Vietnam’s Strategic Policies for FDI Enterprises: A Path to Success
Introduction
Vietnam is actively crafting competitive and progressive policies aimed at ensuring that foreign direct investment (FDI) enterprises operate seamlessly and thrive within its borders. With a focus on improving the investment landscape, these strategies highlight Vietnam’s appeal as a prime destination for international investors, particularly from Japan.
Robust Profitability Among Japanese Firms
A recent survey conducted by the Japan External Trade Organization (JETRO) revealed that a remarkable 67.5% of Japanese companies operating in Vietnam reported profits in 2025. This figure marks the highest in 16 years and surpasses the ASEAN average of 65.3%. Such statistics underscore Vietnam’s growing reputation as a favorable environment for foreign enterprises.
Business Expansion Outlook
Not only are Japanese firms profitable, but they are also optimistic about their future in Vietnam. The survey indicated that 56.9% of these companies plan to expand their operations in the next one to two years, thereby retaining the highest expansion intent among ASEAN nations for the second consecutive year. This growth potential showcases Vietnam’s strong investment allure.
Strengthening Vietnam-Japan Ties
Ozasa Haruhiko, the Chief Representative of JETRO Hanoi, emphasized the importance of strengthening Vietnam-Japan cooperation. JETRO plays an instrumental role in facilitating connections between businesses from both nations, fostering long-lasting partnerships that benefit both sides. This collaborative spirit is crucial for mutual growth in an ever-evolving market landscape.
Government’s Commitment to a Supportive Investment Climate
Deputy Prime Minister Nguyen Chi Dung commended JETRO’s efforts in enhancing Vietnam’s investment environment. He pointed out that JETRO’s annual survey closely mirrors market realities, providing valuable insights that contribute to refining the country’s investment policies effectively. The Vietnamese government is attentive to these findings, using them to attract high-quality FDI, particularly from Japan.
Navigating Challenges in a Dynamic Market
Despite grappling with various challenges—including the global pandemic, economic slowdowns, and geopolitical tensions—Japan remains a top investor in Vietnam. The resilient performance of Japanese firms reflects the country’s robust market potential, instilling confidence among investors seeking stability in their operations.
Addressing Bottlenecks for Better Efficiency
The Deputy Prime Minister expressed a keen interest in addressing existing bottlenecks faced by foreign investors. He highlighted Vietnam’s extensive legislative activities, including laws, resolutions, and circulars, aimed at improving the business landscape. Ongoing administrative restructuring is laying the groundwork for a transformative phase in Vietnam’s economic development.
Growth Aspirations and Future Directions
Vietnam aims to achieve GDP growth of 10% or more by 2026, setting ambitious long-term objectives for 2030 and 2045. To underpin this vision, the government is actively crafting policies to enhance development in both the private and state sectors. A forthcoming resolution focused on the foreign-invested economic sector illustrates Vietnam’s commitment to fostering favorable conditions for investors.
Open Doors for Long-Term Investment
With a renewed mindset and long-range vision, Vietnam is poised to open new opportunities for foreign investors, particularly Japanese enterprises. The government’s proactive approach is designed to encourage investors to not only enter the market but also expand their presence confidently, reinforcing Vietnam’s status as a competitive investment destination.
Collaboration for Sustainable Development
The Deputy Prime Minister urged JETRO to collaborate with the Ministry of Finance and local partners to provide policy advice aimed at deeper reforms. Additionally, he underscored the importance of promoting technology transfer and helping Vietnamese firms bolster their competitiveness and integrate effectively into Japanese supply chains.
A Commitment to Long-Term Partnerships
The Vietnamese government remains steadfast in its dedication to fostering a long-lasting partnership with Japanese enterprises. By continuing to invest in Vietnam, these companies can contribute to the country’s economic landscape while benefiting from a supportive and evolving environment for business.
Through these measures, Vietnam is strategically positioning itself to attract FDI, ensuring that both local and foreign businesses can thrive in a dynamic economy.