Japan will sign an agreement on defence equipment and technology exports to Vietnam as part of a move to strengthen the defence capabilities of Indo-Pacific countries.

Japanese Prime Minister Yoshihide Suga will visit Vietnam and Indonesia next week. The prime minister is expected to sign the agreement with Vietnam during the trip.

Tokyo began lifting its ban on overseas arms sales in 2014 to strengthen its defences and reduce the unit cost of military equipment it produces domestically. Tokyo is also in agreement talks with Indonesia and Thailand to assess Southeast Asia's demand for defence equipment needs.