skip to main content

China, Vietnam sign agreements after Xi warns protectionism 'leads nowhere'

Vietnam's communist party General Secretary Tô Lâm (R) and Chinese President Xi Jinping (L) wave during a meeting at the Office of the Party Central Committee in Hanoi
Vietnam's communist party General Secretary Tô Lâm (R) and Chinese President Xi Jinping (L) wave during a meeting at the Office of the Party Central Committee in Hanoi

China and Vietnam signed dozens of cooperation agreements, strengthening ties between the communist-run countries after Chinese leader Xi Jinping warned that protectionism "leads nowhere" and that a trade war would have "no winners".

Mr Xi is in Vietnam for the first leg of a Southeast Asia tour, as Beijing tries to present itself as a stable alternative to an erratic US President Donald Trump, who announced - and then mostly reversed - sweeping tariffs this month.

The Chinese president was welcomed to Hanoi with a 21-canon salute, a guard of honour and rows of flag-waving children at the presidential palace, before holding talks with Vietnam's top leaders including General Secretary Tô Lâm.

The two neighbours signed around 40 cooperation agreements. Details were not immediately available but prior to the visit it was expected that deals would be reached in areas including trade and aviation.

Mr Xi's visit comes almost two weeks after the United States - manufacturing powerhouse Vietnam's biggest export market in the first three months of the year - slapped a 46% levy on Vietnamese goods as part of a global trade blitz.

Although the reciprocal tariffs on Vietnam and most other countries have been paused, China still faces enormous levies and is seeking to tighten regional trade ties and offset their impact during Mr Xi's first overseas trip of the year.

People wave Chinese and Vietnamese flags as the plane carrying Chinese President Xi Jinping arrives

Mr Xi is in Vietnam today and tomorrow, before visiting Malaysia and Cambodia on a tour that "bears major importance" for the broader region, Beijing has said.

Speaking during a meeting with Mr Lâm, Mr Xi said Vietnam and China were "standing at the turning point of history... and should move forward with joint hands".

Mr Xi earlier urged the two countries to "resolutely safeguard the multilateral trading system, stable global industrial and supply chains, and open and cooperative international environment".

He also reiterated Beijing's line that a "trade war and tariff war will produce no winner, and protectionism will lead nowhere" in an article published in Vietnam's major state-run Nhan Dan newspaper.

Vietnam's top leader Mr Lâm said in an article posted on the government's news portal that his country "is always ready to join hands with China to make cooperation between the two countries more substantive, profound, balanced and sustainable".

'Bamboo diplomacy'

Vietnam was Southeast Asia's biggest buyer of Chinese goods in 2024, with a bill of $161.9 billion, followed by Malaysia with Chinese imports worth $101.5bn.

Firming up ties with Southeast Asian neighbours could also help offset the impact from a closed United States, the largest single recipient of Chinese goods last year.

Mr Xi is visiting Vietnam for the first time since December 2023.

China and Vietnam, both ruled by communist parties, already share a "comprehensive strategic partnership", Hanoi's highest diplomatic status.

Vietnam has long pursued a "bamboo diplomacy" approach - striving to stay on good terms with both China and the United States.

Chinese President Xi Jinping arrives for a two-day state visit to Vietnam

The two countries have close economic ties, but Hanoi shares US concerns about Beijing's increasing assertiveness in the contested South China Sea.

China claims almost all of the South China Sea as its own, but its claims are disputed by the Philippines, Malaysia, Vietnam, Indonesia and Brunei.


Read more:

Analysis: Is Trump already living in China's world?


The Chinese leader insisted in his article that Beijing and Hanoi could resolve those disputes through dialogue.

"We should properly manage differences and safeguard peace and stability in our region," Mr Xi wrote.

"With vision, we are fully capable of properly settling maritime issues through consultation and negotiation," he said.

Vietnam's Mr Lâm said in his article on the government news portal that "joint efforts to control and satisfactorily resolve disagreements... is an important stabilizing factor in the current complex and unpredictable international and regional situation".

After Vietnam, Mr Xi will visit Malaysia from tomorrow to Thursday.

Malaysian Communications Minister Fahmi Fadzil said Mr Xi's visit was "part of the government's efforts... to see better trade relations with various countries including China".

Mr Xi will then travel on Thursday to Cambodia, one of China's staunchest allies in Southeast Asia and where Beijing has extended its influence in recent years.