Lee’s trip would come shortly after Lam’s election as president last week, a development that consolidates his authority by combining the presidency with leadership of the ruling Communist Party, the country’s most powerful political position.

The meeting is expected to underscore ties between the two countries, which have developed extensive economic and strategic cooperation in recent years, though specific agenda details were not disclosed by the sources.

Reuters could not immediately verify further details of the planned discussions, and officials from both governments have not publicly commented on the visit.

The proposed investments will target urban development, electric mobility, renewable energy and public infrastructure, according to the agreement. The initiative is expected to support the creation of tens of thousands of jobs over the next three to five years, although timelines for capital deployment were not disclosed.

As part of the plan, Vingroup is evaluating the development of integrated townships spanning about 1,000 hectares near Mumbai, with a projected investment of roughly $5 billion.

In the electric mobility segment, the group aims to deploy a fleet of 60,000 electric taxis, representing an additional investment of around $1.5 billion.The move builds on Vingroup’s growing presence in India, where its electric vehicle unit VinFast already operates a manufacturing facility in Tamil Nadu and has announced plans for a $3 billion ecosystem in Telangana.

Maharashtra accounts for approximately 14% of India’s gross domestic product and hosts a strong automotive manufacturing base, including major domestic players such as Mahindra and Mahindra and Tata Motors.

Willie Walsh, director general of the International Air Transport Association, told reporters in Singapore that while crude prices had fallen below $100 per barrel following a U.S.-Iran ceasefire announcement, jet fuel costs were likely to remain elevated due to constraints on refining output.

“If it were to reopen and remain open, I think it will still take a period of months to get back to where supply needs to be given the disruption to the refining capacity in the Middle East,” Walsh said, adding that the region is critical to global supply of refined products beyond aviation fuel.

The Strait of Hormuz, which carries about a fifth of the world’s oil trade, has been heavily disrupted during the recent conflict, squeezing fuel availability and driving up costs across the aviation sector.

Airlines in Asia have responded by cutting flights, carrying additional fuel from origin airports and adding refueling stops, measures that have increased operational costs for carriers already dealing with a sharp rise in jet fuel prices.

The impact has been most acute in import-dependent markets such as Vietnam, Myanmar and Pakistan, where supply constraints have tightened further after China and Thailand halted jet fuel exports and South Korea capped shipments at previous levels.

Walsh said a resumption of crude flows could encourage exporters such as China and South Korea to restart shipments of refined products, easing pressure on the market over time.

However, he noted that higher refinery margins, known as crack spreads, would be needed to incentivize increased jet fuel production.

“There is capacity available once we get the crude oil flowing, but it’ll take a little bit of time,” Walsh said.

All 495 lawmakers present endorsed his nomination, according to parliament, formalizing a dual leadership structure that departs from Vietnam’s long-standing system of collective governance.

Lam, who secured a second term earlier this year as head of the Communist Party of Vietnam, now holds both the top party and state positions for the next five years. Analysts say the concentration of authority could streamline policymaking but also raises concerns about increased centralization of power.

In a televised address after the vote, Lam pledged to pursue a new growth strategy driven by science, technology, innovation and digital transformation, while emphasizing stability, self-reliance in defense and improvements in living standards.

The leadership shift marks a structural change in Vietnam’s political system, bringing it closer to models seen in other one-party states where power is concentrated in a single figure.

Observers say this could accelerate economic decision-making in the fast-growing Southeast Asian economy.Lam, 68, previously served as minister of public security and has promoted reforms aimed at boosting competitiveness and reducing reliance on low-cost manufacturing.

His policies have drawn both praise from investors and concerns over potential risks such as market distortions, favouritism and asset bubbles.Vietnam’s foreign policy is expected to remain broadly unchanged, with Lam continuing a balancing approach between major powers while expanding global partnerships.

The National Assembly is expected to appoint a new prime minister later on Tuesday to replace Pham Minh Chinh.

The U.S. has been pushing for the upgrade for months as it sees the Southeast Asian manufacturing dynamo as a key country in its strategy to secure global supply chains from China-related risks.

The overhaul may be shadowed, however, by a report on Saturday that Vietnam was in talks with Russia over a new arms supply deal that could trigger U.S. sanctions.

The New York Times cited a March Vietnamese finance ministry document laying out plans for Hanoi to pay to modernise its forces through a Vietnamese-Russian oil venture in Siberia.

Reuters has seen, but not been able to authenticate, documents describing talks for a credit facility that Russia would extend to Vietnam to buy heavy weaponry, including anti-ship missiles, antisubmarine aircraft and helicopters, antiaircraft missile systems and fighter jets.

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A spokesperson for Vietnam’s foreign ministry did not respond to multiple requests for comment on the documents, which show Moscow pushing for months for a loan deal that would bypass Western sanctions on Moscow, and Vietnam showing “interest”.

