Foreign investment trends in China and Vietnam

Vietnam has emerged as a leading emerging market in the competition to attract international capital, distinguishing itself from other ASEAN nations. According to Peter Stein, CEO of ASIFMA, Asian capital markets are experiencing a “K-shaped divergence” where certain markets attract significantly more investment than others. Vietnam is identified as the only emerging market in a top-tier group alongside China, India, Singapore, and South Korea, driven by long-term growth prospects and fundamental economic foundations.

Subsequent data shows significant growth in foreign direct investment (FDI) for both China and Vietnam. China’s FDI stock reached 26.8 trillion yuan, with foreign-invested enterprises contributing one-third of the nation's total import and export volume. China's competitive advantage is shifting toward supply chain depth and innovation ecosystems.

In Vietnam, FDI registered capital for the first nine months of 2026 reached $50.36 billion, representing a 76.4% year-on-year increase. Actual realized FDI reached $21.07 billion, the highest level for that period in five years. This growth is supported by a projected GDP increase of 9.01% for the first nine months of the year, largely driven by the industrial and construction sectors.