Vietnam’s Economic Landscape: Insights from Korean Chamber of Commerce Chairman
By VNA
Wed, September 3, 2025 | 8:53 PM GMT+7
Over the past decades, Vietnam has experienced remarkable advancements, buoyed by stable growth and an open-door policy. This sentiment was echoed by Ko Tae-yeon, the chairman of the Korean Chamber of Commerce (Kocham) in Vietnam, who highlighted the transformative changes that have contributed to making Vietnam an attractive destination for investment.
A Thriving Investment Climate
In a conversation with the Vietnam News Agency, Ko remarked on Vietnam’s institutional reforms, particularly spotlighting the recent thrust towards digital transformation and the simplification of administrative procedures. These changes have been pivotal in fostering a more transparent and effective investment environment.
One significant improvement mentioned was the reduced time required to obtain investment licenses. Enhanced transparency in logistical procedures for infrastructure services has further streamlined operations, enabling businesses to navigate the landscape with increased ease.
Vietnam’s Role in the Global Supply Chain
The perception of Vietnam as a dynamic market filled with opportunities is gaining traction among Korean enterprises. Ko asserted that Vietnam is not just an emerging economy but also a crucial link in the global supply chain. With groundbreaking reforms underway, he anticipates that Vietnam will continue to unlock numerous opportunities for further investment.
Administrative Reforms and Business Confidence
Ko applauded the ongoing administrative reforms, calling them a “very positive signal.” The predictability brought about by simplified licensing processes allows businesses to strategize with reduced risks. He emphasized that as long as reforms are carried out with specificity and substance, the influx of investment capital into Vietnam could significantly rise.
However, he also pointed to the necessity of establishing a dialogue mechanism where the government can effectively listen to the business community. This would enable the timely removal of obstacles that could impede production and business activities.
Future Opportunities: High-Tech Sectors
As Vietnam looks ahead, sectors such as smart cities, eco-industrial parks, high-tech manufacturing, and the electric vehicle and semiconductor supply chains are expected to shine as areas ripe for cooperation. Ko described this phase as a “golden time” for Korean businesses to engage with Vietnam, preparing for a new trajectory of growth.
Navigating Challenges in Governance
Despite the optimistic outlook, Ko acknowledged that Vietnam’s recent administrative revamping has presented short-term challenges for businesses. Many Korean companies have found themselves facing delays in resubmitting tax documents and business licensing, a situation exacerbated by changes in management agencies. He noted the concerns surrounding the merger of the Ministry of Planning and Investment into the Ministry of Finance, which has raised apprehensions among foreign investors regarding support for FDI.
Kocham has thus called for the Vietnamese Government to provide clear guidance and maintain regular dialogues to ensure a stable business environment.
The Pillars of Success
Ko believes that for Vietnam to continue its positive trajectory, three core factors must be prioritized: consistency, transparency, and stability. When these elements are firmly established, business confidence will flourish. He further emphasized the need for a stricter management mechanism to counteract unhealthy competition for talent among enterprises and advocated for enhanced skills training for the workforce.
Addressing Regional Disparities
A point of concern raised by Ko was the inconsistent application of policies across different localities. He highlighted the importance of addressing these disparities to maintain a unified approach that will bolster Vietnam’s status as a reliable economic partner on the global stage. He reassured that Korean enterprises are willing and ready to strengthen their long-term relationships with Vietnam, emphasizing collaboration for mutual growth.
Vietnam’s evolution as a compelling hub for investment reflects not only its robust policies and reforms but also the shared commitment between nations aiming for sustainable growth and innovation.