Hanoi is in similar talks with multiple arms suppliers including the U.S.. In recent weeks, Vietnam has engaged in several high-level defence meetings with top Russian officials.

The upgrade will include a security dimension, Jon Finer, the U.S. principal deputy national security adviser, told reporters on Sunday, while on the plane with Biden to Vietnam from a Group of 20 summit in India.

He said he had no arms deals to announce at this stage but stressed that the U.S. and its partners could offer Vietnam help to diversify away from Russian military supplies, an offer which he said Vietnam was receptive to.

That would help Vietnam reduce military reliance on Moscow, “a relationship we think they are increasingly uncomfortable with,” Finer said.

Chips, Rare Earths

A half-century after a lengthy and brutal war, the U.S. is to elevate Vietnam to the same diplomatic tier as China and Russia, Finer noted, as Biden and other U.S. officials have said. Vietnamese officials have shown optimism about the expected upgrade, despite initial concerns over how giant neighbour China would react.

Top Chinese officials, possibly including President Xi Jinping, are expected to visit Vietnam in the coming days or weeks, officials and diplomats said, as Hanoi seeks to maintain good relations with all superpowers.

Biden is to arrive at Vietnam’s Presidential Palace on Sunday afternoon for a formal welcome from Communist Party General Secretary Nguyen Phu Trong, Vietnam’s most powerful leader, then go to party headquarters, where the two will meet and give public remarks.

The president is scheduled to hold a news conference at 7:30 p.m. (1230 GMT).

His visit comes as bilateral trade and investment ties are growing and a long-simmering territorial dispute between Vietnam and China heats up in the South China Sea.

Highlighting Vietnam’s growing importance as a “friendshoring” destination for U.S. technology companies, executives from Google (GOOGL.O), Intel (INTC.O), Amkor (AMKR.O), Marvell (MRVL.O), GlobalFoundries (GFS.O) and Boeing (BA.N) are expected to meet on Monday with Vietnamese tech executives and Secretary of State Antony Blinken in Hanoi.

Semiconductors are the centrepiece of an action plan to be adopted during Biden’s visit, adding concrete deliverables to the diplomatic upgrade, a U.S. official said. Many see the upgrade so far as symbolic because the Washington already effectively has close ties with Hanoi.

Besides possible announcements by U.S. corporations, it is unclear how significant the U.S. administration’s contribution to the sector could be, having only $100 million a year for five years available under the CHIPS Act to support semiconductor supply chains globally. A large part of it could go to Vietnam, officials said.

More support to train skilled workers is also expected, as Vietnam faces a major shortage of engineers in the chips sector.

Another key issue is strengthening supply chains of critical minerals, especially rare earths, of which Vietnam has the world’s largest deposits after China, according to U.S. estimates, officials said.

Two people familiar with the plans said an agreement on rare earths was expected during Biden’s visit, which ends on Monday when he flies back to America.

Details, however, are scant. Past attempts by U.S. companies to partner with Vietnamese rare earth firms have not succeeded, according to a person involved in one recent plan.

Trade may also be discussed, as Vietnam’s trade surplus with the U.S. trails only those of China and Mexico.

Human rights remain a controversial issue, with U.S. officials regularly criticising Hanoi for jailing activists and limiting freedom of expression. Vietnam may show goodwill, with diplomats suggesting activists could be freed.

New Delhi (Reuters) – An active duty missile corvette of the Indian Navy is on its way to Vietnam as a gift, the first warship given by India to any country.

The domestically built corvette INS Kirpan left India’s east coast on Wednesday, the navy said.

India and Vietnam have strengthened their ties in recent years, with a special focus on defence, as both countries are concerned over an increasingly assertive China.

India has given smaller boats and military equipment to countries like Maldives and Mauritius in the past and a submarine to Myanmar.

But the corvette for Vietnam is the first time India has given a warship to a Chinese neighbour with a coast on the South China Sea, where several countries have overlapping territorial claims.

China has for years claimed sovereignty over the entire South China Se, and has been sensitive to the presence of other militaries in the region.

The Indian Navy said in a statement the transfer of the Kirpan “reflects India’s commitment to assist its like-minded partners in enhancing their capacity and capability”.

“This is the maiden occasion of gifting a fully operational corvette by India to any Friendly Foreign Country.”

The gift was announced when Vietnam’s Defence Minister Gen Phan Van Giang visited India earlier this month.

The warship was commissioned into the Indian Navy in 1991 and has been designed and produced within the country.

It is fitted with medium-range and close-range guns, chaff launchers and surface-to-surface missiles, the navy said. It did not mention if the transfer included missiles.

