Vietnam’s toy industry is a growing sector driven by rising domestic demand, a youthful population, and increasing export opportunities. With a strong manufacturing base, competitive labour costs, and access to global markets, Vietnam has become an attractive destination for international toy companies and a hub for producing a variety of toys, including educational toys, wooden toys, electronic gadgets, and plush items.
The industry benefits from Vietnam’s integration into global supply chains, supported by free trade agreements that provide preferential access to key markets in the Americas, Europe, and Asia. Additionally, domestic toy firms have focused on developing products for the local market, catering to an expanding middle class and changing consumer preferences.
However, challenges such as regulatory compliance, environmental concerns, and competition from established toy exporters like China remain. To overcome these, the industry is increasingly adopting sustainable practices, enhancing quality standards, and focusing on innovation. With continued investment and policy support, Vietnam’s toy industry is well-positioned for growth and a greater global presence.
Vietnam’s toy industry in numbers
Vietnam’s toy export industry has demonstrated remarkable growth and resilience, positioning the country as a key player in the global market. With strategic investments and a focus on quality, Vietnam is well-placed to further expand its share in the international toy industry.
Vietnam’s toys and games market
Vietnam’s toys and games market is forecast to generate revenue of US$1 billion in 2024, reflecting strong demand in the segment. The market is set to grow at a compound annual growth rate (CAGR) of 4.76 percent between 2024 and 2029, according to Statista.
The steady growth of this market is attributed to rising disposable incomes, increasing demand for educational toys, and the growing popularity of digital and interactive games among Vietnam’s younger population. Advances in technology, alongside evolving consumer preferences, are further driving demand for both traditional toys and digital entertainment products.
Vietnam’s toys and hobby market
Vietnam’s toys and hobby market recorded a revenue of US$4 billion in 2024, with projections indicating a compound annual growth rate (CAGR) of 7.26 percent from 2024 to 2029. The market is poised for steady growth, reflecting increased consumer spending and rising demand across key segments, according to Statista.
Of note, the sports equipment segment emerged as the largest contributor, accounting for a market volume of US$2 billion in 2024, according to the same report. This highlights growing interest in fitness, outdoor activities, and recreational sports, fueled by rising health awareness and lifestyle changes in Vietnam.
Vietnam’s toy production index
Vietnam’s toy and game manufacturing sector experienced a 1.15 percent decline in production during November 2024 compared to October 2024, according to Vietnam’s Industrial Production Index.
On a year-on-year basis, the sector grew by 2.01 percent in November compared to the same month in 2023, signalling modest recovery and demand over the past year.
Despite the monthly decline, the slight year-on-year increase reflects stabilised growth within the industry. However, cumulative production for the first eleven months of 2024 registered a 0.55 percent drop compared to the same period in 2023, indicating ongoing challenges in maintaining consistent output.
Vietnam toy exports
Vietnam has solidified its position as a significant player in the global toy export market. The country has exported billions of dollars worth of toys, games, and sports requisites, all over the world in recent years.
