WASHINGTON - U.S. President Joe Biden's bid to draw Vietnam closer as a strategic ally will clash head-on with his desire for union workers' votes on Wednesday as the Commerce Department hears testimony on whether to designate Vietnam as a "market economy".
During Biden's visit to Hanoi last year, the two countries elevated ties to a "comprehensive strategic partnership", lifting Washington's diplomatic status in Vietnam to match China and Russia. These include the extent to which the country's currency is convertible; its wage rates are a result of free bargaining between labor and management, and permission for joint ventures or other foreign investment.
Upgrading Vietnam's status also faces significant opposition in Congress, with eight U.S. senators and 31 members of the House of Representatives making similar arguments to Commerce Secretary Gina Raimondo.