Vietnam News
European business confidence in Vietnam hits 7-year high
With a score of 80—the highest in seven years, the Business Confidence Index (BCI) from the European Chamber of Commerce in Vietnam (EuroCham) for Q4 2025 confirms the unwavering trust European enterprises place in Vietnam.
This recovery solidifies Vietnam’s position as a strategic investment destination and a leading regional growth engine.
EuroCham released its BCI for the fourth quarter of 2025 on January 13, which marks a clear shift, signaling that strengthened confidence is now becoming a primary driver for expansion and investment decisions in the coming period.
Surge in optimismAfter years of navigating international volatility and disruptions, the Q4 2025 BCI indicated that sentiment among European businesses in Vietnam has returned to a positive growth zone. This score surpasses levels recorded both prior to the imposition of US tariffs and before the COVID-19 pandemic.
The report identified this as one of the strongest quarterly increases since the BCI was first launched in 2011. It reflected a distinct and uniform improvement in both the assessment of current business conditions and expectations for the future.
In Q4 2025, 65% of surveyed enterprises rated their current business situation as positive. This optimism is expected to build further momentum heading into the new year, with the percentage rising to 69% when looking toward Q1 2026.
Notably, actual business conditions in Q4 2025 significantly outperformed previous expectations. In the Q3 2025 survey, only 56% of businesses predicted that conditions in Q4 would be positive.
Driven by macroeconomic momentumThis trend closely mirrors Vietnam’s macroeconomic recovery and acceleration. Vietnam’s GDP growth in Q4 2025 reached 8.46%—the fastest quarterly growth rate since Q4 2007—surpassing the forecasts of many major international organizations.
“Our latest BCI confirms what many of us have felt intuitively,” said EuroCham Chairman Bruno Jaspaert. “After years of hovering around the mid-line, reaching 80 tells us that confidence is now grounded in delivery – in factories running, orders returning, and investments being executed. We are seeing a structural shift where Vietnam is quickly transforming itself into a powerful growth engine, on track to rank among the top three economies in ASEAN.”
Beyond short-term gains, the Q4 2025 BCI revealed exceptionally strong confidence in Vietnam’s medium-term outlook. An overwhelming 88% of respondents expressed optimism about their organisation’s prospects in Vietnam over the 2026–2030 period, including 31% who described themselves as “very optimistic”.
“88 may sound like a lucky number, but it is much more than a fortune cookie: for our members, it is a rational one. Over the next five to seven years, provided it plays its cards right, Vietnam is destined to become the place to be, rising to enter a golden era of growth and transformation," Mr. Jaspaert noted.
This confidence is further bolstered by strong business performance. In 2025, 60% of enterprises reported improved results compared to 2024. Furthermore, optimism remains high for the future, with 82% of businesses expecting their performance to continue growing in 2026.
Vietnam’s appeal is also reinforced by vocal support from the business community. An impressive 87% of companies expressed their willingness to recommend Vietnam as a prime investment destination to other foreign firms, with the highest level of confidence recorded among large-scale enterprises.
Strategic priorities for 2026The report noted that as market confidence solidifies, European businesses are entering 2026 with increasingly clear strategic priorities. Expansion and portfolio diversification top the list, cited by 50% of respondents as their primary focus.
Human resources remains the second-highest priority, with 45% of businesses focusing on recruitment and talent retention. This reflects persistent pressure in securing high-quality labor and underscores the pivotal role of human capital in maintaining sustainable growth momentum.
In parallel, technology integration, automation, and Artificial Intelligence (AI) are prioritized by 41% of enterprises. This highlights a strategic shift toward enhancing efficiency, productivity, and long-term competitiveness in an increasingly digital landscape.
Vneconomy-Vũ Khuê
PM asks to rein in housing prices
Prime Minister Pham Minh Chinh has instructed relevant ministries and agencies to adopt measures to rein in commercial housing prices—particularly apartment prices—to reasonable levels in line with the country’s overall development.
He made the request while addressing the fifth meeting of the Central Steering Committee on Housing Policy and the Real Estate Market, held virtually on January 13 and connected to all 34 provinces and centrally run cities.
The Prime Minister called for efforts to complete the legal framework, remove regulatory and planning bottlenecks, unlock land resources, streamline administrative procedures, and establish housing development funds.
He assigned the Ministry of Construction to take the lead in completing and submitting a proposal to competent authorities for consideration of establishing a state-run “real estate and land-use rights exchange” by January 2026.
The Government leader also urged stronger supervision and encouraged local authorities and businesses to accelerate the implementation of social housing projects and rental apartments to meet targets set for 2026 and subsequent years.
VnEconomy-Phan Dương
Over 50% of agencies and businesses hit by cyberattacks in 2025
Information systems in Vietnam faced approximately 552,000 cyberattacks in 2025, a decrease of 19.38% compared to 2024, according to statistics from the National Cybersecurity Association (NCSA).
The report, conducted in December 2025 by the NCSA’s Technology Committee, was based on a survey of over 5,300 agencies and organizations across the country.
This trend suggests that cybersecurity investments by various agencies and organizations are beginning to yield results, making it more difficult for hackers to execute simple attacks.
However, a decline in the total number of attacks does not equate to a reduction in risk. The survey revealed that 52.30% of agencies and businesses reported suffering damage from cyberattacks during the year—a significant increase from the 46.15% recorded in 2024.
The five most common attack methods in 2025 were: Distributed Denial of Service (DDoS); the insertion of illegal gambling and betting backlinks; Advanced Persistent Threats (APT); data theft; and ransomware. Notably, hackers are increasingly combining these methods into sophisticated, multi-layered scenarios.
Head of the NCSA Technology Committee, Mr. Vu Ngoc Son, noted that “Hackers are shifting toward 'double attacks.' Instead of encrypting data immediately upon infiltration, they remain latent within the system for long periods. Their goal is to steal sensitive data to sell or exploit on the black market. Only when no further data can be extracted do they proceed to encrypt the system and demand a ransom.”
Despite the growing complexity of threats, 2025 also saw positive shifts in cybersecurity awareness. The proportion of agencies and businesses providing cybersecurity awareness training reached 75.93%, indicating that security has become a higher priority.
Approximately 51.45% of organizations conducted cybersecurity drills to proactively develop incident response procedures. Meanwhile, 51.65% reported having deployed or currently operating a Security Operations Center (SOC), reflecting a trend toward centralized monitoring and early response.
