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The US Senate foreign relations committee approved an agreement on civilian nuclear co-operation between the US and Vietnam on Tuesday.
The agreement would allow US firms into Vietnam’s expanding market for nuclear power.
The US and Vietnamese governments reached the agreement last October and it was approved by President Barack Obama in February this year.
The Democratic-led committee, which oversees US foreign policy, passed the agreement despite complaints that it lacks a blanket ban on Vietnam enriching uranium or reprocessing plutonium.
Instead, Vietnam has signed a non-binding memorandum with the US saying it does not intend to seek those capabilities and will obtain the nuclear fuel it needs from the international market.
Vietnam is also party to various international nuclear security and non-proliferation treaties.
It plans to develop up to 10,000 megawatts of nuclear generating capacity by 2030 to meet its growing demand for electricity.