Chinese Defence Minister Li Shangfu said on Tuesday that Beijing is willing to work with Hanoi to strengthen high-level communication and cooperation after he met his Vietnamese counterpart.

Bangkok (AP) — A U.S. aircraft carrier and two guided missile cruisers were visiting Vietnam on Monday, a rare port call that comes as the United States and China increasingly vie for influence in Southeast Asia.

The USS Ronald Reagan, along with the guided missile cruisers USS Antietam and USS Robert Smalls, arrived in Da Nang on Sunday for the visit.

Neighboring China is Vietnam’s largest trading partner but Beijing’s sweeping maritime claims in the South China Sea have led to increasing friction with Vietnam, as well as with Malaysia, Brunei, Indonesia and the Philippines.

The U.S., meantime, has been on a diplomatic push to strengthen economic and military ties in the Indo-Pacific region.

The aircraft carrier’s port call — only the third such visit since relations were reestablished after the end of the Vietnam war — follows visits to Vietnam this year from U.S. Secretary of State Antony Blinken, U.S. Trade Representative Katherine Tai and USAID Administrator Samantha Power.

“Though aircraft carrier visits often spark media attention because of their highly visible nature, the broader question is how this will play into the development of ties, including Washington’s quest to upgrade relations,” Prashanth Parameswaran, a fellow with the Wilson Center’s Asia Program, wrote in a research note.

“An overly narrow focus on carrier visits can distract from the broader trend of the more comprehensive development of U.S.-Vietnam defense ties and relations more generally,” Parameswaran added.

Officers from the Ronald Reagan debarked Sunday and were greeted by Vietnamese officers after mooring in Da Nang, a port that was modernized and expanded by the United States during the war for its own use.

Capt. Daryle Cardone, the Ronald Reagan’s commanding officer, said some of the more than 5,000 sailors from the ship will volunteer at several community relations events, play sports with local athletes and take part in other cultural and professional exchanges during the visit through June 30.

“A few Reagan sailors call Vietnam home, but for most it will be their first time visiting,” Cardone said in a release from the U.S. Navy.

Washington sees Hanoi as a key part of its strategy for the region and has sought to leverage Vietnam’s traditional rivalry with its much larger neighbor China to expand U.S. influence in the region.

Japan, a strong U.S. ally, also made a port call in Vietnam last week with its largest destroyer, Izumo, following exercises in the South China Sea with the Reagan and other American ships.

China has also been reaching out in an effort to mend fences, sending a navy training ship to make its own port call in Da Nang a month ago as part of what it called a goodwill tour that also took it to Thailand, Brunei and the Philippines.

Vietnam’s Foreign Ministry called the Reagan’s port call part of a “normal friendly exchange for the sake of peace, stability, cooperation and development in both the region and the world.”

Vietnam needs to balance its sensitive ties with Beijing with the U.S. outreach and domestic opinion, Parameswaran said, noting that polls suggest Vietnam’s people have among the highest levels of pro-U.S. sentiment in Southeast Asia.

Based in Yokosuka, Japan, the USS Ronald Reagan is the only forward-deployed American aircraft carrier. It is due to be replaced in that role next year by the USS George Washington, also a Nimitz-class carrier.

Seoul (Reuters) – South Korean President Yoon Suk Yeol will visit France and Vietnam next week and meet with leaders from both countries, Yoon’s office said on Tuesday.

Yoon will hold a summit with French President Emmanuel Macron during his trip to Paris between June 20 and 21, Yoon’s deputy national security adviser, Kim Tae-hyo, said.

He will also attend a meeting of the Bureau International Expositions (BIE), the organiser for the Expo 2030.

The visit is aimed at promoting South Korea’s bid to host the expo. The host country for the 2030 Expo is expected to be selected in November.

Yoon will also pay a state visit to Vietnam on June 22 at the invitation of Vo Van Thuong, the country’s president.

The South Korean president will be accompanied by a 205-strong business delegation on his state visit to Vietnam, according to news agency Yonhap.

“There was a substantial breakthrough with the granting of clemency, just yesterday … Australia very much welcomes this,” Albanese told ABC television on Monday.

“We make representations on behalf of Australian citizens. And we are very pleased that Vietnam has agreed to the request, and we thank them for it,” the prime minister said.

He said he would not reveal the names of the people who were granted clemency as they had requested privacy. Their families have been informed about the decision.

Albanese had travelled to Vietnam over the weekend, where he met his counterpart Pham Minh Chinh, and said the visit provided “an impetus for this outcome”.

Australia has also made representations on behalf of 73-year-old Chau Van Kham, a Vietnamese-Australian man sentenced in 2019 to 12 years in prison by a Vietnam court that had found him guilty of “terrorism” charges.

“That’s a different case. We were after an international prisoner transfer, and we’re hopeful in that case. But we’ll continue to work on those issues,” Albanese said.