Vietnam has emerged as one of Southeast Asia’s most promising investment destinations for US companies.
With its rapid economic growth, integration into global supply chains, and a growing number of free trade agreements, Vietnam offers American firms strategic advantages in sectors like manufacturing, technology, and agriculture.
But setting up a business in Vietnam isn’t without challenges. Navigating the country’s legal system, understanding regulatory frameworks, and aligning with cultural expectations are essential for success.
This guide walks US companies through what to expect when expanding to Vietnam — from setup structures and tax rules to trade support bodies and real-world examples.
Whether you’re exploring market potential or ready to invest, this resource will help you enter Vietnam with confidence.
Key reasons US firms are expanding in Vietnam
Vietnam has emerged as a strategic hub for US companies seeking to diversify supply chains, tap into new consumer markets, and strengthen their presence in Southeast Asia.
Its unique combination of location, workforce, and economic alignment with the United States makes it a compelling destination for expansion.
Strategic geography and trade access
Located along major shipping routes and bordering China, Vietnam offers unparalleled access to regional and global markets.
Its membership in over a dozen free trade agreements — including the CPTPP and RCEP — reduces tariffs and facilitates cross-border trade.
For US firms, Vietnam serves as both a production base and a gateway to ASEAN and Asia-Pacific markets.
Favourable demographics and skilled labour
Vietnam’s population of over 100 million is young, digitally connected, and increasingly urbanised.
The country continues to invest in education and technical training, creating a growing pool of skilled labour across sectors like manufacturing, IT, and services.
Labour costs remain competitive compared to regional peers, providing a cost-effective yet capable workforce for US investors.
US–Vietnam trade momentum
The US is one of Vietnam’s largest export markets, and bilateral trade has grown significantly over the past decade.
Recent geopolitical shifts and supply chain realignments have only deepened this relationship.
US companies benefit from a favourable perception in Vietnam, and continued engagement through platforms like the US–Vietnam Trade Council and AmCham ensures strong institutional support.
Vietnam and the United States have developed a robust trade relationship, with significant growth in both exports and imports over recent years.
Vietnam exports to the US / US$
| 2025 | 2024 | 25 / 24 | |
| Animal fodders and animal fodder materials | 113,420,992 | 129,356,052 | -12.32% |
| Bamboo and rattan products | 407,019,151 | 320,648,652 | 26.94% |
| Cashew nut | 975,426,717 | 1,154,132,402 | -15.48% |
| Ceramic products | 168,942,235 | 180,062,021 | -6.18% |
| Chemical products | 164,869,278 | 96,933,949 | 70.08% |
| Chemicals | 75,149,593 | 62,343,192 | 20.54% |
| Coffee | 506,685,959 | 322,825,588 | 56.95% |
| Computers, electrical products, and spare-parts | 42,085,431,460 | 23,201,555,610 | 81.39% |
| Fishery products | 1,908,335,784 | 1,832,900,465 | 4.12% |
| Footwear | 9,029,694,502 | 8,284,399,219 | 9.00% |
| Fruits and vegetables | 547,099,125 | 360,406,805 | 51.80% |
| Glass and glassware | 423,281,386 | 211,647,269 | 99.99% |
| Handbags, purses, suitcases, headgear and umbrellas | 2,019,199,370 | 1,802,632,964 | 12.01% |
| Insulated wires and cables | 1,477,270,596 | 970,511,792 | 52.22% |
| Iron and steel | 531,090,753 | 1,318,963,272 | -59.73% |
| Iron and steel products | 1,582,257,393 | 1,331,044,294 | 18.87% |
| Machine, equipment, tools and instruments | 24,128,147,275 | 22,052,523,094 | 9.41% |
| Other base metals and other base metal products | 930,769,599 | 817,268,303 | 13.89% |
| Other means of transportation, parts and accessories thereof | 3,606,236,400 | 3,273,825,912 | 10.15% |
| Other products | 10,421,199,122 | 8,111,464,983 | 28.47% |
| Paper and paper products | 800,897,730 | 635,794,606 | 25.97% |
| Pastry, sweets and cereals products | 178,015,420 | 179,335,295 | -0.74% |
| Pepper | 416,459,988 | 407,583,548 | 2.18% |
