New Delhi

India and Vietnam on Wednesday elevated their bilateral relationship to an Enhanced Comprehensive Strategic Partnership and set an ambitious target of achieving USD 25 billion in annual trade by 2030, as Prime Minister Narendra Modi held wide-ranging talks with Vietnamese President To Lam.

The two leaders discussed ways to deepen cooperation in trade, defence, critical minerals, digital connectivity and regional security amid rising geopolitical uncertainties in the Indo-Pacific.

Following delegation-level talks, both countries signed 13 agreements aimed at expanding cooperation across sectors such as digital payments, rare earth minerals, pharmaceuticals, education, banking and cultural exchanges.

Strategic developments in the Indo-Pacific, including concerns over growing military activity in the South China Sea, also figured prominently during the discussions, according to official sources.

President To Lam, who assumed office earlier this month, arrived in India on Tuesday for his first state visit since taking charge, leading a high-level delegation on a three-day trip.

Addressing the media after the talks, Modi said Vietnam had become India’s first comprehensive strategic partner within ASEAN a decade ago, and bilateral ties had since expanded rapidly.

Building on that foundation, both nations have now agreed to take the relationship to a higher strategic level through the enhanced partnership framework.

Modi said cooperation would deepen across culture, connectivity, capacity-building, security, sustainability and supply-chain resilience.

He noted that bilateral trade has doubled over the past ten years to around USD 16 billion and said both sides are now aiming to push it to USD 25 billion by the end of the decade.

Among the key economic initiatives, Modi said an agreement between the two countries’ drug regulators would improve access for Indian medicines in Vietnam, while agricultural exports from India—including grapes and pomegranates—would soon enter Vietnamese markets more easily.

The two sides also agreed to work toward updating the India-ASEAN trade agreement by the end of this year, a move expected to boost commerce and investments across Southeast Asia.

Cooperation in critical minerals, rare earths and energy security was also identified as a major priority to strengthen supply-chain resilience for both economies.

To enhance financial connectivity, the leaders announced plans to link India’s Unified Payments Interface with Vietnam’s fast payment infrastructure, enabling smoother cross-border digital transactions.

Modi thanked Vietnam for its support and condemnation of the terror attack in Pahalgam, reaffirming the shared commitment to combating terrorism.

Describing Vietnam as a key pillar of India’s “Act East” policy and Vision Ocean strategy, Modi said the two countries would continue contributing to peace, stability, rule of law and prosperity in the Indo-Pacific through stronger defence and security cooperation.

In his remarks, President To Lam said both countries had agreed to deepen political trust and expand security collaboration.

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Defence ties between the two nations have grown steadily in recent years. In 2025, India and Vietnam signed agreements on submarine search-and-rescue cooperation and strengthening collaboration in defence manufacturing.