Vietnam and Italy see eye to eye on the importance of maintaining the rules-based order and the mandatory of upholding strategic autonomy in international relations. Nevertheless, the regional and global uncertainties, such as the growing assertiveness of a more powerful China, transactional diplomacy of the United States under Trump 2.0, the volatility of multilateralism, and the emergence of the Cold Peace worldwide, have limited their maneuvering space. As Italy has sought to forge its engagement with the Indo-Pacific while Vietnam is keen to diversify its relations, how could these traditional and rising middle powers bolster ties amid geopolitical challenges? The author delves into “the good and the bad” of Vietnam-Italy relations and argues that to enhance bilateral ties and hedge against uncertainties, the two partners should put “understanding, pragmatism, and niche” at the locus of their statecraft.

 

Introduction

As the international order is undergoing economic fragmentation and rising instability, middle-power alignment has become essential for mitigating great-power rivalry and solving global issues. The role of middle powers and their agency has attracted attention amid global uncertainties, including China’s growing assertiveness, America’s shift toward transactional hegemony under the Trump administration, the volatility of multilateral institutions, and the advent of the “Cold Peace”. Typically, middle powers are those lacking the capabilities of great powers but possessing sufficient resources and motivation to shape regional dynamics and contribute to global governance through concerted efforts with like-minded states.

Italy and Vietnam fit well within this framing, but with nuanced differences. Italy, founding member of the European Union (EU) and member of the Group of Seven (G7), is a traditional but shrinking middle power. The country is experiencing a relative decline in global influence, encountering the dilemma of sharpening strategic objectives while recognizing the limits of its capabilities. The Giorgia Meloni administration, which took office in October 2022, has attempted to broaden Italian foreign policy “beyond its traditional Atlantic, European, and Mediterranean perimeters”. Yet, as Lorenzo Termine and Gabriele Natalizia note, “Italy has yet to formalize a national security strategy defining its interests, objectives, resources, threats, and defense capabilities”.^[1] This delayed response to evolving geopolitical dynamics casts doubt on Italy’s aspirations and its self-positioning.

Vietnam, by contrast, is an emerging but still “incomplete middle power”.^[2] With rapid economic growth and diplomatic adeptness “in an era of geopolitical turbulence”^[3], Vietnam has been seeking international recognition of its rising status. From a war-torn nation to a rising player in the Indo-Pacific region, the country is striving to foster ties with partner countries based on its long-standing foreign policy motto “diversification and multilateralization” of international relations. As Hanoi’s foreign policy principles are peaceful and cooperation-driven, Italy should strengthen bilateral ties to help Vietnam enhance its middle-power status, fortify strategic ties, and reinforce collaborative actions to uphold the rules-based international order. In return, Vietnam could serve as a crucial bridge, fostering Italy’s engagement with the Association of Southeast Asian Nations (ASEAN).

This article studies the growing importance of the Vietnam-Italy relationship, which remains underexplored, under the lens of middle-power collaboration, focusing on “the good and the bad” of their bilateral ties. By adopting niche diplomacy, the two countries could hedge against geopolitical divides and their knock-on effects. I argue that to enhance diplomatic, economic, and defense ties, Vietnam and Italy should prioritize “understanding, pragmatism, and niche” – key to advancing shared interests and creating collective influence.

 

“The Good” and “The Bad” in Vietnam-Italy Relations

The Vietnam-Italy relationship has developed through four phases. The first kicked off after Vietnam gained independence in 1945, with formal diplomatic ties being established on March 23, 1973. The second emerged together with Vietnam’s “Doi Moi” (Renovation) policy in 1986, a turning point that nudged the country toward economic-driven policies and international economic integration. The third stage arrived in 2013, marked by the establishment of a “strategic partnership” that lifted bilateral relations to a more ambitious level. The current phase, starting in 2023 after a decade of that partnership, reflects an enduring bond of the relationship in the context of new geopolitical challenges. In the words of Antonio Alessandro, former Italian Ambassador to Vietnam, the fourth period is characterized by cooperation in “high technology, creative industries, design, architecture, and lifestyle”.^[4]

Diplomatic Ties

Since 1990s, political ties between Vietnam and Italy have experienced steady growth, and Vietnam has become a key partner in Italy’s “new focus on the Indo-Pacific”.^[5] The 2023 “Joint Statement on Strengthening the Strategic Partnership” further highlights the strategic weight of the Vietnam-Italy partnership.^[6] In the document, both sides appreciated “the importance of bilateral cooperation” amid complex, volatile, and unstable developments regionally and globally. This mutual recognition of a capricious world provides a sturdy platform for strengthening strategic ties and navigating common challenges.

