The U.S.-China Battle Complicates Vietnam's Economic Ambitions
Oct 22, 2018 | 10:00 GMT
(HOANG DINH NAM/AFP/Getty Images)
- By amassing political power, Vietnamese General Secretary Nguyen Phu Trong has effectively overturned the collective leadership in his country's political system, but questions remain as to whether such a model can continue after a leadership transition in 2021.
- The trade war between China and the United States could persuade some companies to relocate their high-end factories to Vietnam, yet the country's unskilled workforce and lower technological capacity will be a major weakness.
- Vietnam has been relying on a diversification strategy to reduce its economic reliance on China, but heightened competition between Beijing and Washington could complicate Hanoi's balancing act.