Vietnam PM sees US as crucial trade partner

HANOI, Sunday (Reuters) - Vietnam aims to boost multi-faceted ties with the United States, especially in trade, Prime Minister Phan Van Khai said on Sunday as he left on a pathbreaking visit to Washington.

Khai is the first leader of the communist nation to visit the United States since the end of the Vietnam War, affirming the blossoming relationship between the two former war foes.

Khai's trip coincides with the 10th anniversary of the normalisation of diplomatic ties frozen after the end of "The American War", as it is known to Vietnamese.

"In the 10 years we have progressed a long way to create a foundation to enhance the relation into a new phase, a new height, a friendly relationship, a constructive partnership, a comprenhensive cooperation for long-term stability for the benefit of both sides," Khai told Reuters before boarding a Boeing-777 for Washington.

The 72-year-old Soviet-educated economist appeared keen to promote business and trade with America."The United States is a very important trade parter for Vietnam," Khai said, adding he would ring the opening bell at the New York Stock Exchange and visit U.S. firms such as Microsoft and Boeing.

Vietnam is also expected to sign a contract to buy four Boeing 787 "Dreamliner" planes, worth around $500 million, during the Prime Minister's June 19-21 visit, officials said.Since restoring diplomatic links, two-way trade has rocketed from just $451 million in 1995 to $6.4 billion in 2004.

Following a bilateral trade pact in 2001, the United States has emerged as Vietnam's most crucial commercial partner.

Vietnam's Trade Ministry says it expects $6.2 billion of exports to the United States in 2005, most of it clothing, fish, shrimps, furniture and coffee.

Hanoi also wanted to use the visit to accelerate negotiations with the United States for its membership to the World Trade Organisation by the end of the year.

"WTO is also an issue we pay much attention to during this visit...Vietnam's membership to the WTO is beneficial to both Vietnam and the United States, it will help create opportunities for U.S. companies to do business better in Vietnam," Khai said.