US elevates funding for Vietnam's Bien Hoa dioxin clean-up project to $430mn

The additional funding was announced in Hanoi on Wednesday as the ministry and the U.S. Embassy in Vietnam signed a limited scope project agreement (LSPA) for the dioxin contamination remediation project at Bien Hoa Airbase and the project to support the improved quality of life of people with disabilities in provinces heavily sprayed with Agent Orange.

The Bien Hoa Airbase dioxin remediation project, which began in 2019 to address the consequences of chemical and dioxin contamination left by the war, has so far resulted in about 41 hectares being certified as cleaned according to applicable standards and regulations, the ministry said.

Vietnam's Air Defense-Air Force Service, the project's investor, will continue coordinating with Vietnamese and U.S. agencies and units to ensure the project meets quality, schedule, safety, and efficiency requirements.

By 2031, the project is expected to complete the treatment of about 500,000 cubic meters of contaminated soil at the airbase, according to the ministry.

The agreement is intended to facilitate the U.S.'s commitment to completely address dioxin contamination at the airbase by 2031, helping provide a safer living environment for local residents, said Deputy Minister of National Defense Senior Lieutenant General Nguyen Truong Thang.

Meanwhile, the project to improve the quality of life of people with disabilities in heavily sprayed Agent Orange areas and other priority provinces will receive $91 million in U.S. non-refundable aid.

As a result of the signed LSPA, total U.S. non-refundable ODA funding for the Bien Hoa project has increased to $430 million, while total funding to support people affected by Agent Orange/dioxin and people with disabilities in Vietnam has been raised to $156 million, covering six provinces and cities as well as new areas.

The defense ministry has also approved an increase in counterpart funding to VND353 billion (nearly $13.6 million) to ensure sufficient funding for the projects, Thang said.

He underscored that Vietnam appreciates U.S. cooperation in searching for, recovering, and identifying the remains of military personnel missing from the war on both sides.

Vietnam will continue to facilitate U.S. efforts to search for American personnel missing in action (MIA), while hoping the U.S. will further share information, data, and personal effects of Vietnamese soldiers to help advance Vietnam's 500-day campaign, launched on March 15, 2026, to search for, recover, and identify the remains of Vietnamese fallen soldiers, Thang said.

The signing of the LSPA demonstrates the commitment and responsibility of Vietnam and the U.S. to continue addressing the consequences of the war and concretizes a memorandum of understanding between the Vietnamese defense ministry, the U.S. Department of War, and the U.S. Department of State on strengthening cooperation in this area, he added.

Ambassador McNamara said the two agreements demonstrated the shared commitment of both countries to the projects and to building a brighter common future.

She also expressed appreciation for Vietnam's growing cooperation and role in addressing unresolved wartime issues.

"We all understand the need to accelerate this work against the pressure of time," the diplomat said, adding that she was honored to contribute to efforts by both sides to bring peace to families through the identification and repatriation of remains.