Vietnam’s toy exports, November 2024
| November | October | MoM | YTD | |
| Total | 306,848,823 | 342,178,399 | -10.3 | 3,441,042,836 |
| Other | 12,695,987 | 12,637,850 | 0.46% | 190,216,390 |
| USA | 140,740,586 | 170,252,787 | -17.33% | 1,616,005,243 |
| Japan | 64,215,836 | 62,145,223 | 3.33% | 549,921,338 |
| UK | 17,408,379 | 17,263,456 | 0.84% | 187,203,965 |
| China | 13,535,155 | 15,239,749 | -11.19% | 119,342,583 |
| Mexico | 8,150,730 | 10,153,635 | -19.73% | 100,306,723 |
| Germany | 7,862,977 | 9,082,423 | -13.43% | 114,284,291 |
| Netherlands | 5,833,170 | 7,934,795 | -26.49% | 95,979,714 |
| Australia | 5,553,604 | 10,484,407 | -47.03% | 77,123,031 |
| Canada | 5,206,865 | 5,664,598 | -8.08% | 70,660,826 |
| HongKong | 3,861,659 | 3,903,963 | -1.08% | 35,607,552 |
| Spain | 3,838,484 | 1,344,282 | 185.54% | 74,661,183 |
| France | 3,675,640 | 2,587,026 | 42.08% | 37,774,787 |
| South Korea | 3,588,286 | 3,032,356 | 18.33% | 35,777,486 |
| Belgium | 2,176,855 | 2,795,966 | -22.14% | 41,291,422 |
| Brazil | 1,770,942 | 1,749,384 | 1.23% | 17,574,548 |
| Singapore | 1,427,822 | 789,828 | 80.78% | 8,395,920 |
| Italy | 1,409,204 | 1,098,347 | 28.30% | 20,734,756 |
| Taiwan | 1,409,159 | 1,500,268 | -6.07% | 13,007,281 |
| Malaysia | 1,074,616 | 974,266 | 10.30% | 9,765,972 |
| Sweden | 885,697 | 1,007,339 | -12.08% | 9,618,851 |
| Denmark | 429,305 | 216,837 | 97.99% | 4,712,890 |
| Russia | 97,865 | 319,614 | -69.38% | 11,076,084 |
Source: Vietnam Exports Tracker
Domestic toy firms in Vietnam
Vietnam’s toy industry is supported by several domestic manufacturers known for their quality and diverse product offerings. Notable companies include:
Nam Hoa Trading & Production Corporation
Established in 1993, Nam Hoa specializes in producing wooden toys and educational items. The company exports to markets in Asia, Europe, and America.
Duc Thanh Wood Processing Joint Stock Company
Founded in 1991, Duc Thanh is a leading manufacturer of wooden toys and kitchenware. The company utilizes materials like rubberwood, MDF, and plywood to produce a variety of products, including educational toys and household items.
Cholon Plastic
Established in 1990 in Ho Chi Minh City, Cholon Plastic offers over 1,500 plastic products, primarily children’s toys such as bikes, tricycles, cars, baby walkers, and building blocks. The company also produces plastic household items and exports to countries including the US, Australia, South Korea, Cambodia, Laos, and Myanmar.
Long Thuy Company
Long Thuy is recognized for producing high-quality toys and was one of the first toy manufacturers in Vietnam to receive ISO 9001:2015 certification. The company collaborates with international partners and has been visited by representatives from leading toy retailers.
Foreign toy firms in Vietnam
Vietnam’s toy industry has attracted significant foreign investment, with international companies establishing manufacturing facilities to leverage the country’s skilled workforce and strategic location. Notable foreign toy firms operating in Vietnam include:
LEGO Group
The Danish toy manufacturer LEGO has made substantial investments in Vietnam. In 2023, LEGO opened its first official store in Ho Chi Minh City and initiated the construction of a 44-hectare factory in Binh Duong Province, anticipated to become fully operational by 2025. This facility aims to expand LEGO’s supply chain and drive sales growth in Vietnam and the Asia-Pacific region.
GFT Group
GFT Group, one of the largest OEM toy manufacturers in Southeast Asia, operates five production facilities in northern Vietnam, employing over 15,000 workers. The company produces toys for major international brands, including Takara Tomy, Hasbro, Spin Master, and Mattel, ensuring compliance with international safety standards.
Bandai Namco
The Japanese toy manufacturer Bandai Namco is recognized for its popular toys and collectibles. While specific manufacturing details in Vietnam are limited, Bandai Namco holds a significant market share in various product categories within the country.
Vietnam’s main toy products
Vietnam’s toy industry produces a wide range of products catering to both domestic and international markets. The main toy products include:
Wooden toys
Vietnam is well-known for producing high-quality wooden toys, such as puzzles, building blocks, and educational toys. These products are eco-friendly and adhere to international safety standards, making them popular in global markets.
