Vietnam, Laos build ties to ASEAN
By Stephen Robson
Vietnam and Laos are likely to become members of ASEAN in the near future, after being given observer status at the organisation's ministerial meeting in Manila July 21-22.
For Vietnam and Laos, which previously relied heavily on trade with the Soviet Union, new trade ties are a high priority.
The ASEAN countries backed US moves to isolate Vietnam when its troops entered Cambodia and overthrew the Khmer Rouge in 1979. Since the withdrawal of Vietnamese troops three years ago — and then the signing of the Cambodian peace agreement last October — the US has lacked a credible pretext for its hostility to Vietnam.
Pressure has been mounting in the United States for the embargo against Vietnam to be lifted. US businesses increasingly feel that they are missing out as other countries strike deals in Indochina.
At the ASEAN meeting on July 22, the Vietnamese and Laotian foreign ministers signed the treaty of friendship and cooperation, known as the Bali treaty.
Both Vietnam and Laos have been pursuing a policy of improving relations with the ASEAN nations for some time, and trade has been increasing, particularly in the past two years.
Vo Van Kiet, in his capacity as chairperson of the Vietnamese Council of Ministers, visited Indonesia, Thailand and Singapore in 1991 and Malaysia, the Philippines and Brunei earlier
this year.
Trade between Vietnam and the Philippines was only US$12 million in 1988. By 1990, this had risen to over US$100 million. Thailand has invested almost US$6 million in 11 joint ventures with Vietnam. Indonesia has put about US$5 million into a joint bank.