ABSTRACT

Vietnam naval modernization only came to broad public attention and scrutiny when the news of a deal to build six Kilo-class submarines for Vietnam was leaked and reported by a Russian newspaper in April 2009. The deal, reportedly worth $1.8 billion, seemed oversized compared to Vietnam’s modest $91 billion GDP and defence budget of only $3.6 billion.1 Observers saw it as Vietnam’s hasty reaction out of fear of the heightened tension in the South China Sea and the military modernization going on in Asia, with some analysts suggesting the deal might further increase the tensions and trigger a new arms race in the region.2 While it was hard to believe such sophisticated and expensive military hardware was acquired without any connection to the security context of the region, a better understanding of the nature and causes of Vietnam’s naval modernization may be gained through a review of its development and defence strategies, in particular the marine strategy adopted since 2007.