Are Canada and Vietnam taking their relationship to the next level? | CBC News

In state visit, middle powers likely to deepen trade, energy, say experts

From a welcoming ceremony with military honours to a lavish state dinner — as far as diplomatic events go, a state visit is as formal as it gets: the ultimate symbol of friendly bilateral relations. 

Today, Canada will be greeting Vietnamese Leader Tô Lâm with such a warm gesture. Lâm — who serves both as the president and the first general secretary of Vietnam's Communist Party — will be welcomed by Governor General Louise Arbour and Prime Minister Mark Carney, in a moment that could be a turning point for Canada-Vietnam relations.

The Southeast Asian country is a major trading partner, reaching $20.6 billion in two-way trade 2025. But it also has a checkered human rights record and keeps in good standing with adversaries like Russia and North Korea.

So why has Canada chosen its leader for its first state visit of 2026? CBC News spoke with several experts ahead of the occasion on what Canada stands to gain from closer ties to Vietnam.

In some ways, Canada and Vietnam have much in common: Both countries are middle powers, sharing a border with juggernauts (the U.S. and China, respectively). 

Both nations have also been steadily increasing their bilateral trade in recent years — Vietnam is now Canada's largest trading partner in Southeast Asia.

"Canada and Vietnam have had a comprehensive partnership since 2017," said Julie Nguyen, chair of the Canada-ASEAN Initiatives at the York Centre for Asian Research, referencing industries like trade, defence, science and diplomacy.

"It is time for the two countries to elevate their partnership to the next level in order to ensure economic resiliency, security."

Vietnam is racing to become a high-income country by 2045. In order to reach that goal, it will have to move into advanced manufacturing, science, technology and AI development, Nguyen says. 

Canada is also working to finalize a free trade agreement with the Association of South East Nations (ASEAN). Vietnam could prove clutch in those efforts, since it is a prominent member of the intergovernmental regional organization, says Jeff Nankivell, president and CEO of the non-profit think-tank, the Asia Pacific Foundation.

And, Nankivell says, Canada is likely to find a willing partner in Vietnam, which has also faced punishing American tariffs, with the U.S. at one point slapping a 40 per cent levy on goods determined to have been transshipped through Vietnam.