European investments are gravitating towards emerging sectors such as clean energy, high technology and logistics, with the aim of positioning Vietnam as a regional transhipment hub.
The bulk of European capital has been directed towards processing and manufacturing, energy and gas, real estate, and information and communications. (Illustrative photo: VNA)
Hanoi (VNA) – Vietnam is witnessing a steady rise in foreign direct investment (FDI) from Europe, with increasing businesses viewing the country as a strategic destination, particularly in clean energy, high technology, semiconductors, and infrastructure.
Figures show that European investors channelled 2.5 billion USD of FDI into Vietnam in 2022, climbing to 3.25 billion USD two years later.
The continent now accounts for nearly 2,500 projects in the Southeast Asian country, with the Netherlands, France, Luxembourg, and Germany together contributing around 20 billion USD. The bulk of European capital has been directed towards processing and manufacturing (36.3%), energy and gas (20.7%), real estate (11%), and information and communications (6.6%).
Although European businesses are present in almost all provinces and cities, the largest concentrations are found in metropolises and industrial hubs such as Ho Chi Minh City, Dong Nai, Hanoi, Bac Ninh, and Quang Ninh.
At a recent B2B networking event in Hanoi that brought together 100 Italian firms and 200 Vietnamese counterparts, Michal Ron, Chief International Business Officer at Italian insurance and finance group SACE, affirmed that Vietnam is always considered a priority market for Italian companies.
She expected that the EU-Vietnam Free Trade Agreement (EVFTA) will create further opportunities, spurring greater investment from Italy to Vietnam.
Many large European investors have come to Vietnam in recent years. Among them, LEGO of Denmark has built a toy factory worth 1.3 billion USD in Ho Chi Minh City.
Nguyen Hai Minh, Vice Chairman of the European Chamber of Commerce in Vietnam (EuroCham), said European investments are gravitating towards emerging sectors such as clean energy, high technology and logistics, with the aim of positioning Vietnam as a regional transhipment hub.
Le Anh Dung, Chief Executive of the Institute for International Investment Studies (ISC), added that investors from Denmark and Germany are particularly active in renewable energy.
꧒ However, analysts said FDI from Europe remains modest compared to Vietnam's attraction potential, cautioning that limitations in human resources, infrastructure, institutional framework, and administrative procedures continue to pose major challenges./.
Finance Minister Nguyen Van Thang noted that free trade agreements such as the UK–Vietnam Free Trade Agreement (UKVFTA) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) have expanded opportunities for businesses in both countries.
The EU is among the world’s top three importers of farm produce, but Vietnam holds only a 2% share – still modest compared to its agricultural production capacity and potential, which indicates vast growth potential in the EU if backed by a proper strategy.
Deputy Prime Minister Tran Hong Ha affirmed that Vietnam has always placed great importance on and is committed to further strengthening its relationship with the EU and enhancing cooperation with the EIB.
The new tax regime of India is a landmark reform that promises to generate profound changes in India’s business landscape and will directly affect Vietnamese investors, producers, and exporters in this market.
Two-way trade between Vietnam and Cambodia reached 10.1 billion USD last year, while the figure in the first eight months of the year was 7.98 billion USD, up 16.3% year-on-year.
All businesses are eligible to participate in the programme without undergoing any selection or review process. Enterprises can independently launch promotional campaigns with diverse and appealing content for customers and are allowed to apply maximum discounts of up to 100%.
Singapore’s United Overseas Bank (UOB) has boosted its 2025 GDP growth forecast for Vietnam to 7.5% from 6.9%, pointing to the economy’s resilience and dynamism despite tariff risks and uncertainties.
Spanning 8.4ha of gross floor area and rising to 30m, the package requires advanced steel–concrete solutions, synchronised execution and accelerated progress within 330 days.
Through this partnership, VinFast Philippines, a subsidiary of Vingroup JSC, one of Vietnam's largest conglomerates, will leverage on BDO's comprehensive suite of financial solutions including cash management, consumer banking, leasing, and insurance services and create tailored financing programmes for both retail and corporate customers.
Under the new system, passengers without checked luggage simply check in via VNeID or a kiosk, undergo facial recognition at security, and board by scanning their face. Those with baggage drop it at a counter before entering the same automated flow.
Vietnam values its international partnerships, including with the UK, Finance Minister Nguyen Van Thang noted, urging UK companies, funds and financial institutions, and those from Europe and worldwide, to continue expanding investment, transferring know-how, sharing management experience and advancing green finance and technology to realise Vietnam’s sustainable development vision.
Vietnamese Minister of Finance Nguyen Van Thang expressed gratitude for the UK’s active role in supporting Vietnam’s efforts to draft a National Assembly resolution on creating an international financial centre. The City of London, he noted, provided pivotal insights and recommendations to shape the groundwork and development roadmap for this hub.
Vietnam is ready to deepen economic cooperation with the Association of Southeast Asian Nations (ASEAN), China and other partners, embracing a strategy of “harmonised interests and shared risks” as it leverages its fast-growing economy and market of over 100 million people.
Tay Ninh, Nghe An and Quang Tri provinces have strategic locations and significant cooperation potential, said Nguyen Thi Thai Binh, Minister-Counsellor at the Vietnamese Embassy, expressing confidence that with creativity and determination, these provinces and their Korean partners will find ample opportunities for productive collaboration.
Jointly organised by the Vinexad National Trade Fair and Advertising JSC and Yorkers Exhibition Service Vietnam, the event features 1,200 booths of more than 650 exhibitors from 20 countries and territories, including Germany, India, Indonesia, Italy, Japan, the Republic of Korea, Singapore, Switzerland, Thailand, and the US.
Public investment should serve as a key driver of growth, acting as seed capital to catalyse and mobilise all social resources, thereby fostering economic expansion, creating jobs and livelihoods, and improving the material and spiritual well-being of the people, PM Pham Minh Chinh stated.
An official of the Foreign Trade Agency laid stress on the foundational role of rules of origin in international trade, highlighting the importance of capacity building for enforcement officers in the context of deep international integration.
Against the backdrop of the growing comprehensive strategic partnership between Vietnam and Russia, the promotion and export of Vietnam’s agricultural products not only diversify supply sources for the Russian market but also help enhance the brand values and competitiveness of Vietnamese enterprises in the market that remains untapped.
International trade is no longer merely an exchange of goods but a strategic lever enabling Vietnamese enterprises to enhance capacity, secure partnerships, and expand globally.
In the first eight months of 2025, Vietnam’s total trade value reached nearly 600 billion USD, up 16.3% year on year. Of this, exports stood at 306 billion USD, a 14.8% increase, already surpassing the full-year target.
Vietnam aims to maintain macroeconomic stability, control inflation below the target, achieve growth of 8.3-8.5%, ensure major economic balances, surpass budget revenue estimates by 25%, and control public debt, government debt, foreign debt, and budget deficit.