Most notably, the rate of businesses equipped with data backup systems reached 76.35%, showing that organizations are now better prepared for disaster recovery and system restoration.
Vneconomy-Hạ Chi
US invests over $15 mln in Vietnam’s tilapia value chain
The United States is set to invest over $15.2 million in a project aimed at improving Vietnam’s tilapia value chain and promoting the trade of high-quality soy products for aquaculture.
The five-year initiative targets a total tilapia production of 1.21 million tons, with an estimated value of $1.25 billion.
On January 13, Deputy Minister of Agriculture and Environment Phung Duc Tien met with a delegation from the US Embassy to discuss the implementation of a new project titled the "US-Vietnam Aquaculture Value Chain Partnership."
Operating under the US Food for Progress Program, the project seeks to comprehensively enhance Vietnam's tilapia value chain. Simultaneously, it aims to facilitate the import of high-quality soybean meal and expand the consumer market for tilapia in the US, as well as across regional and domestic markets.
This project not only supports the improvement of tilapia productivity and quality but also creates favorable conditions for developing the soy-based aquaculture feed trade and expanding tilapia exports to the US market, according to Mr. Ralph Bean, the US Agricultural Counselor in Vietnam.
Meanwhile, according to Project Director Nick Richardson, the initiative is currently in its formal introduction phase to the Vietnamese government. From March to September 2026, the project will conduct baseline studies, resource surveys, and grant promotions while focusing on improving broodstock quality and supporting hatcheries. Starting in October 2026, activities will expand to include technical assistance, training, capacity building, and financial support.
Over the next five years, the project is expected to directly benefit more than 24,200 people, including small-scale farmers, commercial farms, and processing plants in the Red River Delta and the Mekong Delta.
Deputy Minister Tien praised the project as a "right and timely" move, providing critical resources to fulfill Vietnam’s tilapia development plan through 2030. He also suggested expanding the development of Nile and Red tilapia varieties in the country's Central and Southern regions to capitalize on the unique ecological advantages of each area.
Vneconomy-Chu Khôi
Network of Vietnamese AI experts to be established
The Ministry of Science and Technology (MoST) is intensifying efforts to build a global network of top-tier Vietnamese artificial intelligence (AI) experts to spearhead the country’s key national AI development programs, according to a report from the Government News.
To date, the Ministry has contacted 306 out of more than 500 Vietnamese AI specialists currently working at leading research centers around the world, marking a significant step in mobilizing global Vietnamese intellectual resources for national development.
Earlier, at a meeting of the Central Steering Committee on the Development of Science, Technology, Innovation and Digital Transformation on May 24, 2025, the Committee assigned MoST to select and attract 100 outstanding experts to participate in national key AI development programs. This initiative has been identified as one of the crucial solutions to building a high-quality human resource foundation for the development and application of AI in Vietnam.
Under the plan, AI experts will engage in four core groups of tasks. The first focuses on policy consultation, providing input for the formulation of strategies, programs, plans and projects related to AI development and application. The second involves applied research, with an emphasis on proposing solutions to major and specific AI-related challenges faced by ministries, sectors, localities and enterprises. The third centers on human resource training, including participation in training activities and the development of Vietnam's pool of AI specialists. The fourth covers application deployment, encompassing consultancy, design and implementation of AI platforms and application systems across various sectors and fields.
In parallel, the Ministry is actively developing the National Science and Technology Initiative Portal, a digital platform designed to connect more than 500 Vietnamese AI experts working at global research hubs. The platform aims to mobilize collective intelligence, connect resources and facilitate the wide dissemination of knowledge.
This initiative reflects the spirit of connectivity, openness and the globalization of intellectual resources as outlined in the Politburo’s Resolution 57, based on the view that "Vietnamese people, wherever they are, can contribute to national innovation." In this context, the National Science and Technology Initiative Portal is seen as a core instrument for translating this vision into practice.
Looking ahead, Vietnam has set the goal of being among the world's top 30 countries in terms of AI readiness by 2030, underscoring its ambition to become a regional and global player in artificial intelligence development.
VGP-Van Nguyen
Vietnam ranks 38th globally in AI adoption rate
Vietnam currently ranks 38th globally in terms of Artificial Intelligence (AI) adoption rates, according to the AI Diffusion Report 2025 released by Microsoft’s AI Economics Institute (AIEI).
Notably, the popularity of AI in Vietnam grew rapidly in the second half of 2025, rising from 21.2% in the first half of the year to 23.5%, marking a 2.3 percentage point increase.
In comparison, the global AI adoption rate rose by 1.2% during the same period, moving from 15.1% to 16.3%. This means that approximately one in every six people worldwide is now using generative AI tools.
The rankings continue to be led by countries with high levels of digitalization and early investments in AI. The United Arab Emirates (UAE) maintains the top spot, with over 64% of its working-age population utilizing AI by the end of 2025. Singapore follows in second at 60.9%, followed by small economies with advanced digital infrastructure such as Norway, Ireland, France, and Spain.
The report also highlights a significant disparity between country groups, noting that the ten countries with the highest growth rates are all high-income economies. According to the AIEI, this advantage stems from early investments in digital infrastructure, AI skill development, and the proactive promotion of AI within the public sector.
For Vietnam, with around 85.6 million internet users—accounting for 84.2% of the population, according to DataReportal, there remains vast room for AI to spread deeper into society.
However, the gap with leading nations indicates that investing in digital infrastructure, AI skills, and policies to drive adoption in both the public and private sectors will be the decisive factors for Vietnam’s position on the global AI map in the coming years.
Vneconomy-Ngô Huyền
Agriculture to be modernized
Long known for its rich agricultural heritage, Vietnam is now navigating a global marketplace that requires far more than mere volume. As global consumers demand higher standards of safety and sustainability, Vietnam’s agricultural sector is under growing pressure to modernize.
Experts at the Green Economy Forum (GEF) 2025 said the country’s next phase of growth will depend on deeper partnerships with farmers, stricter compliance with international regulations, and stronger branding for its signature products. These shifts, they noted, are essential for maintaining competitiveness in rapidly-changing global markets.
Safer and sustainable foodA stronger commitment to food safety and sustainable agriculture emerged as a central theme at the Forum, highlighted by the need to reduce pesticide reliance, improve farming practices, and build long-term partnerships with producers.
