Vietnam Strengthens U.S. Energy Ties Amid Trade Balancing Efforts

Vietnam has taken significant steps to deepen its energy cooperation with the United States as part of broader efforts to address trade imbalances and secure long-term energy security. During the visit of Minister of Industry and Trade Nguyễn Hồng Diên to Washington, multiple agreements were signed between Vietnamese and American energy firms, spanning liquefied natural gas (LNG), biofuels, and power generation. PetroVietnam Gas Corporation (PV GAS) formalized memoranda of understanding (MOUs) with highly-regarded U.S. companies for long-term LNG procurement, reinforcing Vietnam’s strategy to diversify its energy mix. Additionally, state-owned enterprise Bình Sơn Refining and Petrochemical (BSR) entered into an agreement with U.S. engineering firms for consultancy on a pre-feasibility study for sustainable aviation fuel (SAF), marking a step toward advancing Vietnam’s energy transition. 

Further bolstering bilateral energy collaboration, PetroVietnam Power (PVPower) signed an MOU with U.S. developers to enhance gas-fired power plants. This agreement aligns with Vietnam’s push for modernized and efficient energy infrastructure. In parallel, Petrolimex secured MOUs with major U.S. ethanol associations—USGC, RFA, and Growth Energy—to promote bilateral biofuel trade. Back in Hanoi, Prime Minister Phạm Minh Chính’s discussions with U.S. Ambassador Marc Knapper indicated Vietnam’s openness to revising import tariffs on key U.S. goods, including LNG, agricultural products, and advanced technology. As both countries continue to engage in trade and investment discussions, these agreements lay the foundation for a strengthened U.S.-Vietnam energy partnership, fostering long-term economic and geopolitical stability in the Indo-Pacific region.