Tania Pal

 

Over the past few years, BRICS has expanded beyond its original five major emerging economies into a more inclusive platform representing the interests of the Global South. This expansion reached a major step at the XVI BRICS Summit in Kazan in October 2024, in which BRICS introduced the partner country division. This added more strength as it increased engagement with more developing countries into BRICS, who will not serve as full members.

 

Admission of Vietnam as a partner country in 2025 in BRICS is also the result of the same expansion approach. As one of the Southeast Asia's fastest growing economy and a country deeply integrated into global value chains, Vietnam will bring economic diversity, strategic relevance and strong support for multi-lateral cooperation. Vietnam's entry in BRICS serves both partners equally as it fits Vietnam's 'Four No's' defense policy (no military alliances, no siding with one country against another, no foreign military bases, and no use of force). On the other hand, Vietnam serves as a strategic link for BRICS by serving as a trade gateway to ASEAN and with its wide network of export.

 

It is however, noteworthy that Vietnam's joining of BRICS is not a sudden shift in its foreign policy rather than it is a continuation of its long standing post-Doi-Moi developmental model whose major focus area is transitioning from a basic, low-cost manufacturing economy into a high-income, innovation-driven nation by 2045.

 

From Doi Moi to BRICS: Evolution of Vietnam's Foreign and Economic Strategy

 

Vietnam's story begins with Doi Moi reforms 1986. These were game changer for Vietnam as it marked a shift from centrally planned economy to socialist-oriented market economy. These reforms loosened the grip of state allowing private enterprises to expand and ultimately opened doors for Foreign Direct Investment (FDI). Moreover, Vietnam shifted from its no-export policy which was prevalent in pre Doi Moi reforms era to export oriented economy, in which it encouraged domestic industries especially textiles, agriculture to produce for global markets. Vietnam joined ASEAN in 1995, APEC in 1998 and then WTO in 2007 through which Vietnam got entry into global trade rules and supply chain. This model helped in reducing poverty, accelerated growth and made Vietnam one of Asia's fastest growing economies.

 

Vietnam also reshaped its foreign policy. 'Diversification and Multilateralization' became the core and guiding principles for foreign policy transformation. This approach gave strategic autonomy to Vietnam. This balanced and proactive policy ensured that Vietnam makes its position in global economy without compromising with its independence. The change in Vietnam's policies is most visible through its active participation in regional and international institutions such as ASEAN, APEC, WTO, CPTPP and RCEP. Through these steps, Vietnam steadily embedded itself in the global economic order, balancing regional commitments with global ambitions.

 

Every stage whether it is Doi Moi reforms, joining ASEAN, WTO, CPTPP, or RCEP follows one consistent strategy: "Diversify partnership, integrate into global economy, while maintaining its autonomy". In this context Vietnam joining BRICS as a partner country is not a new strategy but a new step of the existing policy. BRICS provide Vietnam with new economic opportunities, and dialogue with emerging global powers. Thus, BRICS should be seen as the latest stage of Vietnam's international integration, which basically expands post-Doi Moi trajectory.

 

Why Vietnam Joined BRICS

 

Vietnam joined BRICS in continuation of its foreign policy of 'Bamboo Diplomacy' and economic strategy focusing on Doi Moi reforms. Its decision to join BRICS as a partner country is guided by the following factors: economic diversification; trade and investment opportunities; supply chain resilience; and strengthening its voice in Global South forums.

 

1. Economic Integration and Strategic Autonomy

 

Vietnam with its export-oriented economy seeks to expand market access and BRICS membership provides opportunity to expand its trade and economic links beyond Western markets to emerging economies like Brazil, India, China, and South Africa. This expanding opportunity helps Vietnam to build resilience against external trade challenges.

 

2. Trade and Investment Opportunities

 

Vietnam already has substantial ties with BRICS economies, China and India are its major trading partners, while Russia and Brazil provide opportunities in energy and agriculture sector. BRICS membership provides new commercial partnerships and opens up channels for investment flow. It provides opportunities to Vietnam to access funds for green energy and digital projects from institutions such as New Development Banks. It sends signals to the potential investors that Vietnam is acting as a bridge between ASEAN and wider Global South.

