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10-03-02
The Vietnam-U.S. Normalization Process
SUMMARY
U.S.-Vietnam diplomatic and economic
relations remained essentially frozen for more
than a decade after the 1975 communist vic-
tory in South Vietnam. Washington and
Hanoi have incrementally normalized rela-
tions over the past decade. The pace has been
relatively slow due to continued debate in the
United States and Vietnam over improved
relations. Congress has played a significant
role in the normalization process.
Bilateral relations took a major step
forward in February 1994, when President
Clinton ordered an end to the 19-year old U.S.
trade embargo on Vietnam. The following
year, the United States and Vietnam settled
diplomatic and private property claims and
opened liaison offices in Washington and
Hanoi. In April 1997, a U.S. Ambassador was
approved by the Senate and took up his post in
Hanoi. In March 1998, President Clinton
granted a waiver from the Jackson-Vanik
amendment that smoothed the way for Over-
seas Private Investment Corporation (OPIC)
and Export-Import Bank support for U.S.
business in Vietnam.
On July 13, 2000, the U.S. and Vietnam
continued their normalization by signing a
sweeping bilateral trade agreement (BTA),
which was approved by Congress and signed
by President Bush in 2001. Vietnam ratified
the agreement shortly thereafter. Under the
BTA, the U.S. extended normal trade relationsto Vietnam. In return, Hanoi agreed to a range
of trade liberalization measures and market-
oriented reforms.
Each step in improving bilateral ties has
brought controversy, albeit at diminishing
levels. U.S. opponents in Congress and else-
where have argued that Vietnam maintains a
poor record on human, religious, and labor
rights. Opposition has also come from groups
arguing that Vietnam has not done enough to
account for U.S. Prisoners of War/Missing in
Action (POW/MIAs) from the Vietnam War,
though this argument has diminished
markedly in recent years.
Forces favoring normalization have
included those in Congress and elsewhere
reflecting a strong U.S. business interest in
Vietnam's reforming economy and American
strategic interests in working with U.S. friends
and allies to promote stability and develop-
ment by integrating Vietnam more fully into
the existing East Asian order.
Within Vietnam, divisions over the
course of the country's reforms have para-
lyzed Vietnamese leaders in recent years.
Reformers in the Vietnamese government seek
closer ties with the U.S., especially in eco-
nomic relations. However, conservatives have
resisted foreign influences that might
undermine the Vietnamese Communist Party's
monopoly of political power.Congressional Research Service 4+ The Library of Congress `' CRS
IB98033
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Manyin, Mark E. The Vietnam-U.S. Normalization Process, report, October 3, 2002; Washington D.C.. (https://digital.library.unt.edu/ark:/67531/metacrs3053/m1/3/: accessed July 17, 2024), University of North Texas Libraries, UNT Digital Library, https://digital.library.unt.edu; crediting UNT Libraries Government Documents Department.