Vietnam’s New National Logistics Strategy: A Vision for 2035
On October 9, 2025, Vietnam embarked on a transformative journey by signing a pivotal Decision that approves the National Strategy for the Development of Logistics Services for the period 2025–2035, with a forward-looking vision extending to 2050. Prime Minister Pham Minh Chinh’s move marks a significant leap in positioning the country as a key logistics hub in Asia and beyond.
A Comprehensive Framework for Growth
This historic strategy is Vietnam’s first comprehensive, long-term framework aimed at developing a globally competitive logistics sector. It highlights the importance of logistics as a vital economic driver, essential not only for supporting international trade but also for spearheading digital transformation and fostering green, sustainable growth.
Recognizing logistics as a key economic sector underscores its strategic importance for enhancing Vietnam’s overall competitiveness. The government aims to shift perceptions of logistics from merely a supporting service to a high-value, core driver of the economy.
Ambitious Economic Goals
The strategy outlines ambitious targets for the logistics sector’s contribution to Vietnam’s economy by 2035. It targets an increase in logistics’ value added to 5–7 percent of the country’s Gross Domestic Product (GDP), with an expected growth rate of 12–15 percent annually between 2025 and 2035. By 2050, logistics services are projected to account for 7–9 percent of GDP while maintaining a growth rate of 10–12 percent.
Key quantitative benchmarks have also been established:
- Outsourcing Logistics: By 2035, 70–80 percent of enterprises are expected to use outsourced logistics services, increasing to 90 percent by 2050.
- Cost Reduction: Logistics costs are targeted to fall to 12–15 percent of GDP by 2035 and further to 10–12 percent by 2050.
- Global Rankings: Vietnam aims to enter the top 40 countries in the World Bank’s Logistics Performance Index (LPI) by 2035 and the top 30 by 2050.
- Digital Adoption: By 2025, 80 percent of logistics firms are to implement digital solutions, reaching full adoption by 2050.
- Workforce Development: The strategy aims for 70 percent of the workforce in logistics to be professionally trained by 2035, including 30 percent with degrees.
By mid-century, Vietnam aspires to operate at least 10 world-class logistics centers, marking its emergence as a pivotal international transshipment hub.
Eight Strategic Orientations for Sustainable Growth
To realize these ambitious goals, the strategy outlines eight strategic orientations, each accompanied by specific policy measures:
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Legal and Institutional Framework: A review and amendment of outdated regulations will streamline procedures and attract domestic and foreign investment.
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Modern Infrastructure Development: Focus will be on synchronized multimodal infrastructure, including seaports, airports, and smart warehouses.
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Connectivity Enhancement: Key economic zones will be connected through North-South economic corridors and expanded ASEAN linkages.
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Market Expansion: Efforts will include attracting multinational corporations and establishing free trade zones to strengthen export logistics.
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Boosting Competitiveness: Businesses will be encouraged to adopt advanced service models, enhancing quality and integrating green solutions.
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Research and Innovation: Deployment of new technologies will optimize logistics processes and increase transparency in customs.
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Human Resource Development: A wide range of training programs will be implemented in partnership with educational and international organizations.
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Empowering Associations: The strategy aims to strengthen industry associations and large domestic firms to create globally competitive supply chains.
Moreover, broader initiatives such as publishing the annual Vietnam Logistics Report and organizing Vietnam Logistics Day will further promote awareness and cooperation within the sector.
Coordinated Implementation Framework
The Ministry of Industry and Trade (MOIT) is tasked with leading the implementation of the strategy. It will guide relevant ministries and local authorities while the Ministry of Finance will coordinate budget allocation and investment mobilization. Each provincial government will tailor action plans suited to local conditions.
A structured reporting system mandates that implementing agencies submit progress reports annually, ensuring accountability and consistency across government levels. This meticulous coordination aims to align efforts for a cohesive implementation process.
Building the Foundations for a Regional Logistics Hub
Vietnam’s ambition is substantiated by its strategic geographic location and robust manufacturing base. Positioned at the crossroads of major supply chains linking China, ASEAN, and the Pacific, the country aims to construct at least seven logistics centers in Ho Chi Minh City by 2025. These facilities will facilitate multimodal connectivity between essential transport hubs, industrial zones, and border trade routes.
The backbone of this strategy lies in modern logistics infrastructure, integrating renewable energy and sustainable transport options to enhance Vietnam’s competitive edge. The government is devoted to promoting green logistics initiatives, focusing on low-emission transport solutions and bolstering climate resilience within infrastructure investments.
Catalyzing Cross-Border E-Commerce
The global cross-border e-commerce market is anticipated to maintain an annual growth rate exceeding 30 percent, creating a substantial opportunity for Vietnam, particularly for small and medium-sized enterprises (SMEs). However, expert insights emphasize that effective logistics systems are crucial to realize this potential.
Vietnamese products must reach global consumers promptly and cost-effectively to compete successfully. As such, logistics providers are encouraged to embrace digital transformation, incorporating automation, artificial intelligence, and advanced tracking systems that enhance operational efficiency.
Digital Platforms as Global Gateways
Vietnamese sellers have seen remarkable success on platforms like Amazon, with a listing of approximately 17 million products over just two years, resulting in revenue growth of over 50 percent. This growth trajectory underscores the necessity for robust logistics to maintain global competitiveness.
To meet increasing demands, logistics providers must modernize operations and adapt to shifting consumer expectations through advanced technology and innovative solutions.
A Strategic Turning Point for the Logistics Industry
Experts regard this national logistics strategy as a critical turning point for Vietnam’s logistics sector and a substantial catalyst for broader economic growth. Lower logistics costs are expected to enhance business competitiveness, paving the way for the country’s exports to potentially exceed $1 trillion in the near future.
By promoting efficient logistics, Vietnam is positioned to boost productivity, lower operational expenses, and sustain its export growth trajectory, thus enhancing its appeal to foreign investors.
Toward Becoming a Global Supply Chain Hub
If executed successfully, Vietnam’s logistics strategy could significantly redefine its standing within global supply chains. The confluence of policy reforms, infrastructure investments, digitalization, and sustainable practices is set to usher the logistics sector into a new era of competitiveness and value generation.
Success will hinge upon seamless coordination among the state, businesses, investors, and local authorities. With clearly articulated targets, reliable governance, and international collaboration, Vietnam is on track to evolve into a modern, competitive, and sustainable logistics powerhouse—an indispensable link in the global arena of goods, services, and digital trade.