As we step half way into 2025, Vietnam’s economic momentum continues to attract global attention. With strong government support, an export-driven economy, and a favourable geographic position within Southeast Asia, Vietnam has cemented its place as a regional industrial powerhouse. For international investors, manufacturers, and brands looking to establish or expand their footprint in Asia, understanding the major industries in Vietnam is essential.
This article explores the top 7 major industries in Vietnam that are defining the country’s growth trajectory in 2025, and why they matter more than ever in the global business landscape.
1. Electronics and High-Tech Manufacturing
Vietnam has rapidly evolved into a vital global hub for high-tech and electronics manufacturing. Giants like Samsung, Intel, LG, and Foxconn have made significant investments in Vietnamese soil, and in 2025, this industry remains at the forefront of the country’s industrial output.
Together, these factors are positioning the country as a key player in the next phase of industrial technology.
Rising Exports
Vietnam’s electronic exports surpassed USD 120 billion in 2024, led by smartphones, semiconductors, and components for consumer electronics. Products manufactured in Vietnam are now central to the global supply chains of Apple, Samsung, and Dell.
In particular, the northern provinces have become hotspots for electronics manufacturing, thanks to their proximity to China, good infrastructure, and industrial park ecosystems.
Supply Chain Resilience
Multinational corporations are diversifying production out of China, and Vietnam has emerged as a top alternative due to lower labour costs, improving infrastructure, and favourable trade agreements.
Vietnam’s political stability, young workforce, and improving supply chain have made it the preferred alternative. Notably, Foxconn and Pegatron have ramped up production in Hai Phong, while Intel invested over $1.5 billion to expand chip assembly operations in Saigon Hi-Tech Park.
The government has invested heavily in STEM education and vocational training, improving local capabilities in semiconductors, smart devices, and automation.
Business Insight: If you’re in the electronics supply chain, from precision parts and PCBs to packaging, there are significant partnership and supplier opportunities across key zones like Bac Ninh, Thai Nguyen, and Ho Chi Minh City.
2. Textiles and Garments
Vietnam has long been one of the world’s leading garment manufacturers, and the sector remains resilient in 2025. While low-cost labour once defined the industry, today’s focus has shifted to sustainability, quality, and digitalised supply chains.
From expanding global demand to a growing focus on sustainability and trade benefits, the sector continues to evolve with strategic importance in 2025.
Global Demand
Vietnam’s textiles are exported to over 66 countries, with the US, EU, Japan, and South Korea being top destinations. Brands like Nike, Adidas, Zara, and Uniqlo rely heavily on Vietnamese suppliers. In 2025, value-added services such as custom printing, digital embroidery, and direct-to-garment (DTG) production will become more prevalent.
Sustainable Transformation
Factories are adopting OEKO-TEX, LEED, and ISO 14001 standards. Wastewater treatment, energy-efficient dyeing machines, and organic fibres are now being incorporated to align with ESG (Environmental, Social, Governance) requirements. Major exporters have embraced traceability tech, ensuring end-to-end transparency in the supply chain.
FTA Advantage
With access to agreements like the EVFTA and CPTPP, Vietnamese textile products benefit from reduced tariffs and simplified access to premium markets.
Business Insight: Northern and Central Vietnam offer cost-effective manufacturing solutions with high compliance standards. For fashion and apparel brands looking to nearshore or diversify sourcing, Vietnam remains a smart and scalable option.
3. Agriculture and Food Processing
Agriculture has been the backbone of Vietnam’s economy for decades, but the game is changing. In 2025, the country is no longer just exporting raw produce but also transforming into a regional hub for food processing and agritech.
These developments are turning a traditionally raw-export sector into a value-added and future-ready industry.
Diversification
Vietnam is the world’s second-largest exporter of coffee and among the top for rice, cashews, and pepper. In 2025, the shift is towards value-added products: roasted coffee blends, vacuum-packed tropical fruits, and frozen seafood with international certifications. Food processing plants are now leveraging cold chain logistics and automation to meet global standards.
Global Food Security Demand
Due to climate change and conflicts affecting food production elsewhere, importers are prioritising stable, diverse, and safe sources. Vietnam’s tropical climate enables year-round farming, while government support ensures high output in aquaculture (e.g., pangasius, shrimp) and horticulture (e.g., dragon fruit, lychee).
Innovation and Investment
Agritech ventures are bringing in drone mapping, IoT soil sensors, and AI-powered crop management. In areas like Lam Dong and An Giang, pilot projects in smart farming are increasing yields while reducing pesticide use. Foreign-invested food zones are also appearing, especially in the Mekong Delta and central provinces.
Business Insight: There’s growing potential in ready-serviced food processing factories and warehouse investments across southern Vietnam. Companies in F&B, logistics, or agriculture technology should consider tapping into this evolving ecosystem.
4. Automotive and Transport Equipment
Vietnam’s automotive and transport equipment industry has seen a notable rise and slowly is becoming one of the major industries in Vietnam, particularly with the emergence of local champions like VinFast, alongside growing foreign direct investment from Japanese, Korean, and European players.
These developments are accelerating the country’s push into modern transport technologies and export capabilities.
E-mobility revolution
With EVs gaining traction globally, VinFast and other players are actively exporting Vietnamese-made EVs and buses to international markets.
