the partnership is poised to reach new heights.

Prime Minister Wong’s planned visit to Vietnam in 2025 further highlights the strong momentum behind this relationship. As both nations celebrate over 50 years of diplomatic ties, their renewed focus on innovation, sustainability, and mutual trust promises to unlock new opportunities for growth and development.

Conclusion

The evolving partnership between Vietnam and Singapore reflects the dynamic nature of modern diplomacy. By combining economic ambition with social and environmental responsibility, both nations are setting an example for regional and global cooperation.

As they work together to address emerging challenges and seize new opportunities, Vietnam and Singapore’s relationship is not just a testament to their shared history but also a blueprint for a prosperous and sustainable future.

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