The route will link Addis Ababa to Hanoi with four weekly flights initially, starting from July 10.

Ethiopian Airlines, one of Africa's leading airlines, will launch a direct air route linking Addis Ababa, the capital city of Ethiopia, to Hanoi.

Initially, the airlines will operate four weekly flights on the route, starting from July 10.

The new service provide one more travel option for passengers travelling between Africa and Southeast Asia.

Ethiopian Airlines Group CEO Mesfin Tasew  expressed his pleasure to expand presence in Southeast Asia and enhance air connectivity for customers in the region.

"This new route will create opportunities for stronger ties and collaborations between Vietnam and our extensive global network. We look forward to bringing our renowned service to Vietnam and further growing our presence in this dynamic market", he was quoted by the Government News as saying.

According to the Vietnam National Authority of Tourism, the number of visitors from Africa remains limited, but recorded the strong growth in 2024, with a rise of 169.1 per cent year-on-year, standing at 50,906.

In the first two months of this year, Vietnam welcomed 9,201 visitors from Africa, a year-on-year increase of 212 per cent.

 

-Phạm Long

Vietnam is home to approximately 350 enterprises and factories producing wood pellets, 80 of which are actively involved in exports.

Vietnam exported over 24 million tons of wood chips and wood pellets in 2024,  generating nearly $3.5 billion in revenue.

Most of these products are used as fuel for thermal power plants in importing countries.

According to the Vietnam Timber and Forest Products Association (VIFOREST), exported wood pellet reached 6.03 million tons, earning $805.27 million—a 29.1% increase in volume and an 18.5% rise in value compared to 2023.

South Korea and Japan remained Vietnam's top markets, accounting for 94% of the export volume and 92.6% of the export value. The European Union ranked as the third,  importing 95.6 thousand tons, valued at $15.76 million.

Mr. Nguyen Thanh Phong, Head of the Wood Pellet Sub-Association under VIFOREST, revealed that Vietnam is home to approximately 350 enterprises and factories producing wood pellets, 80 of which are actively involved in exports. In addition, dozens of foreign direct investment (FDI) enterprises from South Korea and Japan have set up production plants in Vietnam, reflecting growing international interest in the sector.

"It is forecast that the global demand for wood pellets for thermal power will reach around 30 million tons in 2025, and after 2030, demand may soar to hundreds of millions of tons annually. Although Vietnam ranks second globally in wood pellet exports, it currently meets only 10-15% of the total global demand," Mr. Phong noted.

At COP26, world governments pledged to reduce greenhouse gas emissions, including substituting fossil fuels with renewable biological materials like wood pellets. Mr. Phong emphasized that wood pellets are poised to become a critical commodity, contributing to Vietnam’s efforts to achieve its climate goals under the COP26 commitments.

-Chu Khôi

Addressing the event, Party General Secretary General To Lam highlighting that digital transformation, with data at its core, is fundamentally changing the way people live, work, and develop.

The National Data Association held its first national congress in Hanoi on March 22, with the presence of Party General Secretary To Lam, Prime Minister Pham Minh Chinh, among many other senior officials.

Addressing the event, Party Chief To Lam, as quoted by the Vietnam News Agency, stated that the Party and the State will provide the best possible conditions and maximum support for the development of the data industry so that Vietnam can soon become a digital nation with a digital society and a prosperous digital economy.

Stressing the importance of data, the Party leader pointed out that digital transformation, with data at its core, is fundamentally changing the way people live, work, and develop.

He noted that in its Resolution No. 57-NQ/TW, issued on December 22, 2024, the Politburo identifies data as the core of digital transformation and a key driver of development. The resolution also outlines pilot policies to establish an initial legal corridor for promoting data development and utilization.

He asked the National Data Association to promote its core role in building, developing, utilizing, and enriching national data, focusing on the four pillars of people, location, activities, and products. He requested it to proactively apply, master, and advance towards self-reliance in core data technologies, particularly artificial intelligence (AI), big data, blockchain, and cloud computing technologies.

Emphasizing the association's role in several key programs and initiatives, the Party leader stressed the need to develop a data market to support sustainable development, as well as establish a national data market and data exchange platforms to facilitate research, startups, innovation, and data-related products and services for sustainable socio-economic development.

He also highlighted the importance of building a national open AI platform to enable businesses to easily access and apply AI, noting that this should be Vietnam’s own AI.

Additionally, attention should also be paid to boosting data literacy among the public while raising awareness, knowledge, and skills about data for people from all social strata, especially regarding the value and importance of personal data protection and compliance with legal regulations, he said.

According to the Party chief, data-based innovation challenge competitions should be organized soon to encourage the community to develop creative data-driven solutions and to create a platform that maximizes human potential in science and technology. He also underlined the necessity to strengthen self-reliance in data technology, and priorities, encourage and establish mechanisms to ensure that "Make in Vietnam" data technology products can compete fairly in the market, especially the international market.

The General Secretary called for support for accelerating the development of advanced data infrastructure, including data centers invested in by both the State and private enterprises. He also urged strengthening international cooperation, learning from global experience, attracting resources, and participating in global data initiatives, adding that it is necessary to build effective enforcement and monitoring mechanisms.