| Plastic products | 3,767,356,458 | 3,081,809,424 | 22.24% |
| Precious stones, precious metal and articles thereof | 261,500,322 | 257,749,840 | 1.46% |
| Rice | 28,733,150 | 30,182,703 | -4.80% |
| Rubber | 50,185,781 | 51,600,526 | -2.74% |
| Rubber products | 626,625,714 | 437,275,249 | 43.30% |
| Still image, video cameras and parts thereof | 1,657,944,426 | 1,208,345,217 | 37.21% |
| Tea | 8,492,455 | 11,404,286 | -25.53% |
| Telephones, mobile phones and parts thereof | 9,863,524,161 | 9,824,431,700 | 0.40% |
| Textile, leather and footwear materials and auxiliaries | 238,475,150 | 165,512,115 | 44.08% |
| Textiles and garments | 17,883,023,718 | 16,151,794,382 | 10.72% |
| Toys and sports requisites; parts and accessories | 6,419,250,535 | 1,781,174,208 | 260.39% |
| Tyre cord fabrics and other fabrics for technical uses | 187,794,741 | 195,111,651 | -3.75% |
| Wood and wooden products | 9,460,467,267 | 9,056,598,490 | 4.46% |
| Yarn | 228,541,654 | 190,335,932 | 20.07% |
| Total | 153,178,815,358 | 119,501,485,006 | 28.18% |
Vietnam imports from the US / US$
| 2025 | 2024 | 25 / 24 % | |
| Animal fodders and animal fodder materials | 859,316,342 | 1,016,019,676 | -15.42% |
| Animal, vegetable fats and oils | 3,892,133 | 4,327,875 | -10.07% |
| Chemical products | 438,118,038 | 381,887,385 | 14.72% |
| Chemicals | 479,536,047 | 637,544,790 | -24.78% |
| Computers, electrical products, spare-parts and components thereof | 5,459,605,732 | 4,336,277,434 | 25.91% |
| Cotton | 1,366,641,322 | 680,942,965 | 100.70% |
| Essential oils and resinoids; perfumery, cosmetic or toilet preparations | 114,902,838 | 100,077,248 | 14.81% |
| Fabrics | 42,922,015 | 45,846,935 | -6.38% |
| Ferrous waste and scrap | 250,252,538 | 180,330,358 | 38.77% |
| Fertilizers | 9,281,961 | 10,988,853 | -15.53% |
| Fishery products | 121,207,199 | 68,358,145 | 77.31% |
| Fruits and vegetables | 900,549,575 | 543,946,784 | 65.56% |
| Glass and glassware | 9,728,402 | 10,617,256 | -8.37% |
| Insecticides, rodenticides and materials | 15,322,792 | 14,475,603 | 5.85% |
| Insulated wires and cables | 43,161,412 | 29,919,080 | 44.26% |
| Iron and steel | 14,853,738 | 18,155,073 | -18.18% |
| Iron and steel products | 101,304,751 | 87,426,888 | 15.87% |
| Machine, equipment, tools and instruments | 1,325,982,678 | 1,099,999,051 | 20.54% |
| Milk and milk products | 126,456,004 | 124,480,677 | 1.59% |
| Motor vehicles | 28,013,849 | 23,534,790 | 19.03% |
| Ores and other minerals product | 29,908,507 | 23,260,915 | 28.58% |
| Other base metal products | 47,954,167 | 28,668,267 | 67.27% |
| Other base metals | 62,718,265 | 67,589,959 | -7.21% |
| Other edible food preparations | 245,250,338 | 281,901,521 | -13.00% |
| other means of transportation, parts and accessories thereof | 482,734,953 | 506,719,140 | -4.73% |
| Other petroleum products | 30,229,879 | 30,431,673 | -0.66% |
| Other products | 2,580,875,457 | 1,580,331,721 | 63.31% |
| Paper | 18,457,745 | 17,246,649 | 7.02% |
| Paper products | 12,860,613 | 20,105,438 | -36.03% |
| Parts and accessories of motor vehicles | 50,422,997 | 51,718,764 | -2.51% |
| Pastries, sweets and cereal products | 65,879,948 | 24,268,099 | 171.47% |
| Pharmaceutical products | 514,881,923 | 512,534,682 | 0.46% |
| Plastic products | 215,481,494 | 205,696,527 | 4.76% |
| Plastics | 1,165,322,816 | 783,671,648 | 48.70% |
| Precious stones, precious metal and articles | 67,412,762 | 27,013,766 | 149.55% |
| Rubber | 31,741,108 | 37,522,195 | -15.41% |
| Rubber products | 30,157,883 | 25,220,279 | 19.58% |
| Soy beans | 517,122,062 | 464,333,810 | 11.37% |
| Still image, video cameras and parts thereof | 17,507,932 | 13,683,436 | 27.95% |
| Telephones, mobile phones and parts thereof | 433,949 | 929,097 | -53.29% |
| Textile, leather and footwear materials and auxiliaries | 460,563,574 | 469,310,080 | -1.86% |
| Tobacco materials | 57,333,234 | 41,856,832 | 36.97% |
| Wheat | 258,569,815 | 149,802,719 | 72.61% |
| Wood and wooden products | 612,644,635 | 323,695,134 | 89.27% |
| Total | 19,287,515,421 | 15,102,669,219 | 27.71% |
Top sectors for US investment
Vietnam’s growing economy, strategic trade ties, and evolving industrial base offer diverse opportunities for US firms across multiple high-potential sectors.
