Southeast Asia · current conditions as of 24 September 2026 · fundamentals reviewed 16 October 2026
🇻🇳 Doing business in Vietnam
Fastest growing manufacturing hub replacing China supply chains.
Long-term risk: Medium
What makes up the long-term score
Highlights: China plus one beneficiary · Young workforce · Strong FDI growth
Key industries
Manufacturing & Electronics ↑ Strong growth
Vietnam is the worlds 2nd largest exporter of electronics after China. Samsung, Intel and LG have major manufacturing operations.
Main investors: South Korea, Japan, China, Singapore
Technology & Software ↑ Rapid growth
Vietnam has 500,000+ software engineers. Ho Chi Minh City is emerging as a major technology outsourcing hub.
Main investors: Japan, South Korea, US, Singapore
Agriculture & Seafood → Stable
Vietnam is worlds top exporter of cashews, pepper and tra fish. Seafood exports exceed $9B annually.
Main investors: Japan, EU, South Korea, US
Renewable Energy ↑ Rapid growth
Vietnam installed 16GW of solar in 2020 to 2021 alone. Offshore wind pipeline is one of Asias largest.
Main investors: Denmark, Singapore, Japan, US
Sector priorities
- Manufacturing & Electronics: China plus one strategy making Vietnam the top destination for electronics and high tech manufacturing relocation from China.
- Technology & IT Services: Large pool of cost competitive software engineers and government IT sector incentives driving strong technology investment.
- Offshore Wind Energy: Vietnam has Asias best offshore wind resources and a government target of 6GW by 2030 creating major project pipeline.
Talent & work permits
Vietnam has a young workforce of 56M with strong engineering and technical education. Vietnamese is the business language with English growing in multinationals.
- Foreign workers: Foreign employees need a work permit. Decree 393/2026 (issued 20 October 2026, in force 5 December 2026) replaces Decree 219/2025: permits are generally valid for up to two years and can be extended once.
- Localisation: We found no general cap on the share of foreign workers in current rules. Employer social insurance, health insurance, unemployment insurance and trade-union contributions total about 23.5% of salary (capped), and a Tet bonus of about one month is customary.
- Key consideration: Large engineering talent pool: median monthly salary for a back-end developer with 3-4 years experience was about VND 30 million in ITviec's 2025-2026 survey.
Checked 11 November 2026. Sources: Decree 393/2026 summary (EIG Law, Oct 2026) · Vietnam payroll and contributions 2026 (Second Talent, Aug 2026) · ITviec IT Salary & Recruitment Market Report 2025-2026
How to enter: first four steps
Vietnam requires an Investment Registration Certificate for foreign investors. Process managed through provincial Department of Planning and Investment.
- Obtain Investment Registration Certificate: apply to Department of Planning and Investment in chosen province
- Obtain Enterprise Registration Certificate: business registration following IRC approval typically takes 3 to 5 days
- Register with tax authority: obtain tax code and register for VAT and corporate income tax
- Open bank account and remit charter capital: minimum charter capital must be remitted within 90 days of IRC
Indicative cost: 10-person team
Professional-services team (1 senior manager, 5 professionals, 2 admin, 2 support), Grade A office, registration, legal, audit and tax compliance. Model estimate, not a quote.
First year by industry (10 people)
Regulatory watch
- Feb 2026 · Corporate Tax Incentives Revised: Vietnam revised preferential corporate tax rates for high tech and innovation sector investments.
- Mar 2026 · Global Minimum Tax Implementation: Vietnam formally enacted 15% global minimum tax for large multinational enterprises effective January 2026 in line with OECD Pillar Two framework.
Compare with Southeast Asia peers
Tap a market to see it side by side with Vietnam.
Common questions
Is Vietnam a good market to enter in 2026?
Vietnam has a long-term score of 6.9/10 on EmergingMarketIQ’s index (long-term risk: Medium) and scores 6.9/10 now, as of 24 September 2026. Fastest growing manufacturing hub replacing China supply chains. No direct exposure to the Iran conflict. Higher global oil prices (Brent above US$100 in late Sep 2026) and shipping disruption raise operating and logistics costs.
How much does it cost to set up a 10-person office in Vietnam?
Our cost model estimates about US$410k for the first year (≈US$32k per month run-rate plus ≈US$13k one-off setup) for a 10-person professional-services team; depending on industry the range is US$325k–US$461k. Indicative only.
What are the first steps to set up a company in Vietnam?
Obtain Investment Registration Certificate: apply to Department of Planning and Investment in chosen province Then: Obtain Enterprise Registration Certificate: business registration following IRC approval typically takes 3 to 5 days Then: Register with tax authority: obtain tax code and register for VAT and corporate income tax Then: Open bank account and remit charter capital: minimum charter capital must be remitted within 90 days of IRC
Source: EmergingMarketIQ country dataset. Current conditions and alerts updated 24 September 2026; GDP (World Bank 2025) and FX 24 September 2026; structural scores reviewed 16 October 2026. Rules, rates and conditions change, so verify with local counsel before acting. Not legal, tax or investment advice.