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Vietnam’s construction sector sees decline in FDI in December

In December, Vietnam’s construction sector registered 2 new projects with US$14.03 million in newly registered capital, according to data from Vietnam’s Ministry of Planning and Investment. This represents a 33.33 percent decrease in the number of new projects compared to November, which saw 3 new projects with US$31.07 million in newly registered capital.

In 2024, the sector attracted a total of 52 new projects with US$642.77 million in newly registered capital.

Vietnam’s construction sector is a dynamic and rapidly growing part of the economy, driven by the country’s robust economic development, urbanisation, and industrialisation. The sector includes residential, commercial, and infrastructure projects, ranging from housing and office buildings to roads, bridges, airports, and industrial facilities. It is a key contributor to GDP and employment, supporting Vietnam’s rapid urban and industrial expansion.

Foreign direct investment (FDI) has played a significant role in shaping the construction industry, with investors from countries such as Japan, South Korea, Singapore, and China contributing to large-scale projects. Prominent areas of investment include real estate developments, industrial park construction, and infrastructure projects like metro systems and airports, such as the Long Thanh International Airport. Companies like Lotte and Keppel Land have established a strong presence in the residential and commercial property markets.

With rising demand for urban housing, modern transportation systems, and industrial facilities, the construction sector is expected to continue expanding. Investments in green building technologies and sustainable practices are also gaining traction, aligning with global trends and Vietnam’s long-term development goals.

See also: Construction Industry in Vietnam

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