These are some of the most attractive industries for American investment in 2025:
Manufacturing and electronics
Vietnam has become a key manufacturing hub for global supply chains, particularly in electronics and semiconductors.
US firms like Intel and Apple have established major operations, taking advantage of the country’s cost-effective labour, export incentives, and improved infrastructure.
Continued investment in industrial parks and free trade zones further enhances its appeal for high-tech and precision manufacturing.
See also: Electronics Manufacturing in Vietnam
Agri-food and animal nutrition
With a large agricultural base and growing demand for quality food products, Vietnam is a promising market for agri-food investment. US firms such as Cargill have expanded operations in feed production, grain trading, and farmer training.
Opportunities also exist in food processing, cold chain logistics, and sustainable farming technologies aimed at improving productivity and export competitiveness.
See also: Vietnam’s Animal Feed Industry: Trends, Challenges & Key Players
Renewable energy and natural resources
Vietnam’s energy demand is rising rapidly, and the government has prioritised renewables as part of its long-term power development strategy.
US companies are well-positioned to invest in solar, wind, and LNG infrastructure, as well as smart grid and storage technologies.
The country also offers potential in responsibly tapping mineral resources such as rare earth elements and bauxite.
Technology and software services
Vietnam’s fast-growing digital economy presents opportunities for US firms in cloud computing, cybersecurity, fintech, and enterprise software.
With a dynamic tech workforce and government support for digital transformation, the country is a strong candidate for IT outsourcing and development hubs.
Major players like Microsoft and Google are expanding their presence through partnerships, training, and ecosystem investments.
See also: Information Communications Technology in Vietnam
Consumer goods and retail
Rising incomes and urbanisation are fuelling demand for quality consumer products, from apparel and cosmetics to electronics and fast-moving goods.
Vietnam’s young, brand-conscious population is receptive to international labels, making it a high-potential market for US retail brands, e-commerce platforms, and franchising models.
Efficient logistics and expanding modern trade networks further support market entry.
See also: Consumer Goods in Vietnam: Trends, Key Players, Distribution
Support networks for US businesses
There are a number of key US trade bodies in Vietnam that provide assistance and advice to US firms as well as advocate and work at a policy level with respect to developing the trade and investment relationship between Vietnam and the US.
The American Chamber of Commerce in Vietnam (AmCham Vietnam)
AmCham is a prominent U.S. trade body dedicated to promoting trade and investment between the United States and Vietnam.
As one of the largest business organisations in the country, AmCham Vietnam serves as the voice of American businesses operating in Vietnam, offering a platform for networking, advocacy, and information exchange.
AmCham Vietnam is a member of the Asia-Pacific Council of American Chambers of Commerce (APCAC) and the U.S. Chamber of Commerce.
Through these affiliations, it connects with a broader network representing thousands of businesses and executives across the Asia-Pacific region.
This extensive network facilitates collaboration and supports the interests of U.S. companies in Vietnam and the wider region.
US-ASEAN Business Council
The US-ASEAN Business Council plays a significant role in Vietnam.
This organisation advocates for U.S. corporations operating within the Association of Southeast Asian Nations (ASEAN), promoting mutually beneficial trade and investment relationships between the United States and Southeast Asia.
