A new PwC Vietnam survey shows that local manufacturers are accelerating automation, lean manufacturing, and market diversification in response to the prospect of a 46 percent US tariff→view source.

The findings reveal that firms are looking beyond short-term cost cutting and moving toward more structural adjustments to maintain competitiveness.

Key details:

86 percent of firms express substantial concern about tariff impacts.
23 percent cite higher costs as the primary risk, followed by market shifts and lower US demand.
44 percent are diversifying sourcing to other countries.
41 percent are expanding into new markets, especially the EU, ASEAN, and Japan.
40 percent are automating and streamlining processes.
63 percent of local firms and 37 percent of MNCs prioritise lean manufacturing and process automation for cost reduction.
Legal and compliance risks (audit, documentation) and currency volatility are also key concerns.
Service sectors (logistics, banking, consulting) report falling demand from export clients and rising credit risks.
Firms are actively diversifying away from China to more stable sourcing regions.

Note: The report does not include a dedicated methodology section or sample size.

Instead it notes that it was a pulse survey of manufacturing and service firms.

Respondents were 78 percent manufacturing and 22 percent services, with 75 percent in management roles.

The sample included both local firms (57 percent) and multinationals (43 percent), and covered a mix of companies with varying levels of US export exposure.

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