Mr. Jean-Luc Voisin, Founder and Chairman of Les Vergers du Mekong, said food safety remains the most pressing concern in the fruit and vegetable industry, both in Vietnam and globally. Recent studies in the Mekong Delta, he noted, show that about 30 per cent of rice farmers have pesticide levels in their bloodstream high enough to pose cancer risks. “Safety, safety, and more safety - that is where everything starts,” he said, arguing that the industry must work directly with farmers instead of addressing contamination only at the final stage.
Since 2000, Les Vergers du Mekong has built a farmer network that has grown from a single grower to more than 1,000 today. The company trains farmers in chemical-free cultivation and operates a circular economy model in which fruit processing waste is turned into compost and returned to the orchards. “The farmers are not suppliers, they are partners,” Mr. Voisin said. “Partnership is the only way to build long-term, high-quality, and sustainable products.”
The same principle of long-term partnership is shaping the spice industry. Mr. Tim van Acker, Planning and Logistics Manager at Nedspice, said global buyers in Europe and the US increasingly require detailed traceability and commitments to lower supply chain emissions. These expectations are pushing companies to invest more deeply in farmer development. In southern Tay Ninh province, Nedspice is working with a major international customer to convert 200 farmers from conventional farming to regenerative practices, with both companies co-investing in training and monitoring.
Regenerative agriculture, he explained, improves biodiversity, restores soil health, and enhances the overall environment around farms. Nedspice currently works with about 3,000 farmers, but only some 20 per cent of its sourcing is fully sustainable because the transition requires multi-year investment. “You cannot change a production system in one season,” Mr. van Acker said. “But when farmers, local buyers, and final customers are aligned, the supply chain becomes much stronger.”
From a conservation perspective, the move towards safer and more sustainable food is essential for Vietnam’s long-term economic and ecological stability. Mr. Quoc-Tinh Huynh, Agriculture and Food System Lead at the World Wide Fund for Nature (WEF) Vietnam, said the organization uses science-based approaches combined with cultural understanding to shape farming models that protect ecosystems while improving incomes.
The WWF has piloted several models in the southern region and Mekong Delta, including sustainable rice farming and small-scale shrimp systems that limit groundwater extraction and reduce land subsidence. Traditional shrimp farmers often store groundwater, which traps sediment and accelerates subsidence. In this context, the WWF’s model increases water exchange while using microbial treatments that improve soil quality and provide natural feed for shrimp. It is now working with export companies to form value chains that give farmers greater security. The rice-shrimp model alone, Mr. Huynh said, could expand from 30,000 ha today to as much as 250,000 ha by 2030.
The importance of farmer mindset and training was reinforced by Mr. Xuan-Phong Mai, General Director of Seaprodex, who said that even small errors can prevent products from meeting strict export standards. Seaprodex has built a strong raw material base in mangrove areas of the Mekong Delta, and in 2019 began partnering with 450 households to produce ecological black tiger shrimp and white-leg shrimp. The company has exported nearly $20 million worth of its ecological shrimp since the beginning of the year.
The model, he continued, simultaneously preserves mangrove forests and strengthens rural livelihoods. Rising domestic demand for high-quality seafood is also shaping the company’s strategy. “We want Vietnamese consumers to have access to the same clean, high-quality shrimp that pass the most stringent international standards,” he explained.
There is no doubt that sustainable agriculture and food safety can only be achieved through patience, investment, and long-term collaboration. Vietnam’s agricultural sector is transitioning towards models where environmental responsibility strengthens, not weakens, economic opportunity.
Building global recognition
Vietnam’s path to stronger global competitiveness lies not only in safer production but also in building stronger product identities and adopting internationally-recognized standards.
Mr. Renzo Moro, Agricultural Expert at the Embassy of Italy in Vietnam, pointed to Italy’s geographical indication (GI) system as a model for linking farmers, processors, wholesalers, and retailers into a unified, legally-protected value chain. Under the GI framework, products such as Parmigiano Reggiano or Chianti wine cannot be reproduced outside their home regions, preserving authenticity and ensuring that value remains with local producers. A third-party certification system verifies each step in the chain, making the model economically, socially, and environmentally sustainable.
Mr. Moro said Vietnam has many products with qualities that could benefit from a similar approach, particularly shrimp, pepper, and signature foods such as rice noodles. However, these products must be accompanied by clear narratives: where they originate, how they are produced, and what makes them distinct. “The world does not always recognize the uniqueness of Vietnamese products,” he said. “There is enormous potential if Vietnam strengthens the link between producers, territory, and consumer perception.”
Mr. Huynh agreed that Vietnam needs foundational standards at the national level so producers and consumers share a common understanding of what defines each product category. He added that Vietnamese firms often fail to build strong brand identities because many export products end up being sold simply as “Made in Vietnam”, detached from the company that produced them. “This is a major missed opportunity,” he said. “Strong brands require long-term strategy and consistent storytelling.”
Mr. van Acker outlined the growing complexity of compliance as different markets maintain different limits on pesticide and heavy-metal residues. Vietnam has identified about 20 high-risk pesticide molecules, but acceptable levels vary widely between Europe, Japan, and the US. To ensure compliance, Nedspice implements a rigorous three-tier testing system that includes pre-harvest sampling, batch-level testing during processing, and independent verification in France. Each test costs roughly $200, while certifications such as FSA, Sedex, BRC, Halal, and Kosher can cost $3,000 to $5,000 annually per product.
These costs place premium producers at a disadvantage against low-cost competitors who import concentrates and add preservatives. Yet Mr. van Acker said the company has no intention of competing in that segment. Instead, Nedspice is expanding its processing capacity to approximately 20,000 tons per year while maintaining a strict focus on premium, high-quality goods. “The market we serve demands trust,” he said. “And trust is expensive, but it is also the future.”
The panelists emphasized that Vietnam’s agricultural identity must rest on more than production volume. As global markets demand higher safety standards, deeper traceability, and stronger product narratives, Vietnam’s opportunity lies in combining its rich culinary heritage with internationally-recognized systems that reinforce quality and sustainability from farm to consumer.
VET-Linh Dan
Hai Phong targets GRDP growth of 13% in 2026
Northern port city Hai Phong has set a target of 13% gross regional domestic product (GRDP) growth in 2026, aiming to mark the 12th consecutive year of double-digit expansion, according to local authorities.
