Macron inks defence, aviation deals on SEA tour

Macron inks defence, aviation deals on SEA tour

TimesInAsia 2 min read

French President Emmanuel Macron called France “a power that respects its partners” during his 25-29 May tour of Vietnam, Indonesia and Singapore, when he promoted his country as a strategic partner for Southeast Asia (SEA) amid growing US-China rivalry.

The trip focused on trade, defence and clean energy cooperation, as part of France’s effort to position itself as a long-term, rules-based partner in the Indo-Pacific.

Vietnam deal expands Airbus presence

In Hanoi, north Vietnam, airline VietJet signed a contract to purchase 20 Airbus A330-900 aircraft, on 26 May. The order includes long-term support for maintenance, training and spare parts. France said the deal strengthens its position in SEA’s expanding aviation sector.

Communist Party of Vietnam general secretary To Lam said France’s engagement came at a crucial moment. “We welcome France’s commitment to a rules-based international order and look forward to deepening our cooperation in defence, trade and energy,” he said.

Macron also proposed civil nuclear collaboration through state energy company Electricite de France (EDF) and joint research on hydrogen and renewables.

Indonesia confirms Rafale and submarine contracts

In Jakarta, on the northwest coast of Java, Macron finalised on 27 May a defence agreement with France worth billions of euros. The package includes 42 Rafale fighter jets from Dassault Aviation, two Scorpene-class submarines from Naval Group and 13 Thales radar systems. Some components will be assembled in Indonesia to meet local content requirements.

Indonesian President Prabowo Subianto said the deal is building on longstanding bilateral relations. “This will further strengthen the longstanding relationship between Indonesia and France, which has lasted for 75 years,” he said.

The two sides also signed 27 memoranda of understanding (MOUs) totalling USD 11bn, covering defence, energy and raw materials.

Singapore maintains commercial lead

Singapore, at the southern tip of the Malay Peninsula, hosted Macron on 28–29 May. The city-state is France’s largest trading partner in ASEAN, with bilateral trade of over USD 30bn in 2023. More than 2,600 French firms operate in Singapore across sectors including logistics, aerospace and technology.

Singaporean Prime Minister Lawrence Wong said the bilateral relationship was adapting to new challenges. “We are committed to expanding our cooperation in emerging areas such as the green economy, digital innovation and artificial intelligence,” Wong said.

While no new megadeals were announced during Macron’s visit, the two sides committed to expanding cooperation in digital regulation, green finance and cyber defence.

France as ‘resident Indo-Pacific power

Macron used the trip to reinforce France’s Indo-Pacific strategy, launched in 2018 and revised to focus more directly on trade and energy partnerships. France describes itself as a resident Indo-Pacific power, based on its overseas territories and regular naval deployments in the region.

France’s Indo-Pacific Strategy/ Source TIA

French officials said their country offers infrastructure and defence cooperation without political conditions or unsustainable debt.

The governments in Vietnam and Indonesia welcomed the agreements, while Singapore reaffirmed support for EU engagement. Local analysts noted that ASEAN countries remain non-aligned in “great power” competition, but are open to diversifying trade and investment sources.