Moreover, the joint statement underscored both sides’ dedication to “continuing cooperation in traditional fields and expanding into new areas such as digital transformation, green growth, and climate change response”.^[7] This proactive stance reveals how the two partners understand that, in the 21st century, the sway of middle powers will hinge more on pioneering collective leadership in new fields than on conventional measures of strength, such as military might or economic scale. Bilateral cooperation mechanisms, such as joint committees and political consultations, provide steady frameworks for dialogue that help the partnership to move forward despite changes in leadership.

Yet, both countries contend with built-in constraints that hinder their ability to fully advance the relationship. For Italy, the challenge stems from juggling a strategic focus amid a tangle of priorities—including the Mediterranean, Europe, Transatlantic partnerships, and, more recently, the Indo-Pacific. As a traditional yet declining middle power, Italy must carefully allocate its diplomatic resources, making steady engagement with far-off partners like Vietnam a tough task over time. The absence of a comprehensive national security strategy compounds this problem, as Italy lacks clear parameters for weighing and prioritizing its commitments.^[8]

For Vietnam, the challenge is different but equally constraining. As an emerging middle power still working to solidify its international identity, Vietnam must balance numerous bilateral relationships while navigating great-power rivalry, particularly the one between the United States and China. The country’s deep-rooted commitment to self-reliance and strategic autonomy as well as its careful tread of maintaining flexibility via the “bamboo diplomacy”, can sometimes put a ceiling on how close it gets to other partners. On top of that, Vietnam’s diplomatic corps, though growing more skilled, still wrestle with gaps in language capabilities and specialized expertise required for building stronger bridge with Italy.

An inherent manifestation of these constraints is the limited number of sister-city affiliations between Italy and Vietnam. At present, only three such partnerships exist: Livorno and Hai Phong, Palermo and Hanoi, and Prato and Nam Dinh.^[9] This tiny number suggests unexplored potential for sub-national diplomacy that could complement national-level relations.

Economic Collaboration

In the economic realm, the bilateral relationship has experienced significant progress. Vietnam is Italy’s largest trading partner within ASEAN, with bilateral trade turnover totaling USD 6.9 billion in 2024.^[10] In return, Italy is Vietnam’s third-largest trading partner within the EU, following the Netherlands and Germany^[11], demonstrating the economic interdependence within the two countries’ broader trade portfolios. Italy currently occupies the 33rd position among 143 countries and territories directly investing in Vietnam.^[12]

Vietnam is Asia’s attractive rising market thanks to its rapid economic growth and the rapid rise of the middle class^[13], creating new opportunities for Italian businesses particularly in sectors like luxury goods, design, food processing, beverages, and high-end manufacturing where Italian companies excel.^[14] In October 2023, Maria Tripodi, Italian Undersecretary of State for Foreign Affairs and International Cooperation, hailed Vietnam as a “bright spot” in economic growth.^[15] For Vietnam, Italy serves as a gateway to cutting-edge technology and machinery. Economic relations have become more solid, with both nations establishing economic mechanisms such as the Joint Committee for Economic Cooperation to enhance dialogues and strategies to foster trade and investment ties. The implementation of the EU-Vietnam Free Trade Agreement (EVFTA), which entered into force in August 2020, has further strengthened bilateral trade ties. Now Vietnam’s “aquatic products, fruits and vegetables, footwear, apparel, wood, and wooden furniture” have become key exports to the EU, and Italy is among Vietnam’s major importers in the European market.^[16]

A significant step in connectivity is set to occur in 2025, when Vietnam Airlines becomes “the first and only airline in Vietnam” to launch nonstop flights to Italy. Starting July 1, 2025, three weekly flights (on Tuesdays, Fridays, and Saturdays) will link Hanoi and Milan. This direct route is anticipated to foster business exchanges, tourism, and people-to-people ties, creating new momentum for economic engagement between the two nations.^[17]

Nevertheless, economic ties between Vietnam and Italy remain underdeveloped. Italian investment in Vietnam is somewhat constrained, especially considering the weight of Italy’s economy. Initially, European companies, including those from Italy, are mostly wary of Vietnam’s legal system, perceiving it as ambiguous and opaque.^[18] Whether that view holds up entirely or not, it spooks potential investors who worry about shaky regulations, weak intellectual property safeguards, and unsteady ways to settle disputes. Moreover, the structure of Italy’s economy obstructs its overseas enlargement. Most Italian firms are small or medium-sized (SMEs), and they do not have a tradition of investing abroad and often lack resources, risk tolerance, and global expertise necessary for venturing into remote markets like Vietnam. On top of that, Italian businesses are far from understanding much about Southeast Asian culture in general and Vietnam in particular, rendering them less willing to invested in this region. This “knowledge gap” has been due to the hurdle of people-to-people ties, language barriers, and the absence of strong business networks linking the two economies.^[19] A relatively narrow focus on traditional sectors, with limited exploration of potential areas like green energy, digital transformation, and sustainable infrastructure also hinders the full realization of joint efforts.

