India and Vietnam have upgraded their relationship to an "enhanced comprehensive strategic partnership", with a new bilateral trade target of $25 billion by 2030, during the state visit of Vietnamese president To Lam to New Delhi.
The two governments signed agreements covering defence supply, civil nuclear cooperation, semiconductors, digital payments and cooperation between coast guards. India will expand its line of credit for Vietnamese defence purchases.
Bilateral trade reached approximately $15 billion last year, weighted toward Indian exports of pharmaceuticals, machinery and steel and Vietnamese exports of electronics and agricultural products. Both governments said they would target faster certification for additional product categories.
The visit comes against a backdrop of more assertive Chinese activity in the South China Sea. Mr To and Prime Minister Modi pledged to coordinate more closely at ASEAN-led forums and reaffirmed support for freedom of navigation in disputed waters.
Vietnamese officials separately discussed expanded cooperation on critical minerals processing, an area where India has begun to position itself as a rival to existing Chinese refining capacity. A working group will report by year-end.
Mr To travels next to Australia. Indian officials said a ministerial-level "two-plus-two" defence and foreign-affairs dialogue would be inaugurated within six months.