VinFast, Vietnam’s flagship EV manufacturer, began exporting EVs to the US and Europe in 2023. In 2025, its product line includes electric SUVs, buses, and scooters. The government offers registration tax exemptions and charging infrastructure incentives, helping boost domestic adoption. Other global automakers like Toyota, Hyundai, and Honda are expanding production lines, with EV component manufacturing gaining traction.
Tier-1 Supplier Growth
Vietnam is seeing the emergence of local component suppliers producing wiring harnesses, braking systems, lighting systems, and even electric motors. Foreign-invested suppliers in clusters like Vinh Phuc, Hai Duong, and Binh Duong are creating a supporting ecosystem for both domestic and export-driven production.
Government Incentives
Tax breaks and incentives are offered for investments in vehicle manufacturing zones, including green transport infrastructure.
Business Insight: From industrial parks in Hai Phong to automotive clusters in Binh Duong, opportunities abound for suppliers, logistics providers, and mobility innovators to get involved in Vietnam’s growing transport sector.
5. Renewable Energy and Power Generation
Vietnam’s energy demand continues to skyrocket, and with a vision for carbon neutrality by 2050, the country is making bold moves into solar, wind, and LNG development.
Investments in solar, wind, and supportive policies are not only reshaping the energy mix but also creating strong foundations for long-term industrial resilience.
Powering Industry
Vietnam’s industrial growth is outpacing electricity supply in some regions. To meet demand, renewable projects are being fast-tracked, particularly solar and wind energy installations in the central and southern provinces. Green energy is vital for power-intensive sectors like steel, electronics, and chemicals.
FDI-Driven Energy Parks
Investors from Denmark, Japan, and South Korea are pouring billions into offshore wind farms and solar power facilities. One of the largest wind projects in Asia, located in Bac Lieu, has begun exporting power to the national grid. Meanwhile, solar farms in Ninh Thuan and Binh Thuan supply factories in nearby industrial zones.
Policy Alignment
Under PDP8 (Vietnam’s Power Development Plan), the government targets 47% of total energy capacity from renewable sources by 2030. It’s also prioritising grid digitalisation and green hydrogen R&D. This provides opportunities for cleantech, equipment manufacturers, and engineering firms to enter the Vietnamese market.
Business Insight: For investors in energy, cleantech, or heavy industry, Vietnam’s energy transition opens long-term opportunities in power infrastructure, equipment procurement, and engineering services.
6. Tourism and Hospitality
Despite global slowdowns in previous years, tourism has risen as one of the major industries in Vietnam. In 2025, the sector is redefining itself through luxury travel, eco-tourism, and digital nomad-friendly services.
This renewed momentum is reshaping the industry into a more diverse and investment-ready landscape.
Resilient Growth
Vietnam’s post-COVID tourism rebound has been impressive. Tourist arrivals from South Korea, India, and the EU are increasing, and visa reforms in 2024, such as extended e-visa periods, have boosted accessibility. Major airports in Phu Quoc and Da Nang have been expanded to accommodate larger international flights.
Rising Middle Class
Vietnam’s growing middle class, now estimated at over 40% of the population, is fuelling demand for short-haul travel, eco-resorts, and localised experiences. Travel is no longer seen as a luxury but a lifestyle choice for millennials and Gen Z.
Real Estate Synergy
Hospitality growth is fuelling demand for mixed-use developments, coastal resorts, and branded residences, particularly in Da Nang, Phu Quoc, and Nha Trang.
Business Insight: Real estate investors, F&B groups, and tech-savvy hospitality providers should take note, Vietnam’s hospitality industry is diversifying fast, with untapped potential in secondary cities and eco-friendly developments.
7. Logistics and E-Commerce Infrastructure
Vietnam’s logistics sector has evolved in tandem with its booming e-commerce scene. With the rise of domestic consumption and cross-border trade, efficient supply chains are now more crucial than ever.
These changes are driving efficiency and unlocking new business potential.
Digitalised Logistics
Real-time tracking, last-mile delivery solutions, and AI-based route optimisation are enhancing the efficiency of logistics in 2025.
Infrastructure Upgrades
Major port expansions, road improvements, and intermodal transport solutions are reshaping connectivity across regions.
E-commerce Expansion
Platforms like Lazada, Tiki, and Shopee are driving demand for distribution centres, fulfilment hubs, and data-backed warehousing.
Business Insight: Companies in warehousing, cold storage, and third-party logistics (3PL) should explore high-growth zones like Long An, Binh Duong, and Da Nang where new infrastructure meets rising e-commerce demands.
Why These Major Industries in Vietnam Matter for Investors in 2025
Understanding the major industries in Vietnam is more than just an economic overview, it’s a strategic blueprint for future growth. Each of these sectors represents not only Vietnam’s evolving capabilities but also its adaptability in a rapidly shifting global landscape.
Whether you’re entering the market, expanding operations, or seeking new suppliers, these industries offer:
- Strong government support
- Robust supply chain networks
- Favourable trade agreements
- Competitive cost structures
In 2025, Vietnam is not just a low-cost manufacturing destination, it is a forward-thinking, innovation-ready economy.
Work with VALO Vietnam to Navigate These Industries
At VALO Vietnam, we help international businesses establish a strong presence by providing them with direct access to suppliers in promising industrial sectors.
With deep market knowledge, an extensive on-ground network, and tailored solutions across key regions, VALO Vietnam empowers your business to grow confidently.
Talk to us today to learn how you can position your business in Vietnam’s leading industries for 2025 and beyond.