Canada strengthens Vietnam ties in strategic push for Asia energy and minerals

OTTAWA – Canada is intensifying its trade diversification strategy across Asia, positioning itself as an “energy superpower” capable of meeting the region's surging demand for resources, government officials said.

As the world’s fifth-largest producer of natural gas, Canada reached a milestone last June with its first shipment of liquefied natural gas (LNG) to Asia. Ottawa is currently overseeing five additional LNG projects in development, specifically targeting markets like India, where energy demand is projected to grow 70% by 2040.

Beyond fossil fuels, Canada is marketing nuclear technology to Southeast Asian nations. The government is promoting small modular reactors (SMRs) as a clean energy solution for the Philippines and Indonesia.

Japan remains a priority partner for the supply of critical minerals. Meanwhile, Canada maintains its trade relationship with China—its second-largest trading partner—and recently reached agreements to reduce taxes on agricultural exports.

Under its broader Indo-Pacific strategy, Canada is pushing to finalize a free trade agreement with ASEAN. Officials identified Vietnam, which holds the chair of the CPTPP this year, as a crucial partner for discussions on strengthening the regional trade pact.

Canada’s intensifying engagement in Asia represents a classic middle-power hedge, designed to dilute its structural dependence on the U.S. market and rebrand Ottawa as a reliable anchor in an era of geopolitical volatility. By framing itself as a "stable, rules-based partner," Canada is drawing a sharp, if implicit, contrast with the increasingly protectionist and unpredictable trade postures adopted by both Washington and Beijing.

Ottawa’s Indo-Pacific strategy is governed by a clear-eyed pragmatism. While the government is doubling down on security and diplomatic ties with traditional U.S. allies like Japan and the ASEAN bloc, it continues to maintain functional trade channels with China—most notably in the agricultural sector. This is not a foreign policy dictated by ideology, but rather one driven by hard economic interests and the imperative of supply-chain resilience.

For Vietnam, Canada’s strategic pivot offers significant tailwinds. As a key player within the CPTPP, Hanoi sits at the nexus of discussions regarding the expansion and enforcement of the trade bloc's high-standard rules. This central positioning allows Vietnam to elevate its diplomatic profile while diversifying its trade and investment inflows, effectively insulating its economy from over-reliance on any single major power.

Furthermore, Canada’s designation of ASEAN as the "cornerstone" of its regional architecture reinforces Vietnam’s growing importance as a strategic gateway. The prospect of deepened cooperation in energy—specifically Liquefied Natural Gas (LNG)—aligns directly with Hanoi’s urgent need to bolster energy security as it manages its transition toward a more industrialized, lower-carbon economy. For both nations, the partnership represents a mutual move toward strategic autonomy in a fractured global order.

Strengthening trade and investment ties between Canada and the ASEAN region—particularly Vietnam—presents a wealth of long-term business opportunities for the diaspora. This economic shift allows our community to move beyond traditional sectors like the nail salon industry and phở restaurants into high-growth areas such as tech, investment consulting, and import-export. While remittances and visa categories like the F2B remain vital for family stability, the rise of H-1B and EB-5 opportunities reflects a community increasingly focused on global commerce. From the small businesses of Little Saigon to multinational consulting firms, the Vietnamese diaspora is uniquely positioned to act as a strategic bridge for cross-border investment and innovation.