Government agencies, with the Ministry of Public Security and the Ministry of Science and Technology holding the leading role, together with other relevant ministries and sectors, must work out a more synchronized and stringent monitoring system by leveraging digital technology to ensure full and effective compliance with legal regulations, he said.

He emphasized the need to ensure data security by developing data protection systems and data security services, establishing data security standards, and forming an data security industry.

Mentioning certain shortcomings in data governance and exploitation, the Party leader said data governance is not only a policy issue but also a technological issue. Without technology, it is impossible to efficiently and safely collect, store, process, analyze, and share data.

The establishment of the National Data Association holds great significance, he stated, expressing his belief that it will take the lead in implementing Resolution 57 and other resolutions on science and technology, thus enabling Vietnam to become a digital nation with digital governance, digital economy, and digital society based on the country's "accurate, sufficient, clean, and living" data.

He requested a legal framework for data be completed to ensure that data can be collected, transferred, connected, shared, and maximized while maintaining data security, safety, and sovereignty.

Speaking at the event, General Luong Tam Quang, Minister of Public Security and President of the National Data Association for the 2025–2030 tenure, stated that the association will serve as a bridge connecting businesses, and foster a diverse and stable data ecosystem to support sustainable digital transformation across all sectors and lay a prerequisite for the country to enter a new digital era.

The National Data Association is tasked with connecting regulatory agencies, businesses, organizations, and individuals operating in the data industry. It aims to build a strong data ecosystem, helping promote the development of a digital economy and increasing the value of data in the national economy.

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A crucial recommendation was to allocate dedicated land for the supporting industry.

The supporting industry is a vital pillar in Vietnam's private economy, enhancing domestic production capacity and attracting foreign investment.

However, the country faces significant challenges in promoting this sector, including the lack of effective solutions to address land allocation for the supporting industry.

According to Mr. Phan Dang Tuat, Chairman of the Vietnam Association of Supporting Industries, the manufacturing sector—commonly referred to as part of the supporting industry—encompasses four main groups: electronic components, mechanics, plastics and rubber, and ancillary materials.

Together, these fields form a massive industry that requires cutting-edge technology and techniques, serving as the foundation for national economic growth. However, Vietnam remains underdeveloped in this critical area.

To address these challenges, Mr. Tuat proposed 10 recommendations for advancing the supporting industry.

Key proposals include redefining the essence of the supporting industry, establishing a dedicated development fund, and creating an incubator system with equipment and machinery tailored to actual needs.

He also called for collaboration with international inspection centers to help businesses ensure product quality, as well as launching a national program on materials.

Mr. Tuat emphasized the need for policies that encourage large domestic enterprises to mentor smaller firms. He cited South Korea's approach, which prohibits large companies from producing 1,600 specific components to give smaller businesses opportunities to grow. Additionally, he stressed the importance of specific policy tools to connect foreign direct investment (FDI) enterprises with local businesses.

A crucial recommendation was to allocate dedicated land for the supporting industry, potentially offering initial fee waivers, with charges applied only once businesses become profitable.

He also suggested establishing a specialized agency to oversee the supporting industry, serving as a focal point for management, and called for the enactment of a separate law to regulate and promote the industry.

-Phan Dương

The primary objective of the project is to establish an intermediary organization that connects partners, facilitates information sharing, promotes technology transfer.

The Hanoi People's Committee has issued Decision No. 1593/QD-UBND, approving the investment policy for the Hanoi Technology Exchange project (Phase 2).

The project entails a total investment capital of VND52.57 billion (over $2 million), which covers construction costs, equipment procurement, project management, consultancy expenses, and other related costs.

Funding for the initiative will be sourced from the city's budget, with completion anticipated by 2025.

The primary objective of the project is to establish an intermediary organization that connects partners, facilitates information sharing, promotes technology transfer, and supports businesses in exploring cooperation opportunities within the field of science and technology.

The construction plan includes the development of a Technology Exchange that operates in two formats: physical (offline) and online.

The physical exchange will include a reception area, technology display zone, conference facilities, and office spaces whilst the online exchange will consist of an e-commerce platform specializing in technology and equipment, serving as a hub for consulting, brokerage services, seminars, and technology promotion activities.

-Anh Khoa

Despite possessing a host of favorable conditions, Vietnam still has much to do to develop a strong domestic shipbuilding industry and secure a firm position in the global market.

According to recent figures from the International Maritime Organization (IMO), more than 90 per cent of global trade is transported by sea. As the government has set a target of 12 per cent trade growth this year and to reach $1 trillion in total trade turnover within the next few years, expanding Vietnam’s shipping fleet and developing a domestic shipbuilding industry have become critical to sustaining stable commercial growth.

Speaking at the opening ceremony of the 10th VietShip International Exhibition on Shipbuilding and Offshore Technology (VietShip 2025), which kicked off at the National Conference Center in Hanoi on March 5, Deputy Minister of Construction Nguyen Xuan Sang emphasized that Vietnam has targeted economic growth of 8 per cent this year, with key industries, including maritime transport and shipbuilding, playing a crucial role.

Setting sail

According to Mr. Hoang Hong Giang, Deputy Director of the Vietnam Maritime Administration (VMA), Vietnam is currently home to 88 shipbuilding enterprises and 411 facilities specializing in building inland waterway vessels. Vietnam’s current shipbuilding capacity is approximately 3.5 million tons a year, accounting for 0.61 per cent of global market share and employing over 80,000 workers as of the end of 2024.

