Vietnam emerges as strategic hub for Japanese investment shift
A Japanese expert urged Vietnamese firms to focus on long-term capacity building, raising product quality and strengthening business credibility.
A Japanese expert urged Vietnamese firms to focus on long-term capacity building, raising product quality and strengthening business credibility.
The funding, totaling approximately 90 billion JPY (around 609 million USD), will be allocated to three key projects, namely budget support for green growth and climate adaptation, disaster-resilient rural development, and climate-adaptive infrastructure to support production in northern mountainous regions, particularly for ethnic minority communities.
Kobayashi said that “new-generation ODA” represents a shift from the traditional focus on funding individual infrastructure projects towards a broader, more strategic approach that integrates policy support, market creation and technology connectivity.
JETRO’s 2025 Survey on the Business Conditions of Japanese Companies Investing Overseas shows that 67.5% of Japanese firms in Vietnam expect to be profitable this year, up 3.4 percentage points from 2024 and the highest level since 2009.
Under the MoU, the two sides agreed to bolster economic development by forming and enhancing sustainable partnerships, with a focus on trade, industry, investment, technology, and human resources training.
Total trade between Vietnam and Japan surged by 11.28% year-on-year to 51.43 billion USD last year.
A seminar was held in Ho Chi Minh City on December 15, aiming to explore ways for fostering Vietnam's trade with the two Northeast Asian countries.
Ha underscored the pivotal contributions of Japanese firms, which have long supported local socio-economic progress through major infrastructure projects, industrial zones and workforce training courses. To date, Japanese companies have invested more than 15 billion USD in over 2,200 projects, reflecting sustained confidence and commitment to the market.
Minister-Counsellor and Chargé d'Affaires at the Vietnamese Embassy in Japan Nguyen Sau stressed that as Vietnam is undergoing a period of strong transformation, Vietnamese enterprises in Japan serve as a pioneering force and a crucial bridge deepening the linkage between the two economies.
The southern province of Tay Ninh is seeking to attract greater Japanese investment into green hydrogen and renewable-energy technology, as provincial leaders met with a delegation from Japan’s New Energy and Industrial Technology Development Organisation (NEDO) and Obayashi Corporation on November 26.
Prime Minister Pham Minh Chinh called on Japanese prefectures and enterprises to continue trusting and supporting Vietnam on its development journey, contributing to the prosperity of both nations and their Comprehensive Strategic Partnership.
Vietnam supports CPTPP upgrade negotiations based on the principle of balance, considering the viewpoints and interests of all members, and will regularly consult Japan throughout the discussion process.
Tay Ninh currently hosts 176 Japanese foreign direct investment (FDI) projects with a combined capital of more than 1.26 billion USD.
To promote energy transition towards Vietnam’s goal of achieving carbon neutrality by 2050, the AZEC/GX Promotion Working Team was established within the AZEC initiative to strengthen cooperation in developing the investment environment and human resources.
The Japan Kanagawa Festival in Ho Chi Minh City was held on November 12 to promote business connections and expand cooperation between Ho Chi Minh City and Kanagawa, and contribute to the Vietnam-Japan Comprehensive Strategic Partnership.
The seminar sought to enhance networking and investment cooperation between the two countries, particularly as Vietnam pursues market expansion and sustainable economic growth.
Vietnam and Japan should collaborate in agricultural robotics, mechanisation, carbon monitoring and reduction, advanced processing, and by-product reuse, creating a multi-layered ecosystem connecting government agencies, research institutes, businesses, cooperatives, and farmers, and promoting green growth, a circular economy, and sustainable food security.
For the new tenure, Vietnam Business Association in Japan (VJBA) will strengthen business connectivity between Vietnam and Japan, promote digital transformation and competitiveness among member enterprises, expand strategic cooperation with both countries' authorities, and step up support for the Vietnamese community in Japan.
Minister of Science and Technology Nguyen Manh Hung held meetings with leaders of Japan’s Ministry of Internal Affairs and Communications (MIC) and the Japan Science and Technology Agency (JST) on October 2 as part of his working visit to Japan.
Vietnamese exhibitors also highlighted the motto of “circular and sustainable breakthroughs,” showcasing high-value fashion products that integrate green technology, reflecting a global trend towards sustainability.
The Mekong Delta city of Can Tho continues calling for investment in agriculture and processing industries, Vice Chairman of the municipal People's Committee Vuong Quoc Nam said at a working session in Can Tho city on October 1 with representatives of the Japan External Trade Organisation (JETRO) Ho Chi Minh City.
In the first eight months of 2025, Vinh Long’s exports to Japan fetched 417.6 million USD, up 12% year-on-year. The province currently hosts 176 foreign-invested projects, including 15 with direct investment from Japan worth 341.58 million USD in total, making Japan rank 4th in terms of investment capital.
With the new logistics hub, instead of transporting goods to various sites, businesses could save their time and transport costs by having irradiation and cold storage at the same place, helping reduce the risk of supply chain disruption.
WAGO Group proposed building a biomass power plant in Vinh Long where rice husks would be burned to generate steam for turbines, and the remaining ash would be processed into silica.
Thang praised Japan as a strategic partner, not only for its capital and technology but also for management experience sharing and effective public-private partnership models.