Japan, Vietnam boost supply chain ties amid China concerns

Japan and Vietnam have agreed to deepen cooperation across key economic security sectors, including energy, critical minerals, semiconductors, artificial intelligence, and space. Prime Minister Sanae Takaichi met with Vietnam's top leadership in Hanoi, and both countries designated economic security as a top priority in bilateral cooperation. The two countries signed six memorandums of understanding covering technology, climate response, and information and communications. Japan will support crude oil supplies to Vietnam's Nghi Son refinery through a $10 billion 'Power Asia' initiative. Takaichi emphasized the risks of overdependence on a single country for critical supplies, referencing China. Japan and Vietnam also agreed to expand cooperation on critical minerals, as Japan seeks to diversify supply chains heavily dependent on China.