The city expects to attract between $3.8 billion and $4.3 billion in foreign direct investment (FDI), while GRDP per capita is projected to reach $7,944.5. The digital economy is forecast to contribute 31% of the city’s GRDP.
In 2025, Hai Phong recorded GRDP growth of 11.81%, ranking second among the country’s 34 localities and first among the six centrally-run cities.
As of December 31, 2025, the city's total public investment capital disbursement exceeded VND37.7 trillion (about $1.43 billion), equivalent to 105.2% of the annual target assigned by the Prime Minister.
VnEconomy-Nguyen Hien
Hue city approves investor for new IP at Chan May-Lang Co EZ
The People’s Committee of central Hue city has approved a joint venture as investor of the Industrial Park No.2 at Chan May – Lang Co Economic Zone.
The joint venture between Kim Long Hue IP Infrastructure Investment Ltd.Co and Kim Long Motor Hue JSC will contribute VND400 billion ($15.2 million) to the project’s total investment capital which is estimated at VND1.845 trillion (more than $70 million). The IP will cover 204 ha in the Chan May - Lang Co EZ, which is being oriented to develop into an industrial - seaport - logistics center of Hue city and the country's North Central region.
Construction of the project is scheduled to start in the fourth quarter of 2026 and it is expected to be put into operation in the second quarter of 2029.
VnEconomy-Nguyễn Thuấn
Per capita income climbs 9.3% in 2025
Average per capita income in 2025 was estimated at VND5.9 million ($225) per month, marking a 9.3 percent increase from 2024, the Government News quoted preliminary findings of the Household Living Standards Survey 2025 from the National Statistics Office (NSO) as reporting.
Part of the income growth stemmed from State payments to public officials and employees who retired or resigned under the restructuring of the political system's organizational apparatus.
NSO Director Nguyen Thi Huong noted that Viet Nam's income structure is becoming more progressive and sustainable, as wages and wage-like earnings account for an increasing share of total household income.
Besides rising incomes, household living standards remained stable throughout 2025. Household income showed a more positive and steady pattern compared to 2024. Survey results indicated that 31.3 percent of households reported higher income, 65 percent saw no change, while only 2.8 percent experienced a decline, and 0.9 percent were uncertain.
The NSO attributed income growth and stable living conditions to several factors.
Improved production and business performance across all three economic sectors helped generate jobs and boost earnings for workers and households.
Social security policies and programs were implemented promptly and effectively, positively affecting living standards. These included continued allowances and support for people who rendered services to the nation, the poor, disadvantaged groups and social protection beneficiaries.
Emergency relief and post-disaster assistance were also delivered in a timely manner, with total support reaching VND92.4 trillion, an increase of VND22.6 trillion, or 32.4 percent, compared to 2024.
The nationwide program to eliminate temporary and dilapidated houses was highlighted as a key initiative. In addition, average worker income rose by 8.9% year-on-year, employment remained stable, and the unemployment rate stayed low and improved compared to 2024, reflecting a more positive labor market and higher household earnings.
Policies targeting public officials, employees, workers and the armed forces in the context of streamlining the political system also contributed to income growth and the creation of new livelihoods for part of the population. Ongoing support for free health insurance and medical examination cards for eligible groups further helped ease healthcare-related financial pressures.
Nevertheless, the NSO noted that a small proportion of households continued to face difficulties. Among the 2.8 percent of households reporting lower income in 2025, the main causes were job loss or temporary work suspension (37.5 percent), reduced production or business scale (24.1 percent), rising input costs (21.2 percent) and declining product prices (19.5 percent).
Natural disasters, including floods, storms and droughts, continued to damage housing and livelihoods, increasing vulnerability, particularly in rural, mountainous and coastal areas.
To sustain income growth and further improve living standards in 2026, the NSO recommended that the Government and local authorities continue to effectively implement social security programs, enhance job quality and employment opportunities, ensure timely support for vulnerable groups, and strengthen disaster preparedness and climate change adaptation through early warning systems, safe residential planning and support for livelihood transitions.
VGP-Pham Long
AI and digital innovation to drive sustainable growth
Digital technologies and AI are no longer peripheral tools in Vietnam’s green transition, they are becoming central to how industries operate, make decisions, and pursue sustainability. At the Green Economy Forum (GEF) 2025, leaders from the manufacturing, logistics, software engineering, and renewable energy industries shared how AI is reshaping efficiency, safety, and long-term growth. Their insights point to a future where responsible digital adoption is not a luxury, but a prerequisite for competitiveness.
AI as a catalyst
Experts attending the Forum agreed that the path to greener growth increasingly depends on the ability to measure, optimize, and connect complex systems.
Dr. Brendan Gibson, Engineering Director and Head of the Hanoi Office at Bosch Global Software Technologies, said sustainability sits at the heart of Bosch’s mission. The company has taken a holistic approach, focusing on climate conservation, people, and circularity. Bosch achieved carbon neutrality in 2020, and its Dong Nai plant near Ho Chi Minh City has installed solar power systems and had adopted water-recycling practices long before regulations required them. With 4,000 employees in Vietnam, Dr. Gibson said digitalization is critical: “It allows us to measure and optimize systems,” he told the gathering. “Sustainability is not only good for the environment; it also helps reduce waste and save resources.”
For Mr. Pavel Poskakukhin, General Manager of SGH Asia, sustainability in smaller organizations tends to be embedded quietly in day-to-day operations. SGH Asia has been cutting paper use, encouraging hybrid working to reduce commuting, and even exploring renewable-powered electric bike chargers for its office. He noted that European clients increasingly expect sustainability certifications, prompting the company to pursue new ISO standards in this field.
But he also pointed to a less-discussed challenge: the sustainability of AI itself. Measuring the carbon footprint of AI tools remains difficult, and companies must decide where AI adds value and where it becomes wasteful. “If you’re proofreading contracts, use AI instead of printing paper,” he said. “But generating unnecessary marketing images isn’t the best use of energy.” Clear governance, he added, is essential.
Dr. Gibson echoed that point, saying AI adoption is challenged by both responsible use and a workplace culture struggling to keep pace. Bosch has developed an internal AI codex and checklists to ensure tools are used ethically, securely, and effectively, but guidance must continually evolve. “People need to understand when AI adds value,” he believes. “It shouldn’t replace existing automation for the sake of it, it should support associates and enhance their work.”