Security and Defense Cooperation

Security and defense cooperation has become an important pillar of the relationship. The 2013 Memorandum of Understanding on defense cooperation facilitated a framework that has led to defense policy dialogues at the vice-ministerial level, creating a regular channel for strategic communication on security issues and a venue for sharing experiences in UN peacekeeping operations.^[20] Both sides also agreed to step up collaboration in multilateral fora and exchanges in global affairs. At the fourth edition of the Defense and Policy Dialogue held in Rome in July 2023, Italian and Vietnamese officials underscored the value of deepening defense ties to secure mutual gains and address a “complex geo-strategic situation” in the aftermath of the Russia-Ukraine war.^[21] More concretely, Vietnam purchased warships from Italy in 2019^[22], signifying the diversification of Vietnam’s defense procurement and demonstrating its willingness to cooperate in sensitive areas of national security.

The enhanced strategic partnership has also extended to concrete military-to-military contact. In May 2023, the Italian Navy’s patrol vessel ITS Francesco Morosini docked at Nha Rong Harbor in Ho Chi Minh City for a port call from May 9 to 12.^[23] This visit demonstrates the strengthened defense bonds between the Italian and Vietnamese navies. Looking forward, Vietnam “will positively consider receiving Italian Navy’s vessels’ port calls”, according to the 2023 Joint Statement^[24], indicating an openness to expanded naval diplomacy. Vietnam’s willingness to embrace port calls comes at a critical juncture when it has sought to strengthen defense ties with like-minded partners, making Italy among those trusted ones.

Notably, the two countries find common ground on solving regional security concerns, particularly maritime disputes. In their Joint Statement, Vietnam and Italy underlined the importance of safeguarding peace, security, stability, and the freedoms of navigation and overflight in the South China Sea while committing to uphold the United Nations Convention on the Law of the Sea 1982 (UNCLOS). This mutual perception on resolving maritime disputes through legal principles signals a “strategic convergence”, given Italy’s important role in the G7 and Vietnam’s position as a claimant in the South China Sea.

Though defense cooperation has made encouraging strides, it still lags in both scale and substance when set against the partnerships each country maintains elsewhere. Several obstacles stand in the way of deeper progress in this area. For one, the sheer distance between Vietnam and Italy throws up real barriers to steady military-to-military contact, cutting down chances for joint drills, training sessions, or other hands-on collaboration. Unlike defense ties they hold with neighboring countries, Vietnam and Italy must overcome logistical hurdles in order to maintain regular contact. Divergence on security priorities also prevent profound ties. Italy remains focused on keeping the Mediterranean stable, holding Europe together, and strengthening Transatlantic solidarity. For its part, Vietnam harbors security focus on territorial integrity, maritime stability, and strategic autonomy. While there is some common ground—especially on maritime security and respect for international law—but the unique regional dynamics each faces inevitably tug their priorities in different directions. Then there is the matter of political sensitivities, particularly in Vietnam, where wariness about security and defense ties with Western powers sets a brake on how fast and how openly defense cooperation can grow. While broadening its defense outreach in recent years, Hanoi still treads prudently, balancing its web of partnerships while sticking to its consistent foreign policy of “self-reliance, self-confidence, self-strengthening and national pride”._[25]

 

The Future: Opportunities for Enhanced Cooperation

Despite some hindrances, the Vietnam-Italy relationship holds substantial promise for future collaboration.

Diplomatic Initiatives

As middle powers characterized by both activism and determination to chart an own course through adept statecraft, Vietnam and Italy should adopt “niche diplomacy”, a foreign-policy approach that focuses on specific domains where they can make tangible contributions in line with their resources and capabilities as well as “[generating] returns best having”.^[26] Language and cultural exchanges are embryonic yet possess significant promise for future investment. The 2023 Joint Statement underlined the weight of this avenue, advocating for “[training] human resources who are fluent in the languages and understand the cultures of the two countries, so that they can become important bridges in promoting bilateral relations in general and economic cooperation in particular”.^[27] Through investment in language training, cultural exchanges, and educational ties, Vietnam and Italy could cultivate proficient professionals who would facilitate the enhancement of bilateral relations.

