In December 2024, China registered 96 new projects with US$849 million in newly registered capital, according to Vietnam’s Ministry of Planning and Investment. This represents a 37 percent increase in the number of new projects compared to November, which recorded 70 new projects and US$269.11 million in newly registered capital.
In 2024, Chinese firms invested in 955 new projects with US$4.73 billion in newly registered capital.
Foreign direct investment (FDI) from China into Vietnam has grown significantly in recent years, reflecting the deepening economic ties between the two neighbouring countries. Chinese investments are concentrated in sectors such as manufacturing, electronics, textiles, construction materials, and renewable energy. Many Chinese companies have established operations in Vietnam to leverage its lower labour costs, strategic location in Southeast Asia, and access to global trade networks through free trade agreements.
Vietnam has also become a key destination for Chinese firms looking to diversify supply chains amidst shifting global trade dynamics. Industrial zones in northern Vietnam, close to the Chinese border, have become hotspots for Chinese FDI, particularly in export-driven industries. While Chinese investment has contributed to Vietnam’s industrial growth, it has also faced scrutiny over environmental and labour standards. As Vietnam continues to modernise its economy and focus on sustainability, Chinese FDI is expected to remain a major component of the country’s industrial and economic development.
See also: How to Start a Business in Vietnam