From a logistics perspective, Mr. Leo van Druenen, Senior Project Director at APM Terminals, said the industry’s largest barrier is data quality. “AI needs clean, structured data, but we often deal with fragmented systems,” he said. Upskilling is equally critical. Staff must learn how to work with AI and trust its outputs, he continued, while global companies must also navigate differing local regulations.
Representing the renewable energy sector, Mr. Son Bui, Country Business Director at the Stavian Group, highlighted the pace of technological change. Solar photovoltaics and inverters dominated the market just a few years ago; today, however, battery energy storage systems and EV charging technologies are expanding rapidly. Each comes with its own data architecture. “To achieve our profitability targets, we need a centralized platform that connects different technologies and consolidates data,” he said. “Only then can we analyze return on investment accurately and make the right decisions.”
Balancing intelligence, safety, and cost
As AI becomes more deeply embedded in industrial operations, companies are confronting a critical dual challenge: ensuring safety and reliability while reshaping financial strategies around new digital tools.
Dr. Gibson said industrial AI requires a “multi-layered” safety approach. Bosch first constrains AI systems within strict technical and physical boundaries, ensuring that even if a model recommends an incorrect action, the hardware cannot exceed safe operating limits. Before deployment, the company rigorously tests each model against historical and simulated data to identify unusual behavior.
From a financial perspective, Mr. Poskakukhin noted that AI can offer tangible cost savings. He shared an example from his company’s German headquarters, where an executive replaced many routine tasks of a personal assistant with an AI-powered tool, which is far cheaper than hiring a PA in Germany. While the system once mistakenly canceled a meeting on his behalf, Mr. Poskakukhin said the broader point stands. “There are clear cases where AI reduces financial pressure,” he said. “We need to focus on these practical benefits.”
Mr. Bui believes AI is already central to daily operations. Renewable systems generate enormous volumes of real-time data, and AI tools help forecast performance, detect errors, and produce predictive maintenance reports. “But the key is evaluating the AI output,” he said, emphasizing the need for human validation. He noted that some employees still misunderstand AI’s role. “Our engineers use AI every day, but they also assess whether the results are accurate and useful,” he explained.
For Mr. van Druenen, AI is both a sustainability and efficiency tool. Terminal operations depend on speed and precision, from reducing vessel idle time to optimizing container yard strategies. “We rely on huge amounts of data,” he said. Digital twins and real-time monitoring now allow APM Terminals to constantly track equipment condition and schedule preventive maintenance - reducing breakdowns, waste, and unnecessary emissions. Automation also enhances safety by minimizing the need for personnel to work near heavy containers.
Building alignment
As Vietnam accelerates its digital transformation agenda, the question now is how government, industry, and global partners can work together to ensure that AI adoption is both responsible and achievable.
Mr. Poskakukhin highlighted the role of structured policy dialogue, using EuroCham as a case in point. EuroCham operates more than a dozen sector committees, from green finance to automotive, and its Digital Sector Committee advocates on behalf of European businesses on emerging regulations in Vietnam. This includes harmonizing rules across the Decree on Personal Data Protection, the Law on Cybersecurity, the Chips Act, the AI Act, and other digital frameworks.
“These committees create one of the most effective platforms for industry stakeholders, government agencies, and NGOs to come together,” Mr. Poskakukhin said. “They allow us to align on priorities: how businesses should use AI, what the risks are, and how sustainability fits into the equation.”
Dr. Gibson also noted that cooperation between the public and private sectors in Vietnam has been improving. “The government is putting forward many positive initiatives, and they are open to taking advice and working with companies on pragmatic legislation,” he said.
For him, Vietnam’s next milestone is greater data accessibility. While data-protection rules are evolving, industries still need standardized access to critical datasets, such as weather and environmental data, to build solutions that benefit both business and local communities. “Standardized platforms for this information would help accelerate innovation,” he added.
Mr. Bui said one of Vietnam’s challenges is cultural rather than technical. “Many Vietnamese companies still don’t trust AI,” he explained. “They see it as just another search tool.” Though he does not view this distrust as an immediate threat, he stressed that organizations need clear AI strategies to guide adoption. Humans should still make the final decisions and validations, but employees must be empowered to upskill and learn how AI works. “With the right strategy, it’s a win-win situation,” he believes.
VET-Diep Linh
Gia Lai province attracts investment capital of $846 million
Gia Lai province in central Vietnam attracted 12 investment projects worth more than VND22.2 trillion ($846 million) in the first nine days of January, according to a report from the Vietnam News Agency.
Industry and renewable energy projects dominated new inflows, according to local authorities.
Industrial projects accounted for the bulk of new investment, with six projects worth nearly VND19.8 trillion.
Agriculture, forestry and fisheries attracted two projects valued at about VND205 billion, while real estate and urban development drew two projects worth around VND1.51 trillion. Two infrastructure projects accounted for a combined VND720 billion.
Three renewable energy projects made up a significant share of new approvals, including Vinh Thuan wind power project by VinEnergo Energy JSC, valued at about VND4.68 trillion, and Van Canh 1 and Van Canh 2 wind power projects by Sai Gon-Bac Giang Industrial Park Corp, with combined investments exceeding VND14.6 trillion.
Residential real estate approvals included a social housing project with a total investment of over VND1.25 trillion and a townhouse and villa development project valued at more than VND262 billion.
VNA-Van Nguyen
Vietnam ranks 5th in Asia in financial services: WB report
Vietnam recorded 80.32 points out of 100 in financial services, ranking fifth among 30 economies in Asia and 15th globally, according to the World Bank’s Business Ready 2025 report released recently.
The Financial Services topic measures four areas—Commercial Lending; Secured Transactions; e—Payments; and Credit Information—across three different dimensions, referred to as pillars.
The first pillar assesses the effectiveness of regulation pertaining to commercial lending, secured transactions, and e—payments, covering de jure features of regulatory frameworks. In this pillar, Vietnam increased by 34 points this year to reach 75.4 points out of 100, ranking 49th out of 101 globally.
The second pillar measures the accessibility of information in credit infrastructure by evaluating the operation of credit bureaus and registries and the operation of collateral registries. Thus, the second pillar assesses de facto and some de jure aspects of financial services. In this pillar, Vietnam gained 85.33 points, up 46.17 points compared to last year, ranking 16th globalling.
The third pillar measures the operational efficiency of obtaining a loan; registering a security interest as well as the timeliness of credit information sharing; and e—payments usage and their efficiency. In this pillar, Vietnam achieved 80.23 points, ranking 18th globally.