Among the shipbuilders in Vietnam, the Shipbuilding Industry Corporation (SBIC) is one of the most prominent, operating eight shipyards with an annual new building capacity of 1.3 million tons and a repair capacity of 654,000 tons, building an average of 68 vessels and servicing 304 vessels per year.

Mr. Giang also pointed out that the current capacity is not enough to meet the export needs of Vietnam and there is an urgent need to expand the country’s shipbuilding industry. Of the 1,490 registered vessels in Vietnam as of the end of 2024, over 73 per cent have a gross tonnage of less than 5,000 tons. “The Vietnamese fleet is primarily suited for domestic coastal shipping and short-haul international routes within the region,” he said. “It has yet to compete in the global shipping market. The furthest route currently serviced by Vietnamese vessels is to India.”

He also highlighted that global shipbuilding capacity is currently unable to meet the growing demand for maritime freight. It is estimated that the world will require around 5,284 newly-built ships in 2030, with a total weight of 311.2 million tons. But only a few countries, such as China, South Korea, Japan, and Turkey, have well-developed shipbuilding industries at this time, presenting an opportunity for Vietnamese companies to capture a larger share of the global shipbuilding market.

The VMA forecasts that the country’s shipbuilding capacity for foreign customers could reach 2.7-2.8 million tons a year by 2030, accounting for 0.88-0.9 per cent of global demand.

Dr. Pham Hoai Chung, Chairman of the Member’s Council at SBIC, said shipbuilding is a core industry that contributes to the broader economy by fostering demand in various industrial sectors. Vietnam boasts a nationwide network of shipyards capable of producing a diverse range of vessels to meet both domestic and international market demands. State-owned enterprises (SOEs) such as SBIC and PetroVietnam, along with several foreign-invested shipyards, currently handle the majority of shipbuilding needs.

Despite its relatively small export market share, Vietnam’s shipbuilding sector has successfully developed a range of high-quality vessels, including large-capacity, specialized, and high-tech ships. Over the past two decades, the industry has made significant strides forward, moving from building ships under 3,000 deadweight tons (DWT) to producing bulk carriers of up to 65,000 DWT, 1,800-TEU container ships, 150,000-DWT floating storage and offloading (FSO) units, car carriers for 4,900 vehicles, 104,000-DWT oil tankers, and 13,000-DWT chemical tankers.

Following restructuring efforts, SBIC remains Vietnam’s leading shipbuilding and repair company, operating 25 dry docks and slipways capable of launching vessels ranging from 5,000 to 80,000 DWT.

Vietnam’s demand for maritime transport is expected to grow significantly in the years to come, at around 10 per cent a year to 2030. The goal is for the Vietnamese fleet to increase its share of trade cargo transport while fully meeting domestic transportation needs. Therefore, Dr. Chung believes that the rising demand for shipbuilding will align with the expanding domestic market.

Gaining a foothold

Despite these opportunities and achievements, Mr. Giang also identified several challenges hindering Vietnam’s shipbuilding industry, including scattered investments, outdated production technology, low automation levels, and a reliance on imported materials. Vietnamese shipyards also lag behind foreign-invested enterprises in terms of productivity and competitiveness.

Therefore, despite having 88 shipbuilding companies, Vietnam’s specialized infrastructure for the industry remains limited. Nationwide, there are only 19 docks / slipways for building and repairing ships ranging from 5,000 to 400,000 tons, 17 slipways for vessels between 6,500 and 70,000 tons, and just one modern ship lift capable of handling ships up to 70,000 tons. “Meticulous precision is required to apply modern shipbuilding technology, much like manufacturing an automobile,” Mr. Giang explained. “Slipways or floating docks cannot be used for this purpose. A ship lift, similar to an elevator, is necessary, but Vietnam has only one such facility in the entire country.”

In addition to the lack of shipbuilding infrastructure, he added that the local shipbuilding industry has not yet mastered the production of any major component of the process, as the country lacks a developed support industry and primarily provides labor-intensive services.

Dr. Chung said his company, despite being the biggest domestic shipbuilder, is only operating at around 50-60 per cent of design capacity due to insufficient investment in infrastructure and technology.

To overcome these issues, Mr. Giang, drawing from the experience of other countries with developed shipbuilding industries, emphasized the need for SOEs to take the lead, with preferential loans, contract guarantees, and policy support offered to attract and train a highly-skilled workforce. Tax incentives and financial assistance are also necessary to boost the industry’s growth.

The government should designate specific coastal and riverfront areas for shipbuilding and repair facilities, exempt shipbuilding enterprises from land rental fees, and establish dedicated shipbuilding industrial parks in key cities and provinces such as Hai Phong and Quang Ninh in Vietnam’s northern region and Ba Ria-Vung Tau in the southern region.

Regarding capital investment and the development of support industries, experts recommend that Vietnam identify its niche and the right market segment within the global shipbuilding industry.

While countries like China focus on building large vessels with relatively-advanced technology, South Korea and Japan specialize in high-tech, large-tonnage ships. Vietnam, in contrast, could carve out a position by targeting mid-sized and smaller cargo ships, allowing it to establish a foothold and secure the necessary funding for further development.