Another potential niche pertains to the designation of “thematic ambassadors”^[28] who would function as “role-playing actors” in nascent domains of mutual interests. Designating thematic ambassadors with experience in priority areas will demonstrate a genuine commitment while introducing specialized knowledge to the partnership. These specialized envoys should work on areas of compelling mutual interest such as creative industries, climate action, sustainable tourism, digital transformation, cultural heritage preservation, and maritime security cooperation, thereby directing focused attention and expertise to specific facets of the strategic relationship rather than striving to advance all priorities concurrently.

To foster intertwined ties, both countries should shore up institutional linkages between think tanks, universities, and research centers to add additional channels for exchange and dialogue beyond government-to-government conduit. These “track two” channels could generate innovative ideas utilized for constructing the intellectual and social capital necessary for long-term engagement. In addition, regular dialogues regarding specific thematic areas, such as climate coordination, educational exchange, or cultural diplomacy, could help maintain momentum in the relationship while ensuring focused attention on priority issues. In the forthcoming time, both sides should consider expanding sister-city relationships, perhaps by matching Vietnam’s major urban centers with Italian counterparts, focusing on cultural, technological and commercial areas.

Economic Cooperation

To address current confines and unleash economic potential, governments from both sides should consider following recommendations:

(1) Launching business matchmaking programs, including trade missions, digital platforms for B2B interactions, and initiatives to familiarize Italian SMEs with Vietnamese partners. These B2B matching programs may help address the knowledge gap currently hindering Italian business engagement with Vietnam.

(2) Taking advantage of the new direct flight route between Hanoi and Milan is another strategic move. Following the commencement of Vietnam Airlines’ tri-weekly flights in July 2025, both governments should approve additional measures to utilize the logistic benefits of this improved connectivity. The initiative could take in tourism promotion campaigns, business forums aligned with flight schedules and streamlined visa processes for business travelers.

(3) Joining hands to address climate change. Italy can draw on its experience when collaborating with European partners towards global climate initiatives to provide Vietnam with expertise in developing climate adaptation strategies, particularly given Vietnam’s heightened susceptibility to climate change impacts.

(4) Adopting coordinated actions in green energy is acute, particularly given Vietnam’s commitment to achieve net-zero emissions by 2050^[29] and Italy’s leadership in renewable energy technologies.^[30] Taking advantage of its experience working with European counterparts on climate change projects, Italy should support Vietnam’s transition toward a low-carbon economy by means of technology transfer, hands-on experience, and capacity building.

Security and Defense Cooperation

Both sides could strengthen security and defense collaboration through several policies. First, Italy can expand its naval diplomacy by increasing the frequency of naval port calls to Vietnam. The increased presence of such port visits can enhance diplomatic engagements while bolstering mutual trust and heralding a collective resolve to safeguard maritime stability. Second, Italy can help Vietnam with human resources training through providing scholarships for Vietnamese officials to enroll in Italian military academies. Third, promoting collaboration in cybersecurity is essential. Italy and Vietnam are experiencing cyberattacks targeting critical infrastructure and governmental functions, rendering it crucial to join hands to tackle this issue.

 

Conclusion

The Vietnam-Italy relationship, while gaining positive attributes, has yet to reach its full potential. Hence, both countries should adopt an approach centered on “understanding, pragmatism, and niche” cooperation to overcome existing confines while fostering areas of complementary strengths. Understanding serves as the cornerstone of bilateral ties, as the more the two countries understand each other, the better they can enhance ties. To drive the partnership towards effective engagement, both sides had better invest in knowledge production, language training, cultural exchange, and people-to-people ties. Pragmatism should guide expectations and strategies. Anticipating rapid achievements is impractical, as efforts needs time to yield fruitful results. A strategy that devotes resources to attainable and incremental goals is likely to be more effective than one harboring on all-in collaboration. Niche areas of collaboration should resolve around promising fields, such as language training, climate change adaptation, port calls, and high-tech collaboration. By going forward with these niches, Vietnam and Italy can achieve tangible benefits despite limited resources.

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^[1] Termine, L., Natalizia, G. (2024) “Italy’s Middle Power Dilemma”, The National Interest, 24 August, available online.

^[2] Vu Thi Thu, N. (2024) “Vietnam’s Incomplete Middle-Power Identity: The Complexity of the ‘Self’ and ‘Other’”, International Area Studies Review, 27(2), 122-140.