US-Vietnam Trade Council
The US-Vietnam Trade Council is a cornerstone institution in strengthening economic and trade relations between the United States and Vietnam.
Established in 1989, the council emerged as a vital player during the post-embargo period, contributing to the normalisation of diplomatic and economic ties between the two nations.
Its efforts have significantly shaped the trajectory of bilateral trade, paving the way for Vietnam’s economic growth and integration into global markets.
The council’s primary mission is to facilitate and promote bilateral trade and investment between the United States and Vietnam.
It advocates for policies that improve market access, foster transparency, and create a favourable business environment for US companies operating in Vietnam.
Additionally, the council has been instrumental in supporting Vietnam’s integration into the global economic system, including its accession to the World Trade Organisation (WTO) in 2007.
Trade agreements and market access
Vietnam and the United States have established a range of trade agreements and frameworks to strengthen their economic and trade relations.
Vietnam-US bilateral trade agreement
The bilateral trade agreement between Vietnam and the United States, established in 2001, was a significant milestone in their economic relationship.
It granted Vietnam normal trade relations status, reduced tariffs, and opened markets for goods and services, laying the groundwork for Vietnam’s global economic integration.
Vietnam’s accession to the World Trade Organisation
Vietnam’s membership in the World Trade Organisation, which was confirmed in 2007, further deepened its trade ties with the United States.
This alignment with global trade rules provided better access for US companies to the Vietnamese market and ensured stronger legal protections.
Trade and investment framework agreement
The trade and investment framework agreement, established in 200,7 is a platform for dialogue on trade and investment issues.
It allowed both nations to address challenges, resolve disputes, and explore opportunities to enhance economic cooperation.
Generalised system of preferences
Under the generalised system of preferences, certain Vietnamese products receive duty-free access to the United States.
This has supported the growth of exports like textiles, footwear, and agricultural goods.
See also: List of Vietnam’s Free Trade Agreements
Business structures for US firms
US firms looking to establish operations in Vietnam have several business structure options to suit their needs.
A representative office is a common choice for firms testing the market, focusing on market research or liaison activities without engaging in direct business operations.
For firms ready to operate fully, a wholly foreign-owned enterprise (WFOE) is a popular option, allowing complete ownership and control.
Alternatively, businesses may choose a joint venture to partner with a local company, which can be advantageous for navigating regulatory requirements and cultural nuances.
Branch offices are another option, allowing companies to conduct business activities such as trading or providing services.
Each structure has unique benefits and regulatory considerations, making it essential for firms to carefully assess their goals and compliance requirements before proceeding.
For more information, see: How to Set Up a Company in Vietnam: Step By Step
US firms in Vietnam
There are a number well known US firms with operations or a significant presence in Vietnam, already putting new US firms in good company.
Some of the more well-known firms include:
Intel
Semiconductor manufacturing facility in Ho Chi Minh City. Intel’s facility in Vietnam is its largest assembly and test site globally, playing a critical role in its supply chain.
The company’s presence also supports the development of Vietnam’s tech industry and skilled workforce.
Apple
Supplier network and assembly operations in Vietnam.
Apple works closely with Vietnamese manufacturers to assemble key products such as AirPods. Its investments are boosting Vietnam’s position as a major hub in the global supply chain.
Microsoft
Expanded operations supporting Vietnam’s growing tech sector.
Microsoft collaborates with local businesses and governments to enhance digital transformation. Its cloud services and software solutions are widely used by Vietnamese enterprises.
Investments in Vietnam’s digital and IT ecosystem.
Google provides training programmes to boost digital skills for Vietnamese entrepreneurs and students.
The company also focuses on supporting Vietnam’s growing e-commerce and startup ecosystem.
See also: What to Watch Now Google Has An Office in Vietnam
Nike
Major footwear production through local manufacturers.
Nike sources a significant portion of its products from Vietnamese factories, which are among the most advanced globally.
The company’s operations contribute to job creation and economic growth in Vietnam.
See also: Where are Nikes Made in Vietnam?
Coca-Cola
Bottling plants and extensive market presence.
Coca-Cola’s operations include multiple production facilities and a strong distribution network.
The company supports local communities through programmes in education and clean water.
US firms that have exited Vietnam
There are a number well known US firms that have entered the Vietnam market but left not long after for a variety of reasons.