Preparing for the future

Looking at the future of shipbuilding, many countries are setting ambitious goals to become hubs for “green” shipbuilding by 2030 and secure a fully green-powered domestic fleet by 2050.

To stay competitive amid this global shift, Mr. Giang proposed a series of measures for Vietnam, including a long-term strategic roadmap for its shipbuilding industry to ensure sustainable growth.

In terms of financial solutions, the VMA suggested adding shipbuilding enterprises to the priority list for industrial support incentives, offering tax exemptions and reductions, providing preferential loans, and establishing a fund for technological innovation and infrastructure development.

According to Mr. Sivert Skårn, General Director of Vard Vung Tau, one of the most prominent foreign shipbuilders in Vietnam, the global shipbuilding industry is increasingly focusing on developing and adopting new technological solutions that are environmentally-friendly, enhance sustainability, and utilize clean fuel. The Norwegian shipbuilding group has already mastered these technologies and is ready to implement them at its production facility in Vietnam.

 

"We have just completed an expansion of our shipyard in Vietnam, driven by our belief in the future of the country’s shipbuilding industry and its strong export potential."

 Mr. SIVERT SKÅRN, General       Director of Vard Vietnam

However, he added that adopting these advanced technologies and techniques requires government coordination and policy support, along with investment incentives to attract foreign shipbuilders to introduce these innovations in Vietnam.

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-Việt An

Their investment focusing on infrastructure, petrochemical, biotechnology and new materials.

Leaders of major FDI enterprises in southern Ba Ria-Vung Tau province have revealed plans to increase investment in Vietnam in various areas, during a meeting with Prime Minister Pham Minh Chinh on March 20.

Their investment will focus on infrastructure, petrochemical, biotechnology and new materials.

A leader of Ho Tram Project Company Ltd, a subsidiary of the Asian Coast Development (Canada) Ltd. (ACDL), informed that the company has collaborated with Ba Ria-Vung Tau to develop a proposal for the construction of an expressway connecting Long Thanh International Airport in the neighboring province of Dong Nai to the Ho Tram Urban Area in Xuyen Moc district of Ba Ria-Vung Tau province. The proposed 40km-long expressway is estimated to cost around VND17 trillion ($665.1 million). With this project, the company plans to invest an additional $1.8 billion into the Ho Tram area.

A representative from the Long Son Petrochemical Complex project, invested by Thailand’s SCG Group, said the group plans to invest an additional $400 million to expand the project, bringing its total investment capital to nearly $6 billion.

Meanwhile, Hyosung Vina Co., Ltd., a subsidiary of the Republic of Korea’s Hyosung Group, has invested a total of approximately $4.6 billion and plans to pour an additional $1.5 billion into the fields of biotechnology and carbon fiber in Vietnam. 

 

 

-Minh Huy

Two bridges of the $151 million project expected to open to traffic before April 30.

Authorities of southern Ba Ria-Vung Tau province have instructed investor and contractors of the 991B Road project connecting National Highway 51 and the downstream Cai Mep Port to accelerate construction work to open to traffic part of the project before April 30 this year.

The project, with investment capital of over VND3.9 trillion ($151 million) from State and provincial budgets, is a major traffic route facilitating the transport of cargo to and from the Cai Mep-Thi Vai port complex.

It consists of two main contract packages that build a 9.7-km road and some bridges, including an overpass across the Highway No.51.

The package No.36 building two bridges has been complete and is expected to open to traffic before April 30.

Meanwhile, the remaining package No.37 building the road, one bridge and the overpass is under construction. The package is scheduled for completion in June this year.

The construction of the project started in May, 2018 and was slated for completion in June last year. However, the project faced delay due to the Covid-19, shortage of construction materials and difficulties relating to site clearance.

 

-Hoài Niệm

The initiative aims to evaluate factors related to green carbon credits, focusing on the quantitative calculation of carbon footprints and the impact of forests on climate change.

The Mekong Delta province of Ca Mau has initiated a project called the "Feasibility Assessment for Designing a Proposal to Advocate for Green Carbon Credits in Ca Mau Province in 2024-2025".

The initiative aims to evaluate factors related to green carbon credits, focusing on the quantitative calculation of carbon footprints and the impact of forests on climate change. The findings will pave the way for solutions to mitigate impacts, manage carbon risks, identify areas for improvement, enhance efficiency, and reduce costs through lower energy consumption.

The project also seeks to encourage businesses and local communities to actively participate in carbon emission reduction efforts. By promoting greenhouse gas mitigation actions, the project aims to strengthen the roles and responsibilities of stakeholders in combating climate change.

A specific goal of the initiative is to assess the feasibility of creating an advocacy document for a green carbon credit project targeting coastal communities in three communes: Tam Giang, Tam Giang Dong, and Lam Hai in Nam Can district. Local authorities and experts will collaborate to design proposals for content and models that align with regulations and standards for green carbon credit projects.

The program is funded by Save the Children Japan through Save the Children International in Vietnam (SCI). With a total budget of over VND1.7 billion (nearly $66,500), the project will run from its approval date on February 20 to September 2025.