^[3] Tran, P. H. (2025) Vietnam’s high-stakes economic pivot, East Asia Forum, 12 February, available online.

^[4] Embassy of Vietnam in Italy (2023) “Việt Nam và Italy đang bước vào giai đoạn mới trong quan hệ hai nước” [Vietnam and Italy are embarking on a new phase in their bilateral ties], VOV, 15 September, available online.

^[5] Pezzati, A. (2023) “Italy and Vietnam Mark 50 Years of Diplomatic Relations”, The Diplomat, 21 December, available online.

^[6] Vietnam News Agency (2023) “Vietnam, Italy issue joint statement”, 27 July, available online.

^[7] Ibidem.

^[8] Gabusi, G., Caffarena, A. (2024) “Changing and yet the same? Italy’s foreign policy ideas and National Role Conceptions in a populist age”, Contemporary Italian Politics, 1-22.

^[9] In 2015, Ho Chi Minh City and Turin City signed an Amity and Cooperation Pact to “maintain regular leadership-level dialogue and create optimal conditions for exchanging information and experiences”.

VOV (2015) “Mở rộng hợp tác giữa hai thành phố lớn của Việt Nam và Italy” [Expanding cooperation between two major cities of Vietnam and Italy], 10 September, available online.

^[10] Vietnam News Agency (2025) “Vietnam – bright spot in Italy’s Asia strategy”, 15 March, available online.

^[11] Vietnam News Agency (2024) “Vietnam, Italy aim to leverage strengths in agriculture”, 3 February, available online.

^[12] Nhan Dan Online (2023b) “Vietnamese, Italian Presidents agree on major measures to enhance strategic partnership”, 26 July, available online.

^[13] Sharma, A. (2024) “Understanding Vietnam’s Middle Class: Size, Spending Patterns, and Opportunities for Businesses”, Vietnam Briefing, 5 July, available online.

^[14] Phương, U. (2025) “Find out about effective Italian packaging solutions”, Vietnam News, 5 March, available online.

^[15] Nhan Dan Online. (2023a) “Vietnam-Italy economic, commercial cooperation strengthened”, 19 October, available online.

^[16] Vu, N. H. (2024) “EU-Vietnam Free Trade Agreement: Key Provisions and Implications for FDI”, Vietnam Briefing, 9 August, available online.

^[17] Vietnam Airlines (2024) “Vietnam Airlines to launch nonstop service to Milan”, 18 September, available online.

^[18] Hàn Tín (2024) “Nỗi lòng của doanh nghiệp về “điểm nghẽn thể chế”” [Enterprises’ concerns about “institutional bottlenecks], VCCI, 25 November, available online.

^[19] D’Ercole, M. (2023) “Facilitating two-way business between Vietnam and Italy”, Vietnam Investment Review, 12 June, available online.

^[20] Nguyen, R. (2023) “Vietnam And Italy Promote Strategic Partnership”, Vietnam Times, 24 July, available online.

^[21] Decode 39 (2023) “Italy eyes Vietnam, Indo-Pacific region’s strategic value”, Formiche 4 July, available online.

^[22] Nguyen, H. H. (2022) “Vietnam’s Growing Strategic Partnerships with European Countries”, The Diplomat, 30 May, available online.

^[23] Phuong, T. (2023) “Italian navy vessel with advanced technologies makes port call in Ho Chi Minh City”, Tuoi Tre News, 11 May, available online.

^[24] Vietnam News Agency (2023) “Vietnam, Italy issue joint statement”, 27 July, available online.

^[25] Nhan Dan Online (2024) “Vietnam enters a new era with spirit of independence and aspiration for self-reliance”, 2 September, available online.

^[26] Evans, G. (2011) “Middle Power Diplomacy”, 29 June, available online.

^[27] Vietnam News Agency (2023) “Vietnam, Italy issue joint statement”, 27 July, available online.

^[28] Bennis, A. (2020) “Middle Power Diplomacy: From State to Thematic Diplomacy”, Global Policy, 6 April, available online.

^[29] Thọ, N. D. (2024) “Việt Nam’s net zero commitment: A call to action for a sustainable future”, Vietnam News, 31 May, available online.

^[30] We Link (2024) “How renewable energy is changing the landscape in Italy: WElink’s contribution to Italy’s clean energy transition”, 11 October, available online.

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• Indo-Pacific outlooks: implications for the EU-ASEAN relationship and Italy’s role in Southeast Asia