US Competes With China for Vietnam’s Allegiance

It has taken Vietnam a mere 15 years to develop from a low-income country to one that is middle-income. As a result, Vietnam has emerged as a regional economic power in Asia, its growth only trailing that of China. The US and China are both eager to counter the other’s influence in Vietnam – increasing imports of goods, industry and culture to the nation. China last fought with Vietnam in 1979 and the US Vietnam War ended in 1975 – but now the two countries are suitors to Vietnam with equal investments, about $2 billion each. The competition between the US and China bodes well for Vietnam, which does not want any one country gaining too much power in the region. Vietnam anticipates joining the World Trade Organization in fall of 2006 – and analysts commend the country for rapid growth that creates across-the-board improvements for all Vietnamese, without huge divisions between rich and poor. – YaleGlobal