Low-cost labour and generous tax incentives have made Vietnam attractive destinations for firms looking to optimise their supply chains. As multinationals continue to look for alternatives to the traditional low-cost manufacturing powerhouse China, Vietnam offers many of the same benefits and being close by makes it easy for Vietnam to slide into existing supply chains.

In this section we monitor Vietnam manufacturing news including market entries and exits and regulatory changes that impact manufacturers in Vietnam.

Singapore electrical homeware maker to invest US$80 million in southern Vietnam

the-shiv December 15, 2023

Singapore’s Ningbo Dechange is looking at spending US$80 million on a new operation in Vietnam’s Dong Nai province which borders Ho Chi Minh City, The Investor is reporting.

Taiwan ziplock bag maker to open factory in southern Vietnam

the-shiv December 15, 2023

Taiwan’s Jhonsin Vietnam is set to outlay US$10 million for a factory in Vietnam’s Dong Nai province where it will produce ziplock bags and homeware, The Investor is reporting.

Vietnam car sales down 15 percent in November year-on-year

the-shiv December 14, 2023

There were only 26,439 new car sales in Vietnam in November representing a drop of 15 percent compared to November last year, Just Auto is reporting, referencing data from the Vietnam Automotive Manufacturers Association (VAMA). Just 240,027 were sold in the first 11 months of this year, down from 327,760

Chinese electronics firm receives in-principal support for project in northern Vietnam

the-shiv December 13, 2023

China’s Perfect Light, a wafer technology firm, is looking to build a US$51.5 million project in Vietnam’s Hai Duong province, The Investor is reporting. The project would take up 9 hectares of Cong Hoa Industrial Park and employ an estimated 700 people when completed.

Singapore packaging firm to expand investment in southern Vietnam

the-shiv December 13, 2023

Singapore’s Tetra Pak is set to add another US$43 million to its investment in southern Vietnam’s Binh Duong province, The Investor is reporting. The investment brings the total value of its investment to US$173 million. The company currently manufactures a range of packing products in the country.

Taiwan firm starts work on machine factory north of Hanoi

the-shiv December 8, 2023

Taiwan’s Lioho Machine Works has started building a factory in Vinh Phuc north-west of Hanoi, The Investor is reporting. The project is reportedly worth US$75 million and is set to cover five hectares. When complete it will produce car parts, farm equipment, and pumps.

Hong Kong camera manufacturer considering factory in north-central Vietnam

the-shiv December 8, 2023

Hong Kong based Qtech is considering building a US$430 million factory in Vietnam’s Nghe An province, The Investor is reporting. If realised it would cover 10 to 15 hectares and produce eight million products a month. Notably the company is looking for tax, human resources, and administrative support from Nghe

Swedish engineering group opens first factory in southern Vietnam

the-shiv December 5, 2023

Sweden’s Trelleborg Group has inaugurated its first factory in Vietnam in southern Vietnam’s Dong Nai province, The Investor is reporting. Covering 8,000 square metres will create parts for the global automotive and industrial sectors. Trelleborg also announced earlier this year it planned to build a US$37 million factory in Ba-Ria-Vung

Thai firm to build industrial park in central Vietnam

the-shiv December 1, 2023

Thailand’s WHA Industrial Development has been approved to build a US$55 million 178.51 hectare industrial park in central Vietnam’s Than Hoa province, The Investor is reporting. This will be WHA’s second industrial park in Vietnam. The first is located in Nghe An, next door to Thanh Hoa.

Vietnam’s manufacturing sector continues to contract as new orders fall

the-shiv December 1, 2023

The S&P Global Vietnam Manufacturing Purchasing Managers’ Index has hit a five-month low of 47.3 this month down from 49.6 in October. Anything below 50 is considered a contraction. S&P Global’s press release notes that there has been: A scaling back of production, An uptick in cost pressures, Resistance from

Taiwanese firm looking to establish electronics factory in north-central Vietnam

the-shiv November 29, 2023

Radiant Opto-Electronics Corporation from Taiwan has submitted plans to build a US$120 million factory to contribute to its backlight module supply chain in Vietnam’s Nghe An province, The Investor is reporting. The factory is set to cover 8.2 hectares and should be operational by the end of 2024.

Japanese firm opens solar cell factory in northern Vietnam

the-shiv November 29, 2023

A subsidiary of Japan’s Vsun Solar has inaugurated a US$200 million factory in Phu Tho in northern Vietnam, The Investor is reporting. Covering 13 hectares the project will reportedly employ 700 people when it reaches peak capacity.

Vietnam’s plastics industry exports on the decline

the-shiv November 28, 2023

Plastics exports from Vietnam reached only US3.7 billion from January to September of this year, a 12.2 percent dop year-on-year, Vietnam News is reporting. This has been attributed to the broader global economic slowdown by the Vietnam Plastics Association. Of note: Last week, a request to increase import taxes on

Vietnam-owned garment firms struggle against foreign counterparts

the-shiv November 27, 2023

VN Express is carrying a feature on the garment sector focused on the gap between the levels of success experienced by local firms versus foreign-invested enterprises. It carries a number of key points regarding the challenges the sector currently faces. These include: There is an overemphasis in Vietnam on new

Singapore firm inaugurates Asia’s biggest black soldier fly farm in Vietnam

the-shiv November 25, 2023

Singapore’s Entobel, opened its latest project in Vietnam last week, a black soldier fly factory to produce feed for Vietnam’s rapidly growing aquaculture industry, per a press release on PR Newswire. Entobel says it chose Vietnam for its: tropical climate, which is the ideal environment for black soldier flies; Vietnam’s

Import tax hikes suggested to support local plastics business

the-shiv November 24, 2023

Vietnam’s Ministry of Finance has knocked back a request from the Long Son Petrochemicals Complex, to increase import tariffs on several plastics products , The Investor is reporting. Why it matters: If it had been approved this would have gone against Vietnam’s general policy of removing barriers to trade. That

Intel still intends to expand its operations in Vietnam: Vietnam News

the-shiv November 23, 2023

Intel has not abandoned plans to expand its operation in Vietnam, despite reporting to the contrary, Vietnam News is reporting. Reuters reported earlier this month that these plans had been shelved sparking a flurry of debate over Vietnam’s future in semiconductor supply chains. The aforementioned Vietnam News article has reported

Vietnam IPOs so far this year net just US$7 million

the-shiv November 21, 2023

The only three IPOs in Vietnam so far this year pulled in just US$7 million, The Investor is reporting. The publication is referencing a report from Deloitte and suggests that the Ho Chi Minh City Stock Exchanges poor performance this year has seen firms delaying their IPOs. The three IPOs

Chinese tech manufacturer to set up shop in northern Vietnam

the-shiv November 20, 2023

HG Tech, a Chinese manufacturer that specializes in optical devices, lasers, sensors and car parts, is planning a US$50 million factory in northern Vietnam’s Bac Ninh province, The Investor is reporting. The factory is slated to cover five hectares and will supply an increasing number of HG Tech customers in

Snapshot: Manufacturing in Vietnam, October 2023

the-shiv November 12, 2023

Each month the-shiv provides a snapshot of the manufacturing sector in Vietnam covering the latest developments, key performance indicators, and government data. Overview Vietnam’s manufacturing industry continued to struggle in October compared to a year earlier. Lower demand in key export markets due to a number of global challenges continued