The B-Ready assessment, which replaces the previous Doing Business report, evaluates economies across three pillars: regulatory framework, public services and operational efficiency. These pillars encompass 10 topics covering the complete business life cycle from establishment through operation to closure or reorganisation.
VnEconomy-Kỳ Phong
Ready-built warehouse market holds immense potential
Vietnam's northern region (pre-merger of cities and provinces), comprising Hanoi, Hung Yen, Hai Phong, Bac Ninh, and Hai Duong, witnessed a recovery in the ready-built warehouse (RBW) market in 2025, according to the global real estate and investment management firm Jones Lang LaSalle (JLL).
This followed a brief period of stagnation triggered by news regarding US countervailing duties. Leasing demand remained steady, with net absorption in the fourth quarter reaching 125,000 sq.m, surpassing the total absorption of the first three quarters combined.
For the full year 2025, total net absorption in the North reached 236,000 square meters, representing a 13% increase compared to the previous year. The primary growth drivers were manufacturing enterprises, further bolstered by surging demand from year-end consumer shopping activities.
However, market competition intensified as supply continued to expand with 256,000 sq.m of new warehouse space, bringing the total inventory to over 2.04 million sq.m. The trend toward developing multi-story and multi-functional flexible-lease warehouses—designed to optimize land costs for developers and better meet the diverse needs of tenants—maintained its momentum throughout the year.
Similarly, the Southern RBW market (pre-merger), encompassing Ho Chi Minh City, Binh Duong, Ba Ria – Vung Tau, Dong Nai, and Long An, experienced a stable year despite global economic fluctuations, particularly the impact of US tariff policies.
Specifically, net absorption in the fourth quarter exceeded 97,600 sq.m, bringing the total annual absorption for 2025 to 453,000 sq.m, a significant increase of over 70% compared to 2024. Leasing demand was driven by the year-end peak consumption season, with third-party logistics (3PLs) providers and domestic market-focused clients serving as the main drivers for new lease transactions.
By the end of the fourth quarter of 2025, the total supply of key ready-built warehouses in the South reached approximately 2.4 million sq.m, an 11.2% increase over 2024.
Ms. Le Thi Huyen Trang, General Manager and Head of Advisory Research at JLL Vietnam, noted that the focus of new projects on multi-story designs and flexible usage models reflects a dynamic market that is quickly adapting to market shifts and increasingly diverse tenant requirements. Investment capital is expected to continue flowing into major industrial hubs in both regions.
For 2026, JLL Vietnam forecasts that the Southern logistics market will add 313,000 sq.m of new RBW space. Market sentiment is expected to become more vibrant during the upcoming Lunar New Year season and maintain positive growth momentum throughout the year, fueled by expectations of domestic economic development policies and Vietnam’s strengthening role within the region.
Meanwhile, the Northern market is also set for significant expansion with 683,000 sq.m of new warehouse space. Demand is projected to remain stable, with the primary leasing drivers coming from manufacturing firms and 3PL companies.
Vneconomy-Thanh Xuân
Wood exports hits record $17 bln despite global headwinds
Vietnam's exports of wood and wood products reached nearly $1.7 billion, bringing the total export value for the year to $17.2 billion—an increase of almost 6% compared to 2024.
According to Vietnam Customs' data, this marks the first time the wood industry has surpassed the $17 billion threshold, a remarkable milestone in what has been considered one of the most challenging years for the sector.
In 2025, exports of wood and wood products to the US reached $9.46 billion, up 4.4% from 2024 and accounting for about 55% of the industry’s total export value. Notably, Vietnam continued to maintain its position as the largest supplier of wooden furniture to the US market.
According to data from the U.S. International Trade Commission (USITC), in the first eight months of 2025, US imports of wooden furniture from Vietnam totaled $6.1 billion, up 9% year-on-year, accounting for 45.3% of total imports of this product category. Meanwhile, imports from China fell sharply to just $1.4 billion, down 36% compared to the same period of 2024.
Vietnam’s market share of wooden furniture in the US rose from 40.5% in the first eight months of 2024 to 45.3% in the same period of 2025, while China’s share dropped from 15.7% to 10.4%. This widening gap underscores Vietnam’s firm consolidation of its leading supplier position in the US market.
Beyond the US, exports of wood and wood products to Japan grew strongly by more than 23% in 2025, reaching $2.153 billion—surpassing the $2 billion mark for the first time and overtaking China to become Vietnam’s second-largest export market.
Exports to China, though slipping to third place, still rose slightly to $2.086 billion, marking the second consecutive year above $2 billion. Together, the three “billion-dollar markets”, the US, Japan, and China, accounted for nearly 80% of Vietnam’s total wood and wood product export value in 2025.
Other markets were much smaller in scale, such as South Korea with $709 million; Canada, $288 million; and the UK, $244 million.
Vneconomy-Chu Khôi
Hanoi targets 171,000 new jobs
The Hanoi People's Committee has issued a plan to support labor market development and generate employment for workers across the city in 2026.
Under the plan, the city aims to create 171,000 new jobs and maintain the urban unemployment rate below 3%.
The target for the trained labor force is set at 75.8%, with 55.5% of workers holding formal degrees or certificates. Additionally, the city is targeting an annual labor productivity growth rate of 7.0% to 7.5%.
To achieve these goals, Hanoi will provide workers with comprehensive information regarding labor market trends, corporate recruitment needs, vocational training programs, job support policies, unemployment insurance, and social welfare programs.
The city will also prioritize training in new and high-demand skills driven by digital transformation and the "green economy." These include Information Technology, foreign languages, soft skills, digital environment competencies, and skills for emerging industries. Training formats will be diversified, incorporating e-learning, on-site training at enterprises, and models that combine theory with practical application.
Furthermore, Hanoi will promote a structural shift in its workforce by reducing the proportion of unskilled labor and increasing the number of highly skilled workers to meet the demands of high-tech industries, the digital economy, and green growth. The city plans to enhance the operation of the municipal Job Information Portal and leverage Artificial Intelligence (AI) and digital technologies for the collection and analysis of labor market data.
In addition, the city will organize effective in-person, online, and thematic job fairs to strengthen the connection between labor supply and demand with neighboring provinces and cities. The plan also emphasizes the development of high-tech and organic agriculture tied to market consumption to ensure economic efficiency and sustainable development.
