The U.S. has lifted its 19 year old trade embargo against Viet Nam, explaining that better relations will help resolve the fate of missing American servicemen in Indochina.
Mobil Corp. is the only U.S. operator taking part in the oil exploration play off Viet Nam. Late last year it acquired an interest in exploration and appraisal rights to the Blue Dragon prospect, 400 km southeast of Ho Chi Minh City (OGJ, Dec. 27, 1993, p. 35).
The Clinton administration will not establish full diplomatic relations with Viet Nam at this time. It also did not grant Viet Nam most favored nation trade status and thus lower tariffs.
President Clinton said before the U.S. fully, normalizes relations with Viet Nam "we must have more progress, more cooperation, and more answers."
The president stressed that economic considerations played no role in his decision. "I wanted to make sure the trade questions did not enter into this decision. I never had a briefing on it, and we never had a discussion about it."
The White House said trade between the two countries will resume after the U.S. Commerce Department drafts implementing regulations, which will take several weeks.
Veterans groups argued against lifting the embargo, saying it would remove any leverage the U.S. has to persuade Viet Nam to cooperate in determining the fate of 2,200 Americans missing in the Indochina war.
Clinton ordered the embargo halted shortly after the U.S. Senate voted 6238 for a resolution urging the administration to do so.
The administration had been considering such an action for several months (OGJ, Jan. 24, p. 27), and the Senate action was seen as giving Clinton the political support he needed to lift the embargo.
An amendment to the State Department authorization bill, the Senate resolution did not recommend that the U.S. send an ambassador to Viet Nam.
Copyright 1994 Oil & Gas Journal. All Rights Reserved.
