Germany, Vietnam to deepen economic, political ties

Vietnam and Germany signed an agreement Saturday in Hanoi for Berlin to provide financing of more than 210 million euros (295 million dollars) for Ho Chi Minh City’s new subway.

German Foreign Minister Guido Westerwelle signed the financing pledge during his visit to the Vietnamese capital, where talks focused on deepening political and economic relations between the two countries.

Westerwelle said the aim is to develop a ‘strategic partnership’ between Germany and Vietnam.

Later this year, German Chancellor Angela Merkel and Deputy Chancellor and Economics Minister Philipp Roesler are to visit Hanoi.

Some 100,000 people of ethnic Vietnamese background – including Roesler himself – currently live in Germany, delegation officials noted.

Vietnamese Premier Nguen Tan Dung in his remarks called for closer dialogue and further German investments in his country. With bilateral trade at 5.8 billion dollars, Germany is Vietnam’s largest business partner in the European Union, he noted.

The new Ho Chi Minh City subway project is expected to cost over 1 billion dollars. German firms are hoping to get a share of the business.

Vietnam is the final stop of a five-nation, eight-day tour by Westerwelle, who previously had visited Oman, India, Australia and New Zealand. He returns to Berlin on Sunday.

Tags: Vietnam Germany trade