Some of these include:
Uber
Uber exited Vietnam in 2018 when it sold its Southeast Asia operations, including its Vietnam division, to Grab.
The decision was part of a regional strategy to consolidate losses in a highly competitive ride-hailing market.
Chevron
Chevron withdrew from its gas exploration projects in Vietnam in 2015, selling its stakes to a subsidiary of PetroVietnam.
This exit was attributed to Chevron and the Government of Vietnam being unable to come to an agreement on a gas price.
See also: Mining in Vietnam: Industry Overview
ConocoPhillips
US energy giant ConocoPhillips exited Vietnam in 2012, selling its assets to Perenco.
The decision was part of a broader strategy to focus on core markets and optimise its global portfolio.
Metro Cash & Carry
Metro Cash & Carry, previously part of a US-based retail group, sold its Vietnam operations to Thailand’s TCC Group in 2014.
This marked an exit from Vietnam’s cash-and-carry retail market.
See also: Retail Industry in Vietnam
Taxation for US firms in Vietnam
Vietnam and the United States have not signed a comprehensive bilateral tax treaty to avoid double taxation.
However, the two countries engage in tax cooperation under other frameworks and agreements that indirectly affect their economic relationship.
US businesses operating in Vietnam are subject to Vietnam’s local tax regulations, including corporate income tax, value-added tax (VAT), and personal income tax for employees.
The lack of a bilateral tax treaty means that these firms may face double taxation, although Vietnam offers foreign tax credits for taxes paid in the US on Vietnamese income.
Transfer pricing
Vietnam enforces transfer pricing regulations to prevent tax evasion through intercompany transactions.
US companies operating in Vietnam must comply with these rules by maintaining detailed documentation and filing transfer pricing reports.
Double taxation
While there is no direct treaty, both nations follow the principles of the Foreign Tax Credit mechanism.
This allows businesses and individuals to offset taxes paid in one country against tax liabilities in the other, reducing the double taxation burden to some extent.
Trade and Investment Framework Agreement (TIFA)
The TIFA serves as a platform for addressing tax and trade-related issues between Vietnam and the US. While it is not a tax treaty, the agreement fosters dialogue on tax concerns affecting businesses in both countries.
Potential future tax agreements
Given the growing trade and investment ties between Vietnam and the United States, there is ongoing discussion about negotiating a formal double taxation agreement (DTA).
Such an agreement would reduce tax barriers for businesses, enhance cross-border investments, and improve economic collaboration.
FAQ: US firms starting businesses in Vietnam
These are some of the most common questions regarding starting a business in Vietnam for US firms.
Why is Vietnam attractive for US companies?
Vietnam offers rapid economic growth, competitive labour costs, and strategic access to global trade routes, making it a top choice for US firms diversifying in Asia.
What sectors offer the best investment opportunities for US businesses?
Key sectors include electronics manufacturing, agri-food, renewable energy, software services, and consumer goods.
What business structures can US companies use in Vietnam?
US firms can choose from representative offices, wholly foreign-owned enterprises (WFOEs), joint ventures, or branch offices, depending on operational goals.
Are there tax treaties between the US and Vietnam?
No formal double taxation treaty exists, but foreign tax credit mechanisms help reduce overlapping tax burdens for US firms.
What are the main risks for US companies entering Vietnam?
Risks include regulatory complexity, bureaucratic delays, limited legal clarity in some sectors, and the need for strong local partnerships.
What’s next?
Vietnam is an attractive destination for US firms due to its rapid economic growth, strategic location, and business-friendly reforms.
The country’s membership in multiple free trade agreements and its role in global supply chains offer opportunities across sectors like manufacturing, technology, agriculture, and services.
However, successfully entering the Vietnamese market requires understanding local regulations, investment policies, and cultural nuances.
US businesses have several options for structuring their operations in Vietnam, such as representative offices, wholly foreign-owned enterprises (WFOEs), joint ventures, and branch offices.
Each structure has unique advantages and regulatory considerations, depending on the firm’s goals and market strategy.
Additionally, navigating Vietnam’s tax framework, compliance requirements, and industrial zones is essential for a smooth market entry.
That said, Vietnam is an emerging economy that is incredibly dynamic.
With this in mind, US firms looking to do business in Vietnam should make sure to keep up with the latest developments by subscribing to the-shiv.
First published December 31, 2025. Last updated February 5, 2026.