-Anh Khuê

This line would facilitate the transport of agricultural products and other goods, contributing to the socio-economic development of the Central Highlands region.

The Central Highland province of Dak Nong has proposed to a working delegation from the National Assembly (NA) the promotion of investment in a railway line connecting the Central Highlands region, according to a report from Radio the Voice of Vietnam.

The locality also called for the inclusion of the Dak Nong - Lam Dong - Binh Thuan railway line in the national planning to support socio-economic development.

On March 19, the NA's Committee for Science, Technology, and Environment conducted a survey in Dak Nong province to review the draft Law on Railways (amended).

During the meeting, Mr. Le Trong Yen, Standing Vice Chairman of the Provincial People's Committee, emphasized the province’s significant bauxite reserves.

He noted that numerous businesses have applied to invest in bauxite mining and processing, representing substantial registered capital. To unlock this potential, Dak Nong has proposed investments in a railway line connecting the Central Highlands region as a breakthrough solution.

Specifically, the locality recommended prioritizing the construction of the Dak Nong - Chon Thanh (Binh Phuoc) railway line, which would connect with the Trans-Asian Railway to Thi Vai Port. This railway would support the transportation of alumina, refined aluminum, and post-aluminum products.

The province also proposed studying the inclusion of the Dak Nong - Lam Dong - Binh Thuan railway line in the national railway plan. This line would facilitate the transport of agricultural products and other goods, contributing to the socio-economic development of the region.

In 2024, the NA approved the investment policy for the Gia Nghia (Dak Nong) - Chon Thanh (Binh Phuoc)  expressway project.

-Phạm Long

The selling prices of SJC-branded gold bars plummeting to below the VND100 million ($3,885) per tael mark on March 21.

Gold prices in the domestic market reversed to plummet on March 21 after beating the VND100 million ($3,885) per tael mark.

SJC-branded gold bars were sold for between VND98.6 million ($3,830) and VNDVND99.8 million ($3,877) per tael, down from VND600,000 ($23.3) to VND1.2 million ($46.6) per tael compared to the previous day.

One tael equals 37.5 grams, or 1.2 ounces.

On March 20, the selling price of SJC-branded gold bars offered by the Saigon Jewelry and Gem Stone Co. (SJC) jumped to a historic record high of VND100.4 million ($3,900) per tael.

In the global market, the gold prices started the downward trend after a very sharp rally over the past weeks, dropping by 0.62% to $3,031.9 per ounce on March 21.

At this level, gold prices in Vietnam stand at around VND3.67 million ($142) a tael higher than the global price.

 

-Phương Linh

The system will help to simplify procedures for passengers and enhance security.

Automatic immigration gate system (Autogate) has been officially put into operation at Da Nang International Airport in central Da Nang city from March 20.

The system will help to ease the workload for immigration officers, simplify procedures for passengers and enhance security through advanced biometric recognition technology.

In 2024, the Da Nang International Terminal Investment and Operation Joint Stock Company (AHT) collaborated with FPT Software to implement various advanced technologies, including self-check-in kiosks, automated boarding gates, an AI-powered security analytics system and multi-lingual operating screens.

AHT Deputy Director General Do Trong Hau said that the official operation of the Autogate marks a significant milestone in modernizing entry/exit management process at the airport, improving service quality, and optimizing the airport operation.

-Ngô Anh Văn

The project aims to establish a multipurpose port that will support economic activities, cater to industrial parks within the province and its surrounding areas.

Deputy Prime Minister Tran Hong Ha has signed Prime Ministerial Decision No 650/QD-TTg, dated March 19, 2025,  approving the investment policy for the Long Son My Xuan General Port Project, located in the southern province of Ba Ria - Vung Tau.

The project is backed by an investment capital estimated at nearly VND2.386 trillion (nearly $93.3 million), as registered by the investor - Long Son joint stock company, and spans an area of approximately 41.65 ha.

The Long Son My Xuan General Port Project is set to be developed in the Thi Vai port area, situated in My Xuan Ward, Phu My Town. Its objective is to complete the Thi Vai port area as outlined in the approved regional plan.

The project aims to establish a multipurpose port that will support economic activities, cater to industrial parks within the province and its surrounding areas, and address the growing demand for construction materials in the region.

Additionally, the project seeks to capitalize on the region's natural advantages, strategic geographical location, and existing infrastructure projects to accelerate the socio-economic growth of Ba Ria - Vung Tau and the Southern region at large.

The project involves the construction of one main 270-m wharfs, capable of accommodating general cargo vessels up to 30,000 DWT; and 4 barge wharfs with a total length of 530 m, designed for ships and barges with a capacity of up to 7,500 DWT.

-Thanh Thủy

FDI figures for the first two months of 2025 confirm Vietnam’s ongoing appeal among investors as an investment destination.

Foreign investment into Vietnam in 2025 has gotten off to a strong start, with inflows reaching nearly $6.9 billion in the first two months, for an impressive 35.5 per cent year-on-year increase. The latest report from the General Statistics Office (GSO) and the Ministry of Finance underscores Vietnam’s growing attraction as a prime destination for global investors.

Promising inflows

While newly-registered FDI fell 48.4 per cent in value to $2.19 billion in the period, the number of new projects rose 10 per cent to 516. This signals that despite a more cautious approach to project scale due to global economic uncertainties, investors are still eager to establish operations in Vietnam.

