Vietnam targets economic growth through brand development and FDI reform

Vietnam is implementing strategic initiatives to enhance its economic competitiveness by strengthening national brands and reforming foreign direct investment (FDI) policies. The National Brand Program has expanded significantly, recognizing 227 companies and 499 products by 2026, up from just 30 companies and 50 products in 2008. In 2025, these recognized companies generated over $96.15 billion in revenue and contributed more than $5.11 billion to the national budget.

To ensure long-term growth, the government is shifting FDI attraction toward a more selective approach. New policies aim to link investment incentives to commitments regarding technology transfer, human resource training, and the development of local suppliers. This move seeks to address current limitations where the localization rate in foreign-invested production chains is only 20% to 25%, and national value-added remains below 50%.

Efforts are also focused on improving technology assimilation. Historically, technology transfer has been a challenge, with a low percentage of FDI projects involving significant intellectual property transfers. By fostering stronger links between foreign capital and domestic enterprises, Vietnam aims to move its local companies from simple subcontracting into higher value-added segments of global supply chains.