Vietnam 20250814
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Headlines:
Tariffs Force a New Export Playbook
Seafood Rides Pre‑Tariff Wave
Rules Stall Power Build‑Out
Cities Push EVs
Regulators License Crypto Pilots
Inflows Heat Up Markets
Korea Looking for Ops
Cities Race for Chips
Entry Rules Get a Rethink
Ports Stack Profits and Cranes
Alliances Drive Property Deals
National Growth Target Lifted Again
Tariffs Force a New Export Playbook
Twenty percent US tariffs are forcing an export strategy rethink. Firms did their best to front‑load orders, but now are working to cut back on their US exposure and renegotiate contracts to try and share the costs. Many companies have decided to swap in local inputs and build domestic material lists to make sure that they can’t be accused of non-traceability in their supply chains. Failure to convince the Americans that they’re not re-routing Chinese product will result in heavily punitive rates. The stats office is expecting a 10% drop in US exports, cutting GDP by a hair. KPMG’s tariff modeller lets companies simulate duty scenarios and reroute production to save. Analysts say there’s still room to compete as rival suppliers are in the same boat and facing similar rates.
Read more: VIR (localization), VIR (GDP impact), The Investor (slowdown), VnExpress (playbook), VIR (outlook), VIR(tool)
Seafood Rides Pre‑Tariff Wave
Seafood exporters reported strong Q2 profits as US buyers pulled forward orders in advance of duties kicking in. Pangasius leader Navicorp swung to record earnings, Vinh Hoan and Fimex increased margins on higher selling prices and lower feed costs. Producers are hedging by lifting domestic sales via retail tie‑ups and by leaning into the EU, where H1 shrimp exports rose 16% with gains found in Germany, Belgium, and France.
Read more: The Investor (profits), IntelliNews (forecast), Undercurrent News (domestic), AquaFeed (EU growth)
Rules Stall Power Build‑Out
Power build‑out is stalling as land laws, elusive approvals, uncertain pricing, and onerous paperwork hold back progress. Despite the difficulty of getting something off the ground, developers do seem keen to move forward: Lung Lo filed 9 GW of offshore wind proposals, Sumitomo is pushing Van Phong 2 LNG and offshore plans, and Aboitiz Power is scouting wind, solar, and LNG to power data centers. Policy signals have been mixed with feed‑in tariffs driving onshore wind development, but offshore still seems stuck.
Read more: Reccessary (reg bottlenecks), IntelliNews (sector balance), The Investor (pipeline), VIR (LNG/OSW), VIR (investor), The Investor (DPPA)
Cities Push EVs
Transport rules are leaning heavily towards electric. From July 2026, gasoline-powered motorbikes will be banned inside Hanoi’s Ring Road 1, and Ho Chi Minh City will start electrifying ride‑hailing fleets next year. Hanoi plans to install chargers in 10% of parking spaces in existing buildings and 30% of spots in new projects. Lenders are getting in on the action - Shinhan Bank introduced loans from 6.9% fixed for three years, financing up to 80% of the cost of a new vehicle. Automakers see demand spikes for e‑motorbikes and fleets, but the public still suffers from range anxiety and a lack of brand trust.
Read more: VIR (rules), Vietnam News (infrastructure), The Investor (finance)
Regulators License Crypto Pilots
Digital assets are getting regulated. The Finance Ministry drafted a pilot for exchanges with eligibility, tech, and financial conditions. Lawmakers approved an international financial center pilot to host crypto trading, and a new Digital Technology Industry Law will come into effect next year that recognizes crypto as legal property and sets AML/CTF rules and tax guidelines.
Read more: VIR (pilot), AInvest (IFC), PANewsLab (law), Vietnam News (market), CoinCentral (exchange)
Inflows Heat Up Markets
Foreign funds turned net buyers in July, adding $325 million as the VN‑Index hit records and more firms crossed the $1 billion mark (now 59 companies). Brokers see 2026 at 1,750–1,800 on earnings recovery, public investment, and a potential FTSE upgrade to emerging status by this Q4. PYN Elite says valuations remain attractive and expects a CCP clearing house by early 2026. Regulators are weighing longer trading hours from Q1 2026.
Read more: Vietnam News (inflows), The Investor (forecast), VIR (fund view), Vietnam Insiders (hours), VnExpress(market caps), AInvest (credit)
Korea Looking for Ops
Leaders in Seoul want a faster track for trade and investment into Vietnam. Party chief To Lam and PM Kim Min Seok backed production‑chain cooperation and reaffirmed two-way trade targets of $100 billion by 2025 and $150 billion (!) by 2030. More than 10,000 Korean companies currently operate in Vietnam.
Read more: Tuoi Tre News (forum), Vietnam News (roadmap), The Investor (sectors), SCMP (trade target), VIR(sci‑tech), Vietnam News (ports)
Cities Race for Chips
Ho Chi Minh City wants a 10‑year PIT holiday for experts, streamlined admin for fabs and data centers, and new parks for digital tech. Bac Ninh is building a steering committee and working for hub status by 2030. Qualcomm’s CEO met the PM to expand R&D and supply chain work with local partners, and a Da Nang lab project is expected to invest ~$69M in packaging and AI capacity. Industry leaders want more attention paid to the mastering of core AI models and the opportunities presented by pooling public and private budgets to help the country move up the value chain and grow domestic IP.
Read more: VIR (incentives), Vietnam News (R&D), The Investor (cooperation), Vietnam News (lab), The Investor (AI push)
Entry Rules Get A Rethink
Entry rules for visitors and workers are getting a review. A new decree will make getting a work permit a little simpler, reduce experience thresholds for experts to two years, shorten job posting requirements to five business days, expand exempted categories, and allow for multiple short‑term entries under the 90‑day cap. On tourism, visa‑free stays will be extended to 45 days for 12 more European countries through 2028, and new exemptions are going to be applied to investors, scholars, and public figures who will be eligible for paperwork valid for up to five years.
Read more: VIR (permits), Fragomen (process), Vietnam Insiders (waiver), Travel And Tour World (elite), VnExpress(outlook)
Ports Stack Profits and Cranes
Ports are riding high on bigger volumes and new gear. Viconship and Saigon Port posted strong Q2 profits, backed by bigger vessels and network upgrades. Mitsui E&S won Vietnam’s largest crane order, 22 units for Phuoc A Port, extending a long supply record. On policy, Vietnam is working to build green ports with electric equipment and IMO‑compliant fuels; certification targets are for 2030.
Read more: The Investor (profits), VIR (equipment), Vietnam Briefing (policy), Vietnam News (cooperation)
Alliances Drive Property Deals
Property developers and investors are changing tack, from preferring debt takeovers to forming alliances that match local land know‑how with foreign capital and risk control. Supply remains thin, pickiness is on the rise across the board.
Read more: The Investor (alliances), VnExpress (Novaland), The Investor (Hoa Sen)
National Growth Target Lifted Again
Policymakers raised the 2025 GDP target to 8.3–8.5% with better inflation control, more public investment, and faster energy and transport infrastructure buildout. FDI commitments came to about $24 billion through July, led by manufacturing. Hanoi reported a strong year with budget revenue up almost 40% and FDI doubling, but inflows are still concentrated in the top provinces. Trade remains in a surplus, but the China deficit widened, an indication that there is still an import input reliance that should probably be reduced.
Read more: Asian News Network (target), Fibre2Fashion (FDI), Vietnam News (Hanoi), Vietnam News (reforms), China Global South (trade)
That’s it for this week!
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