Vneconomy-Song Hoàng
Today’s planning will shape Hanoi for the next 100 years: Party leader
The 100-year vision for Hanoi’s Capital Planning must be integrated into the national development strategy, with institutional reform as the breakthrough, developmental space as the foundation, and quality of life as the primary metric.
This guiding principle was emphasized by Party General Secretary To Lam during a working session with the Standing Committee of the Hanoi Party Committee on January 10. The session focused on the proposed Capital Master Plan with a 100-year vision, linked to institutional perfection, the establishment of a socio-economic development model, and double-digit growth targets.
According to reports at the meeting, the Capital Master Plan is being developed to expand developmental space and enhance regional connectivity with the Red River Delta, the Northern Midlands and Mountains, and the Hanoi Metropolitan Area. A core focus of the plan is to resolve major bottlenecks in traffic, urban infrastructure, the environment, and urban management—factors that directly impact the quality of life and the city’s growth potential.
The city also aims to restructure its urban landscape to achieve fundamental improvements in architecture, scenery, housing, and heritage. The planning mindset is shifting from "preservation and renovation" to "value reconstruction," forming a new spatial structure to unlock land resources and create new developmental values while fundamentally addressing infrastructure bottlenecks.
Regarding the socio-economic development model, the city has identified three synchronized pillars: economy, environment, and society. For the 2026–2030 period, science-technology, innovation, and the digital economy are designated as the primary growth drivers. These will generate new productivity through four key pillars: institutional completion; development of digital infrastructure and smart platforms; enhancement of governance efficiency and digital government; and the growth of a digital economy and society.
Hanoi also identifies tourism—particularly cultural tourism—as a spearhead economic sector.
The city will continue to improve its investment and business environment, utilizing public investment to lead and catalyze private and foreign direct investment (FDI). Furthermore, the city aims to bolster the private sector while enhancing the efficiency of the state-owned economy.
Speaking at the session and highlighting the nation’s new development context, the General Secretary stated that Hanoi must move beyond the mindset of merely a large locality. Instead, it must be positioned and operated as a hub for fostering national development, playing a leading role with a broad effect. He noted that every issue effectively resolved by Hanoi would significantly influence the mindset and approach of other localities across the country.
Regarding the Capital Master Plan with a 100-year vision, the General Secretary basically agreed with major orientations, including the proposal to transition to a "multi-polar, multi-center, multi-layered, and multi-tiered" development model.
He required that the planning must place Hanoi within the overall national development strategy, taking the people and their quality of life as the highest metrics. He emphasized ensuring harmony between modernity and tradition, maintaining a long-term vision with open development space, and building Hanoi into a national center for innovation and knowledge. Furthermore, the plan must guarantee national defense, security, and social safety, while the planning process itself must be conducted scientifically, democratically, publicly, transparently, and consistently.
Concerning the double-digit growth target, the General Secretary urged Hanoi to remain steadfast in its pursuit of high growth, specifically striving to reach at least 11% by 2026. He stressed that growth drivers must be rooted in increased labor productivity, science and technology, innovation, digital transformation, and high-quality human resources—all closely integrated with institutional reform and an improved investment and business environment.
Supporting solutions to remove major bottlenecks in Hanoi, the Party leader emphasized the requirement to delegate maximum authority to the capital city. This would allow the city to proactively resolve its own challenges with a spirit of acting "fast, correctly, effectively, and seeing tasks through to the very end."
VNeconomy-Lý Hà
Canned food firm CEO and subordinates arrested over 130-ton infected pork scandal
The Investigation Agency of the Hai Phong City Police on January 10 executed an emergency arrest of Truong Sy Toan (born 1969), General Director of Ha Long Canned Food JSC or Halong Canfoco (headquartered at 71 Le Lai, Ngo Quyen Ward, Hai Phong).
Toan is under investigation for the procurement of more than 130 tons of pork infected with African Swine Fever (ASF). A portion of this meat had reportedly already been processed into the company’s "Pate Cot Den" canned product.
Alongside the General Director, three other officials and employees of the enterprise were also detained: Pham Thi Thuy Lan, Deputy Head of the Quality Control Department; Bui Thi Thoan, Manager of the Inbound Raw Material Quality Inspection Team; and Lai Thi Thanh Huong, staff member of the Inbound Quality Control Department.
The authorities determined that these individuals were directly involved in the inspection and quality assessment of the pork before it was warehoused and used for food production.
The investigation began on September 8, 2025, when the Hai Phong Economic Police Department intercepted two trucks transporting more than 1,274 kg of slaughtered pork. The meat was emitting a putrid smell, lacked documentation of origin, and subsequently tested positive for the African Swine Fever virus.
Following an emergency search of the headquarters and warehouses of Halong Canfoco, police discovered and sealed four storage facilities containing approximately 130 tons of frozen pork.
Vneconomy-Đỗ Hoàng
Vietnam to adapt to global green supply chains
Addressing the “Adapting to Global Green Supply Chains - Challenges and Opportunities for Vietnam’s Export Goods” workshop held recently by the Vietnam Chamber of Commerce and Industry (VCCI), Ms. Tran Thi Thanh Tam, Director of the SME Support Center under VCCI, offered a panoramic view of a market undergoing profound transformation.
According to Ms. Tam, changes are coming rapidly, creating a worldwide race towards rebalancing. Within this race, multinational corporations are urgently seeking new locations to diversify supply chains, reduce costs, and improve optimization and efficiency. Thanks to its geopolitical position and production advantages, Vietnam has been emerging as a leading strategic destination in the Asia-Pacific region.
Green pressure
However, behind the impressive growth in export turnover lie core weaknesses that must be confronted. Though the manufacturing and processing industry accounts for 80 per cent of total export value, most of this value belongs to foreign-invested enterprises (FIEs).
Meanwhile, private Vietnamese businesses primarily export raw materials or perform labor-intensive, low value added tasks such as processing and assembly. This is an alarming reality that reflects the limited capacity of Vietnamese enterprises to generate added value. “We face the risk of being stuck at the bottom of the value chain if we refuse to change,” Ms. Tam warned. “The biggest barrier today is not production capacity but new standards in sustainable development.”
This pressure comes directly from major markets such as the EU and the US, where indirect emissions within the value chain account for 65-95 per cent of an organization’s total carbon emissions. This means the burden of greening will fall directly on suppliers in Vietnam.
