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Macron meets Vietnam leaders on Monday in first visit to
Hanoi
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State visit comes amid growing trade tensions with
Washington
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Progress possible on Airbus planes, satellite, sources say
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Europeans worry Hanoi's flagged Boeing ( BA ) deals may impact
Airbus
By Francesco Guarascio and Phuong Nguyen
HANOI, May 26 (Reuters) - France and Vietnam are set to
sign dozens of deals on Monday when French President Emmanuel
Macron meets Vietnamese leaders in Hanoi as he seeks to increase
France's influence in the former colony, which faces threats of
high U.S. tariffs.
In his first formal visit to the country, and the first for
a French president in nearly a decade, Macron will be
accompanied by more than a dozen business executives, said an
official with knowledge of the matter, and is expected to
oversee the signing of possibly 30 agreements while trying to
boost cooperation in multiple sectors, including aviation,
nuclear energy, railways, renewables, research, satellites and
defence.
Macron's long-planned trip to Vietnam, the first leg of a
larger Southeast Asian tour including Indonesia and Singapore,
comes on the heels of U.S. President Donald Trump's threats on
Friday to impose 50% duties on EU goods from June, critically
escalating trade tensions with the 27-country bloc.
As export-dependent Vietnam is also under pressure from
Washington to buy more American goods to avoid 46% duties,
European officials before Macron's visit have told the country
to be careful in its concessions to the White House, two
officials based in Vietnam with knowledge of the discussions
told Reuters.
In talks with the United States, "Vietnam should make sure
not to make decisions at the expense of European interests," one
of the officials said, noting Vietnamese leaders had been told
this could jeopardise close relations with the EU, which has a
free trade deal with Vietnam and is a major buyer of its goods.
It is not clear whether Macron will emphasise that message
on Monday as that may depend on the deals France will strike.
AIRBUS
There could be progress on a deal between Vietnam's low-cost
airline VietJet and European planemaker Airbus
, two sources familiar with the discussions said. That
would follow a provisional agreement signed last year for the
delivery of 20 A330neo wide-body airliners.
"We don't comment on discussions we may or may not be having
with airlines," an Airbus spokesperson said.
Macron's Elysee presidential office had previously confirmed
dozens of deals were expected, but did not respond to a request
for comment on planes and Macron's messaging about U.S.
concessions.
Vietnam's foreign ministry and VietJet did not reply to
requests for comment.
Talks on satellites, including from Airbus, are also at an
advanced stage, officials have said.
Vietnam, whose economy is heavily dependent on exports to
the U.S., has made multiple pledges in trade talks with
Washington to avoid tariffs that could undermine its growth
model.
One frequently flagged offer has been the possible purchase
of at least 250 Boeing ( BA ) planes by flag carrier Vietnam
Airlines and rival VietJet, which Vietnamese and U.S.
officials have said would help reduce the country's huge trade
surplus with the U.S. and possibly appease Trump.
European officials are worried Airbus may lose out
from these possible deals, said three sources with knowledge of
the concerns.
The planemaker is the main supplier of jets to Vietnam, with
its aircraft making up 86% of the planes currently operated by
Vietnamese airlines, according to data from Cirium, an aviation
analytics company.