One standout trend was the six-fold increase in additional registered capital, which soared to $4.18 billion. This remarkable growth highlights the trust and long-term commitment of existing investors who are actively expanding their presence in the country.

Meanwhile, foreign capital contributions and share purchases skyrocketed by 88.8 per cent to $529.8 million, underscoring the strong interest of international investors in tapping into Vietnam’s dynamic business landscape.

Beyond the numbers, recent discussions between foreign business associations, investors, and the Vietnamese Government reinforce Vietnam’s position as an increasingly attractive investment destination.

At a meeting with Prime Minister Pham Minh Chinh in early March, Mr. Ko Tae Yeon, Chairman of the Korean Chamber of Commerce in Vietnam (KoCham), emphasized the strong confidence of South Korean businesses in Vietnam’s market potential. He also praised the government’s proactive efforts in navigating the external challenges, facilitating business operations, and driving economic growth.

Some 10,000 South Korean enterprises are now operating in Vietnam, spanning key economic sectors such as high-tech industry, semiconductors, and energy. This strong presence highlights Vietnam’s crucial role in the global supply chain and reflects the deepening Vietnam-South Korea economic partnership.

Looking ahead, Mr. Yeon noted that South Korean businesses remain eager to explore new investment opportunities in high-tech fields, including semiconductors, green energy, LNG, electric vehicle (EV) batteries, biotechnology, and advanced materials. This signals the likelihood of major South Korean investments in Vietnam in the near future.

Similarly, the latest survey of Japanese enterprises on emerging markets identified Vietnam as the most promising destination. With ambitious plans for energy development and road and rail infrastructure, Vietnam is regarded by Japanese businesses as one of the most dynamic economies in the region. Notably, around 56 per cent of Japanese companies plan to expand operations in Vietnam within the next one to two years; the highest rate in ASEAN. “Businesses are optimistic about Vietnam’s economic growth, especially as the country enters the era of the nation’s rise and undertakes a revolution in organizational streamlining,” Japanese Ambassador to Vietnam, H.E. Ito Naoki, emphasized.

Notable shifts in FDI

As highlighted by investors, the manufacturing and processing sector remains the largest recipient of FDI in Vietnam.

According to the GSO, FDI inflows into the sector reached $4.51 billion in the first two months of 2025, accounting for 70.8 per cent of total newly-registered and additional capital. This reaffirms Vietnam’s position as a key manufacturing hub in the region.

Beyond manufacturing, FDI in service sectors such as financial services and logistics has also seen growth, signaling a shift in investment patterns as more foreign investors explore diverse industries.

Vietnam’s FDI disbursement also showed positive momentum, reaching an estimated $2.95 billion in the first two months, for a 5.4 per cent increase year-on-year. This is also the highest two-month disbursement level in recent years. The steady rise in disbursed capital reflects the effective implementation of FDI projects, further driving Vietnam’s economic growth.

One of the standout trends in early 2025 is that Asian investors continue to play a pivotal role in Vietnam’s FDI landscape. South Korea leads with total investment of $1.47 billion, followed by Singapore with $1.4 billion and China with $850 million.

However, when it comes to new project registrations, Chinese investors have taken the lead, contributing $679.8 million, which accounts for 31 per cent of total newly-registered capital. This reflects the growing interest of Chinese businesses in expanding their presence in Vietnam.

Challenges remain

While FDI disbursement reached its highest level in the period for the past five years, its growth rate nonetheless remains modest compared to the increase in registered capital and is lower than in the same period of 2023, which saw a 4.9 per cent decline. This presents a challenge for achieving first-quarter economic growth targets, as the FDI sector has long been one of Vietnam’s key growth drivers. To address this, authorities must implement measures to accelerate disbursement and create favorable conditions for FDI project execution.

Additionally, Vietnam should focus on attracting FDI into high-tech, environmentally-friendly sectors that generate higher added value for the economy. FDI attraction should also be closely linked to technology transfer and sustainable development.

To sustain and build on this momentum, Vietnam must continue improving workforce quality, developing modern infrastructure, and enhancing the competitiveness of domestic enterprises. Strengthening these areas will enable local businesses to integrate more deeply and sustainably into the global value chains of foreign investors.

With ongoing efforts to improve the investment climate, Ambassador Naoki expressed confidence that Vietnam will continue attracting FDI in 2025, further driving economic growth and strengthening its position on the global stage.

-Ngân Hà

The project scale has also been expanded to meet expressway standards, including six lanes with a design speed of 100 km/h.

Deputy Prime Minister Tran Hong Ha has signed Decision No. 653/QĐ-TTg, approving the adjusted investment policy for the Hoa Lac - Hoa Binh road project under the Public-Private Partnership (PPP) model, Radio the Voice of Vietnam reported.

The project is part of the Road Network Plan for the 2021–2030 period, with a vision to 2050, aiming to gradually complete Vietnam’s expressway network.

It seeks to connect the expressway from Hanoi connecting the northern mountainous provinces of Hoa Binh, Son La, and Dien Bien. Additionally, it will serve as a foundation for attracting investors in key sectors such as urban development, industry, commerce, and services.