 

3. Supply Chain Resilience

 

Companies use "China+1" strategy to lower costs, avoid trade risks and diversify production away from China, which makes Vietnam a preferred choice for investment. Major companies like Samsung and Intel moved large production lines out of China and into Vietnam, this has ultimately made Vietnam a major production hub in Asia. This is important for Vietnam's long-term goal as it reduces its dependence on a single market and saves it from sudden disruptions. This approach makes Vietnam more attractive for multinational companies seeking stability. By aligning with BRICS Vietnam strengthens its image as a dependable part in global supply chains.

 

4. Voice in Global South Forums

 

BRICS provide Vietnam with a global governance platform to raise its voice and contribute in the global debate of reforming the international institutions. It matches with Vietnam's broader goal of South-South Cooperation, where developing economies work together to balance the power of western institutions. Joining BRICS is not only about economy for Vietnam but also about representing itself as a responsible voice in Global South.

 

What Vietnam Brings to BRICS

 

Vietnam�s entry in BRICS is a two-side relationship where both entities are helping each other to grow and expand their network. Official statements highlight that Vietnam brings its dynamism, manufacturing strength and regional connectivity which makes BRICS more relevant in Asia-Pacific.

 

1. Dynamic Economy

 

Vietnam serves as an example of middle power and an emerging economy for BRICS. Its success through reforms and modernization has made it a popular destination for manufacturing sector. It is one of the fastest growing economies, whose GDP growth has been consistently above the global average. This dynamism has brought more credibility to BRICS.

 

2. Manufacturing Capacity

 

Vietnam has become a major manufacturing powerhouse, particularly in semi-conductors, electronics, textiles, and other consumer goods. Many countries are choosing Vietnam under "China+1" strategy. This benefits BRICS by having Vietnam as a production base which complements the existing members like China and India. Vietnam's expertise and experience in manufacturing sector, supports the goals of BRICS in market diversification and supply chain resilience.

 

3. Strategic Location in Southeast Asia

 

Vietnam lies at the strategic location of crossroads at East Asia, South Asia and Pacific. This geographical location adds strength to BRICS presence in Asia Pacific. Vietnam's inclusion elevates ASEAN's visibility in BRICS and reinforces the multipolar leadership of Global South.

 

4. ASEAN Linkage

 

Vietnam's membership has strengthened ties between ASEAN and BRICS. Indonesia was already a member, Malaysia and Thailand were also partner countries and now Vietnam is also a partner country. This linkage enhances the bargaining power of BRICS, because ASEAN has a large GDP and strong export performance. Thorough this Vietnam acts as a gateway for ASEAN economies to engage with BRICS.

 

Challenges and Strategic Balancing

 

Vietnam's membership of BRICS not only brings opportunities but also some challenges. Vietnam needs to ensure that BRICS complement its external relations rather than complicating it. It needs to balance its relations with global powers such as the United States, China, and India at the same time focusing on ASEAN as central pillar to its diplomacy.

 

It must however be noted that, BRICS itself has to come out of its own challenges such as expanding membership, internal political disagreements, geo-political frictions, economic asymmetries, and weak institutional mechanisms unlike the EU or ASEAN, which makes consensus difficult. Therefore, Vietnam will have to work with BRICS as a complementary pillar and not as a substitute of existing partnership.

 

Conclusion

 

Vietnam joining BRICS as a partner country offers strategic opportunities and potential for economic diversification. Vietnam was already a member of ASEAN, WTO and has also signed major trade agreements like CPTPP and RCEP. BRICS provide another platform for Vietnam to expand its markets, attract investments and strengthen its voice in global forums. This step enhances the already existing ties with US, China, India and ASEAN instead of replacing them. In this way Vietnam�s joining of BRICS is a new phase continuing the foreign policy which has defined its rise for the last four decades.

 

*********

 

Tania Pal is a Research Intern at the Centre for Vietnam Studies, New Delhi