Plastic toys
Plastic toys, including action figures, dolls, cars, and construction sets, form a significant portion of Vietnam’s toy production. These toys are widely used by local consumers and exported to major markets.
Educational toys
Educational toys, such as alphabet blocks, STEM kits, and activity sets, are increasingly in demand as parents focus on learning-oriented play for children. Vietnam produces a variety of these toys, targeting both domestic and export markets.
Plush toys
Plush toys, including stuffed animals and character-based products, are widely produced in Vietnam. These soft toys are popular with younger children and are a growing segment in exports.
Outdoor and sports toys
The industry also manufactures outdoor toys like bicycles, scooters, and playhouses, as well as sports equipment for children, such as balls, bats, and nets, catering to active play needs.
Collectibles and licensed toys
Licensed toys and collectibles based on popular characters and franchises are also produced in Vietnam, often through partnerships with international brands.
Eco-friendly and sustainable toys
In response to global sustainability trends, Vietnam’s toy industry is increasingly producing biodegradable and recycled materials-based toys, catering to environmentally conscious consumers.
These products reflect Vietnam’s ability to cater to a wide range of consumer preferences while maintaining competitiveness in global toy markets.
Toy regulations in Vietnam
Vietnam’s toy industry is governed by a regulatory framework aimed at ensuring product safety, environmental sustainability, and compliance with international standards. Key regulations include:
Product safety standards
Toys sold in Vietnam must comply with national technical regulations (QCVN) on safety. These regulations cover aspects such as material safety, design, and chemical content, ensuring that toys are free from harmful substances like lead or phthalates. Certification and testing are mandatory for all toys before they enter the market.
Labelling requirements
Vietnam mandates clear and accurate labelling on toy packaging. Labels must include product specifications, safety instructions, usage age groups, and manufacturer or importer information. For imported toys, Vietnamese language labelling is required.
Import and export regulations
Imported toys must meet Vietnam’s safety standards and go through a conformity assessment. Exported toys must comply with the safety and labelling requirements of destination markets, such as CE certification for Europe or ASTM standards for the United States.
Environmental regulations
Toy manufacturers must adhere to Vietnam’s environmental protection laws, which include waste management and the use of eco-friendly materials. The government encourages the production of sustainable toys made from biodegradable or recyclable materials.
Licensing and business operations
Toy manufacturers and distributors must obtain proper licenses to operate in Vietnam. They are also required to adhere to labour laws, ensuring fair wages and safe working conditions for employees.
Restricted items
Toys that pose a risk to children’s health or safety, such as those with sharp edges, small detachable parts, or hazardous chemicals, are restricted or banned under Vietnam’s toy safety laws.
These regulations aim to ensure that toys in Vietnam meet high safety and quality standards while fostering sustainable production practices, contributing to consumer trust and competitiveness in the global market.
What’s next?
Vietnam’s toy industry operates under strict regulations to ensure product safety, quality, and environmental sustainability. Safety standards mandate that toys meet national technical requirements, covering material safety, chemical content, and age-appropriate designs. Labelling regulations require clear product information, including safety instructions and manufacturer details, with additional requirements for imported toys.
Toy manufacturers must comply with environmental laws, promoting the use of eco-friendly materials and proper waste management. Licensing is required for production and distribution, along with adherence to labour laws to ensure fair wages and safe working conditions. Import and export activities are regulated to align with both domestic and international standards, such as CE and ASTM certifications. Restricted items, including toys with hazardous materials or unsafe designs, are prohibited. These measures ensure that Vietnam’s toy industry maintains high safety and quality standards while supporting sustainable practices and global competitiveness.
All of that said, Vietnam’s toy industry is dynamic and can change quickly. With this in mind, toy industry professionals can make sure to keep up with the latest developments by subscribing to the-shiv.