The project is expected to drive socio-economic development in Hoa Binh province and the Northwest region, improve disaster response and climate change adaptation, and enhance national defense and security.

The approved adjustments include reducing the length of the Hoa Lac - Hoa Bình section from 25.69 km to 23.04 km. The project scale has also been expanded to meet expressway standards, including six lanes with a design speed of 100 km/h.

The estimated timeframe for project preparation, investment, and construction spans from 2014 to 2028. The initial phase of the project, implemented between 2014 and 2018, has been in operation. The adjustments to the scale are being executed from 2023 to 2028.

The preliminary total adjusted investment capital for the project is approximately VND10.475 trillion (nearly $411 million). Of this, VND2.476 trillion (over $97 million) has already been invested in the operational phase, with finalization of costs currently underway.

-Phạm Long

The project scale has also been expanded to meet expressway standards, including six lanes with a design speed of 100 km/h.

Deputy Prime Minister Tran Hong Ha has signed Decision No. 653/QĐ-TTg, approving the adjusted investment policy for the Hoa Lac - Hoa Binh road project under the Public-Private Partnership (PPP) model, Radio the Voice of Vietnam reported.

The project is part of the Road Network Plan for the 2021–2030 period, with a vision to 2050, aiming to gradually complete Vietnam’s expressway network.

It seeks to connect the expressway from Hanoi connecting the northern mountainous provinces of Hoa Binh, Son La, and Dien Bien. Additionally, it will serve as a foundation for attracting investors in key sectors such as urban development, industry, commerce, and services.

The project is expected to drive socio-economic development in Hoa Binh province and the Northwest region, improve disaster response and climate change adaptation, and enhance national defense and security.

The approved adjustments include reducing the length of the Hoa Lac - Hoa Bình section from 25.69 km to 23.04 km. The project scale has also been expanded to meet expressway standards, including six lanes with a design speed of 100 km/h.

The estimated timeframe for project preparation, investment, and construction spans from 2014 to 2028. The initial phase of the project, implemented between 2014 and 2018, has been in operation. The adjustments to the scale are being executed from 2023 to 2028.

The preliminary total adjusted investment capital for the project is approximately VND10.475 trillion (nearly $411 million). Of this, VND2.476 trillion (over $97 million) has already been invested in the operational phase, with finalization of costs currently underway.

-Phạm Long

Vietnam remains one of the fastest-growing economies in Asia despite global fluctuations, according to global real estate services firm JLL.

Vietnam’s real estate market is experiencing strong growth due to improved investor sentiment, lower borrowing costs, and increased transaction activity across key segments.

According to the lastest report from renowned market research company JLL, titled 'Vietnam Property Market Outlook 2025: A New Chapter in Economic Growth,' providing an in-depth analysis of the market forces shaping 2025.

Economic foundation remains strong

Vietnam remains one of the fastest-growing economies in Asia despite global fluctuations. The realized capital of foreign direct investment (FDI) stood at $25.4 billion in 2024, increasing 9.4 per cent year-over-year (YoY). Major infrastructure investment projects have contributed to the development of real estate hotspots nationwide.

According to Ms. Trang Le, Country Head of JLL Vietnam, the investment environment is improving, the middle class is rising, and investors are becoming more professional. These factors are strengthening Vietnam’s position as an attractive real estate market in Southeast Asia.

Office market: Shifting towards quality investment

Over 43,000 sq m of net absorption in 2024 was recorded in Vietnam’s office leasing market, demonstrating a strong recovery in corporate demand. Green offices, which prioritize sustainability and tenant well-being, are now becoming the preferred choice for leasing.

“Businesses are seeking high-end, modern workspaces that not only enhance productivity but also meet sustainable criteria. This trend is driving demand for premium office spaces,” Mr. Will Tran, Head of Office Leasing Advisory at JLL Vietnam, shared.

This shift is particularly evident in the center of Ho Chi Minh City, where asking rents for Grade A and A+ offices have increased by 1.3 per cent YoY. This is an impressive figure, considering the record-high new supply introduced to the market within six months, reflecting the growing demand for high-quality and environmentally friendly workspaces.

Residential market: Strong rebound

After hitting a low in 2024, Vietnam’s residential supply is predicted to rebound strongly, aided by policy adjustments, enhanced transparency, and accelerated project approvals.

Developers and investors continue to focus on Hanoi and Ho Chi Minh City. However, they are increasingly shifting attention to satellite areas, where demand is showing significant growth.

According to Mr. Bach Ta, Director of Capital Markets Transactions at JLL Vietnam, the market is entering a more sustainable growth cycle, driven by urbanization, an expanding middle class, and policy reforms.

“We expect transaction activity to be more vibrant in well-planned residential projects, especially in the mid-to-high-end segments,” Mr. Bach shared.

Industrial supply chain market: Elevating Vietnam’s global position

Vietnam remains a top manufacturing destination in Southeast Asia, benefiting from the “China Plus One” strategy. Moreover, the country is now capitalizing on local policy shifts, global supply chain adjustments, and ambitious infrastructure development plans, further enhancing the attractiveness of its industrial and supply chain market.

