In order to further pressure China to lower its interest rates and be more receptive to US business interests, the US is currently conducting negotiations with Vietnam to allow them to purchase nuclear materials. These talks were leaked to the media last week. This new move is clearly a new manoeuvre in undermining Chinese influence in Asia.
Wall Street Journal published an article on August 3rd saying that Washington was in “advanced negotiations” with Hanoi to sell nuclear fuel and technology. This deal would enable Vietnam to enrich its own uranium to produce fuel for its power reactors. But it would have to be monitored by the International Atomic Energy Agency.
It’s interesting to note how the Obama Administration has been publically adamant about nuclear non-proliferation with Iran, while now working deals to sell nuclear technology to Vietnam. More proof positive that the US government has a double standard character when it comes to foreign policy.
This new move is also an insult to the Chinese government. This nuclear deal comes after China already signed a nuclear deal with Vietnam last July. This slight to the pride of the Chinese government will not go unpunished. We’ll have to wait and see how Beijing will retaliate to this.
Vietnam’s rapid economic expansion has left it show of the necessary energy. The Vietnamese government is planning 13 nuclear stations that will generate 16,000 megawatts. US, Russian, Japanese, Chinese and French corporations are trying to get their foot in the door for contracts. Russia’s Rosatom Corp has already been contracted to build the first one. US corporations are no doubt dying to get a shot at building a few.
However this new nuclear will certainly heighten tensions with China and open the door for retaliatory measures.