Vietnam as an FDI Destination in 2025
Vietnam's FDI landscape in 2025 is shaped by the China+1 manufacturing diversification strategy, strong domestic consumption growth, and improving infrastructure. The country's young workforce, competitive labour costs, and extensive free trade agreement network (including CPTPP, EVFTA, and RCEP) continue to attract manufacturing, technology, and services investment.
- FDI registered capital (2024): USD 38.2 billion — a 14.5% increase year-on-year.
- Top source countries: Singapore (19%), South Korea (18%), Japan (11%), China (10%), Hong Kong (8%).
- Top sectors: Manufacturing & processing (66%), real estate (9%), electricity & utilities (7%), wholesale & retail (5%).
Top Industrial Zones for Foreign Investors
Binh Duong Province — VSIP & BECAMEX
Binh Duong, adjacent to Ho Chi Minh City, hosts Vietnam-Singapore Industrial Park (VSIP) — the country's most mature FDI ecosystem. BECAMEX Industrial Zone offers 7,000+ hectares of industrial land with integrated housing, commercial, and logistics infrastructure. Preferred sectors: electronics, furniture, footwear.
Binh Duong province directory →
Hanoi & Bac Ninh — Samsung Supply Chain Cluster
Bac Ninh and Bac Giang provinces, immediately north of Hanoi, host Samsung's largest global manufacturing complex. The cluster has spawned hundreds of Korean and Vietnamese tier-1/tier-2 supplier factories. Thang Long Industrial Park and VSIP Bac Ninh are the key investment addresses.
Da Nang & Central Vietnam
Da Nang's Hoa Khanh Industrial Zone and Hi-Tech Park target electronics, IT services, and precision manufacturing. The city's port and airport infrastructure and lower land costs versus HCMC/Hanoi make it competitive for mid-sized manufacturers.
Investment Incentive Framework
- Standard CIT: 20%
- Hi-tech/R&D projects: 10% for 15 years; 4-year full exemption + 9-year 50% reduction.
- Special Economic Zones: Phu Quoc SEZ, Van Don SEZ, Van Phong SEZ offer differentiated incentive packages.
- Land lease: Exemptions up to 15 years for qualifying investment projects in prioritised sectors.
Legal Setup: Step-by-Step
- Step 1 — Investment Registration Certificate (IRC): Apply to provincial DPI or industrial zone authority. Required for foreign-invested enterprises.
- Step 2 — Enterprise Registration Certificate (ERC): Apply via the National Business Registration Portal after IRC issuance.
- Step 3 — Tax registration & e-invoice: Within 30 days of ERC issuance.
- Step 4 — Sector-specific licences: Manufacturing, pharma, food processing, and financial services require additional sub-licences.
2025 Administrative Reform: Impact on FDI
Vietnam's 2025 administrative restructuring (Resolution 202) merged several provinces while leaving industrial zone governance intact. FDI investors should note that industrial zone management committees retain their authority and incentive-granting powers regardless of provincial boundary changes. Existing IRCs remain valid.