Laos and Vietnam Review Bilateral Cooperation and Key Projects

Laos and Vietnam held talks to further strengthen their "great friendship, special solidarity, comprehensive cooperation and strategic partnership," during an official visit to the Lao PDR by Vietnamese Permanent Deputy Prime Minister Pham Gia Tuc. The visit, at the invitation of Lao Deputy Prime Minister and Minister of Foreign Affairs Saleumxay Kommasith, took place in the capital, Vientiane, on September 21, 2026. The two sides exchanged information on their respective domestic situations and socio-economic development, and reviewed the implementation of the 2026 bilateral cooperation plan. Progress in cooperation across political, foreign affairs, defense, and security fields was confirmed, with close coordination maintained between ministries, agencies, and local authorities. Defense and security cooperation, in particular, remains an important pillar of bilateral relations. Education and human resource development continue to be priority areas. Vietnam provided 1,300 scholarships to Lao students in 2026 for study in Vietnamese educational institutions, and efforts are ongoing to advance the construction of the Laos-Vietnam Friendship University. In investment, Vietnamese enterprises continue to expand their activities in Laos, focusing on sectors with high development potential and opportunities to apply modern, environmentally friendly technologies. Vietnamese investment in Laos currently comprises 435 projects with a combined approved value of US$8 billion, ranking second among 53 countries investing in the Lao PDR. In the first eight months of 2026, the Lao government approved six projects by Vietnamese enterprises worth a combined US$4.7 billion. Bilateral trade reached US$1.8 billion during the same period. Both sides also discussed and agreed to promote several key projects that have experienced slow progress, including the Vientiane-Hanoi Expressway, Vientiane-Vung Ang Railway, electricity trading, and petroleum pipeline and storage facilities. These projects are crucial for strengthening the economic corridor connecting Laos and Vietnam. Lao General Secretary and President Thongloun Sisoulith and Prime Minister Sonexay Siphandone separately received the Vietnamese Deputy Prime Minister, expressing confidence that the visit would contribute to further deepening bilateral relations and achieving practical results. Preparations for an upcoming official visit to the Lao PDR by Vietnamese Prime Minister Le Minh Hung were also discussed. Laos, under its one-party system, maintains close ties with Vietnam, a key element of its foreign policy. Vietnam continues to be a vital partner for Laos in terms of economic assistance, investment, and security. However, these cooperative efforts proceed alongside Laos's ongoing economic challenges, notably inflation and debt.