According to Ms. Van Nguyen, Head of Transactions for Northern Vietnam at JLL Vietnam, Vietnam’s industrial and supply chain market is expanding rapidly, with realized FDI reaching a record $25.4 billion in 2024.

“Manufacturing and real estate remain the largest sectors attracting FDI. Additionally, the market is expanding beyond traditional hubs, driven by infrastructure improvements and the rise of high-tech, eco-friendly industrial parks, reinforcing Vietnam’s importance in the global supply chain,” Ms. Van shared.

Get ready for a breakthrough

Vietnam’s real estate sector is entering a new chapter of economic growth, supported by rising transaction volumes, a strong economic foundation, and ongoing regulatory reforms. Consequently, JLL experts remain optimistic about the investment outlook for 2025.

Mr. Michael Glancy, Managing Director for Thailand, Indonesia, the Philippines Vietnam at JLL, stated that Vietnam’s real estate market is clearly recovering, with investment activity expected to surge in 2025.

Lower borrowing costs and improved investor sentiment are key drivers of this positive trend. Moreover, Vietnam’s fundamental strengths, including a young and dynamic workforce, developing infrastructure, and investment-friendly policies, are positioning the country as an attractive destination for real estate projects across various segments.

“As market conditions further improve, we expect an increase in transactions and new developments, reinforcing Vietnam’s status as a leading real estate market in Southeast Asia,” Mr. Glancy shared.

-Linh Tong - Cap Mai

Collaboration and inter-industry support are key to fostering progress, contributing to environmental protection while delivering significant benefits to businesses and communities.

In a highly competitive market, the packaging, plastics, and rubber industries in Vietnam are undergoing a significant transformation, driven by automation, production optimization, and sustainable development initiatives.

Ms. Le Thi Nhu Hanh, Standing Vice President of the Vietnam Packaging Association (VINPAS), emphasized that growing demands for quality, environmental sustainability, and cost efficiency pose both challenges and opportunities. These demands encourage innovation and drive competitiveness in the industry.

Mr. Nguyen Van Viet, Chairman of the Vietnam Beer, Alcohol, and Beverage Association (VBA), highlighted the pivotal role of the packaging and plastics-rubber industries in protecting, transporting, and efficiently distributing goods.

He noted that, despite global economic fluctuations, these industries have demonstrated strong growth, signaling a sustainable and promising future. Collaboration and inter-industry support are key to fostering progress, contributing to environmental protection while delivering significant benefits to businesses and communities.

Mr. Tran Viet Anh, Chairman of the Vietnam Waste Recycling Association (VWRA), noted that the rubber industry plays a critical role in Vietnam's economy, with exports valued at $3.5 billion annually.

However, the rapid development of the plastics and rubber sectors has also brought pressing environmental challenges. Increased plastic consumption has led to rising levels of plastic waste and an urgent need for sustainable recycling practices. “This is the time for all parties to join hands to move towards a greener, circular, and more responsible industry,” Mr. Anh stated.

“The effective implementation of Extended Producer Responsibility (EPR) will help the rubber-plastics industry reduce environmental impacts while creating significant opportunities for the recycling sector to thrive,” he said.

-Minh Huy

Investment capital required for the project's first phase estimated at some $3.13 million.

The Ho Chi Minh City University of Transport has proposed a project to establish a High-Speed Railway Research and Development Center in southern Dong Nai province.

The center is planned to span approximately 55 ha within a larger 300-ha area designated for educational development in  the province's Long Khanh city.

Phase 1 of the project is estimated to require

An investment capital required for the project's first phase is estimated at VND80 billion (approximately $3.13 million), with implementation scheduled from 2025 to 2030.

The project aims to develop a national key experimental center for high-speed railways, equipped with modern technical infrastructure that meets global technological standards.

The center will facilitate practical training, experimental production, and scientific research while supporting the training of human resources for high-speed railways, aviation engineering, and integrated logistics services.

"The project will play a crucial role in researching and training high-quality human resources in the three fields of high-speed railways, aviation engineering, and logistics services," stated the Chairman of the Provincial People's Committee.

To support this initiative, the People's Committee has instructed the People's Committee of Long Khanh city to focus on developing, submitting for appraisal, and approving the planning proposal for the project by May 2025.

-Thiên Di

Prime Minister Pham Minh Chinh inspecting the construction site in Dong Nai province on March 20.

Prime Minister Pham Minh Chinh has urged for basically completing the Long Thanh International Airport project (phase 1) in southern Dong Nai province by the end of this year, while visiting the construction site on March 20.

Long Thanh International Airport is the largest airport project in Vietnam to date, holding exceptional importance for the socio-economic development of Vietnam's Southeast region and the country as a whole.

This was the Prime Minister's seventh on-site inspection of the project.

Following the site inspection, the Prime Minister chaired a meeting with relevant ministries, agencies, and localities to discuss ways to tackle obstacles facing the project.

To ensure long-term transport connectivity, the leader also asked for consideration of a metro line linking Long Thanh Airport with Tan Son Nhat International Airport in Ho Chi Minh City.

On the same day, the PM also inspected construction site of some transport links with the airport, including Bien Hoa – Vung Tau expressway, T1 and T2 roads connecting with the airport, and Ho Chi Minh City – Long Thanh – Dau Giay expressway.

 

-Huỳnh Dũng