Economy of Vietnam
Until the French colonization in the mid-19th century, Vietnam's economy had been mostly agrarian, subsistence-based and village-oriented. French colonizers, however, deliberately developed the regions differently as the French needed raw materials and a market for French manufactured goods, designating the South for agricultural production as it was better suited for agriculture, and the North for manufacturing as it was naturally wealthy in mineral resources. Though the plan exaggerated regional divisions, the development of exports—coal from the North, rice from the South—and the importation of French manufactured goods stimulated domestic commerce.
Vietnamese Demilitarized Zone
The First Indochina War (also called the French Indochina War) was fought in French Indochina from 1946 through 1954 between France and the French-controlled State of Vietnam on the one side, and the Communist-dominated independence movement, the Viet Minh, on the other. The Viet Minh won the war, gaining effective control of all northern Vietnam except an enclave around Hanoi.