The green transition trend is no longer an empty slogan but a matter of survival, especially with the introduction of the EU’s Carbon Border Adjustment Mechanism (CBAM) and new supply chain due-diligence requirements. Environmental and social data transparency, meanwhile, is becoming a “mandatory passport.” Ms. Tam therefore urged businesses to shift their mindset from defensive to proactive. ESG (environmental, social, and governance) practices should not be viewed merely as a compliance cost, but as a driver of value creation, growth, and competitive advantage, particularly in attracting investment capital and building customer trust.
Maze of barriers
To illustrate the concrete challenges, Associate Professor Vu Anh Dung, who boasts expertise in strategy and international business, presented a vivid picture of the wooden product export industry, one of Vietnam’s key export pillars. With export value nearing $15 billion in 2024, including 70 per cent from furniture, Vietnam ranks fifth globally and first in Southeast Asia for wooden products.
However, market distribution reveals vulnerabilities. The US is the dominant destination, accounting for 55 per cent of export value, or nearly $9 billion, while the EU accounts for only 3.6 per cent, or some $500 million. This disparity is rooted in complex trade barriers.
“With the EUVFTA [EU-Vietnam Free Trade Agreement], export tariffs to the EU are essentially zero, but the biggest challenges come from technical, or non-tariff, barriers,” the Associate Professor explained. “Regulations on forests, chemicals, and inspections are extremely strict. This requires that businesses make major investments in forest certification, traceability, and chemical testing. Meanwhile, EU orders are often small and fragmented, increasing per-shipment costs and limiting economies of scale, which is especially difficult for small and medium-sized enterprises (SMEs).”
In the US, though tariff levels are more stable under WTO commitments, risks arise from unilateral protectionist measures and anti-dumping investigations targeting products of Chinese origin that indirectly affect Vietnam. In addition, strict rules-of-origin monitoring increases compliance costs and uncertainty, forcing many firms to include “contingency costs” in their pricing.
Environmental regulations add further layers to this “maze.” The EU Deforestation Regulation (EUDR) requires geolocation of planting areas and full traceability; an enormous technical barrier that forces companies to invest in monitoring systems to prove the legality and sustainability of their wood sources. Though the US Lacey Act offers a more stable and less overlapping legal framework, compliance costs remain burdensome.
The EU’s CBAM also looms large. Though currently applied to five product groups, wooden and agricultural products are expected to be added in the future. Associate Professor Dung highlighted that indirect impacts are already visible: accessories used in furniture (iron hinges and aluminum frames, etc.) will fall under CBAM. If manufacturers import these materials from high-emission sources such as China, the final wooden product will be penalized.
Domestically, Vietnam’s carbon market pilot is scheduled for 2026-2028 with full operations by 2030, meaning businesses will be required to conduct greenhouse-gas inventories and incur higher transaction and compliance costs. Faced with these pressures, the Associate Professor recommended that businesses adopt digital technologies for traceability, manage risks through insurance, and proactively calculate carbon footprints to build both national branding and corporate reputation internationally.
Rethinking the transition
Dr. Vu Thi Phuong Lien, Lecturer at the Academy of Finance, acknowledged that the pressure to “go green” is often perceived as a tool used by developed countries to create barriers for poorer nations. After years of scrutiny and skepticism, she affirmed that the answer today is clear: the green transition is the mandatory path to elevate trust and market standing.
SMEs, though not required to conduct greenhouse-gas inventories, play a vital role in the Scope 2 and Scope 3 emissions (indirect emissions from purchased energy and supply chains) of large corporations. If they fail to meet emission reduction standards, they will be excluded from supply chains. This underscores the importance of proactively “greening” to maintain and expand markets.
Regarding green finance, Dr. Lien noted that although many preferential funds exist, access is difficult. “The State always has a lot of money, but not everyone can reach it,” she said. Transparency and sound business practices are prerequisites, and businesses should not wait for assistance and instead “stand on their own two feet.”
On support programs such as the “1,000 pioneering businesses” initiative or tax and interest incentives, she argued that the revenue criteria, of over VND200 billion, or $7.69 million a year, are unrealistic for most SMEs. She urged businesses to actively contribute feedback to draft laws and regulations to ensure policies are effective in practice.
“The global green race is no longer a choice, it is an imperative,” Dr. Lien emphasized. Despite challenges from technical barriers, carbon taxes, and the lack of resources and information, Vietnamese businesses must proactively transform their mindset, leverage available tools and resources, and continually strengthen their capacity not only to survive but to break through. This is a golden moment to turn challenges into opportunities and build a green, sustainable, and prosperous economy.
VET-Vu Khue
Working age segment accounts for almost 63% of population
Vietnam's population reached 102.3 million in 2025, with working age (15–59) accounting for 62.7%, maintaining its “golden population” status, according to the National Statistics Office.
The male population stood at 51 million, or 49.9% of the total, while the female population at 51.3 million, or 50.1%. The population in rural areas stood at 62.9 million, accounting for 61.4% of the total; while the urban population at 39 million.
As a result of declined birth rates and rising life expectancy in recent years, the share of young population (aged 0–14) continued to fall, from 23.5% in 2024 to 22.8% in 2025. Meanwhile, the proportion of elderly population (aged 60 and above) increased from 14% to 14.5%
The working-age population (15–59), however, remained high at around 62.7%, indicating that Vietnam is still in its demographic dividend phase, commonly referred to as the "golden population" period.
Vietnam's total fertility rate (TFR) in 2025 was 1.93 children per woman, a slight increase from 2024 (1.91 children per woman). However, since 2020, fertility has exhibited a downward trend and is projected to continue declining in the coming years.
Mortality rates remained low. The crude death rate in 2025 was 6.1 per thousand, a slight rise from 2024 (5.6 per thousand). The infant mortality rate (IMR) was 11.2 per thousand, marginally down from the previous year (11.3 per thousand). Average life expectancy held steady at 74.7 years, unchanged from 2024.
The sex ratio at birth (SRB) in 2025 was 110 boys per 100 girls, a slight decrease from 2024 (111.4). Nevertheless, this remains well above the natural biological balance (about 105 boys per 100 girls), indicating that gender imbalance at birth continues to be a significant challenge.
The National Statistics Office emphasized the need for more synchronized and effective policy implementation to achieve the goals of the Vietnam Population Strategy, which targets reducing the SRB to below 109 boys per 100 live-born girls by 2030.
vneconomy-Nhat Duong

