Country intelligence • Vietnam
Vietnam: market-entry intelligence
Country profile · India · Thailand · Graph
Three decisions an EU company faces with Vietnam. Vietnam has the strongest EU trade position of any ASEAN country: the EVFTA has been in force since 2020, most industrial tariffs are already eliminated, and 100% foreign ownership is permitted in manufacturing without the BOI/FBA gate that Thailand imposes. The binding constraints are the conditional business lines (196 remaining after the 2025 reform), the once-per-year profit repatriation limit, and the 2026 USTR Priority Foreign Country designation that puts the US trade relationship at risk.
How to read this page: ● measured sourced data · ◐ inferred analyst reading, basis linked · ○ projected anchored to a real starting point. Bracketed citations link to the sources at the foot of the page.
1. Trade with Vietnam
EU-Vietnam FTA
In force[5]
● measured Vietnam is the EU's top ASEAN trade partner and has the most advanced EU FTA in the region (in force since 2020, vs Thailand under negotiation and no ASEAN-wide FTA). By 2026, most industrial tariffs under EVFTA have been eliminated, giving EU exporters a significant preference margin over non-FTA competitors.[5,6]
EU exports to Vietnam by sector
| SITC section | Latest month (EUR) |
|---|---|
| 7. Machinery and transport equipment | EUR 351M |
| 5. Chemicals | EUR 235M |
| 6. Manufactured goods (by material) | EUR 117M |
| 0. Food and live animals | EUR 102M |
| 8. Miscellaneous manufactured articles | EUR 96M |
| 2. Crude materials (excl. fuels) | EUR 81M |
| 1. Beverages and tobacco | EUR 11M |
| 4. Animal and vegetable oils/fats | EUR 6M |
| 3. Mineral fuels and lubricants | EUR 3M |
| 9. Not classified elsewhere | 131,306 |
Source: Eurostat COMEXT (ds-059331). [7]
The Nordic lens: Finland's position
Finland's largest export sections: Machinery and transport equipment (EUR 23M), Manufactured goods (by material) (EUR 2M), Miscellaneous manufactured articles (EUR 1M). Same COMEXT series, Finland as reporter.
Certification gate
● measured Vietnam uses a system of mandatory national technical regulations (QCVN) enforced by sector ministries. Key regulators: STAMEQ (quality standards), MOH (food safety, pharmaceuticals), MOIT (industrial goods), MIC (telecoms equipment). The system is less centralised than India's BIS or Thailand's TISI.[9]
- Mandatory conformity assessment for industrial goods, construction materials, and consumer electronics
- Food safety import registration with MOH/MARD; can take 3-6 months for first registration
- Pharmaceutical imports: registration with Drug Administration of Vietnam (DAV), 12-24 months
- Cosmetics: notification-based (simpler than most ASEAN peers)
- EVFTA includes regulatory cooperation provisions but no automatic mutual recognition
◐ inferred Less of a binding constraint than India's BIS regime. The main friction is pharma/food registration timelines and the decentralised regulatory landscape (multiple ministries with overlapping jurisdiction).
Free Trade Agreement
● measured EVFTA in force since 1 August 2020. Near-complete tariff elimination: 99% of customs duties eliminated over 7 years (EU side) and 10 years (Vietnam side). By 2026, most machinery duties (up to 35% MFN) have been eliminated for EU exporters. 65% of EU export duties were eliminated on entry into force.[5] Ratification status: Fully ratified and operational. EU-Vietnam Investment Protection Agreement (EVIPA) still pending ratification by all EU member states.
2. Establish in Vietnam
Entity forms
| Type | What it can do | Route / approval | Timeline |
|---|---|---|---|
| Wholly Foreign-Owned Enterprise (WFOE / LLC) | Separate Vietnamese legal entity. 100% foreign ownership permitted in non-restricted sectors. Most common structure for manufacturing and services FDI. Minimum charter capital varies by sector (no universal minimum, but must be adequate for licensed activities). | Provincial Department of Planning and Investment; 15 working days for IRC (standard projects) | IRC + ERC: 3-6 weeks total; conditional sectors may take longer |
| Joint Venture (JV) | Vietnamese entity with both foreign and local partners. Required in some restricted sectors. May provide local-partner advantages for land access, permits, and government relations. | Provincial DPI | 3-6 weeks plus JV negotiation time |
| Branch Office | Extension of foreign parent. May engage in commercial activities within licensed scope. Parent company must have operated for 5+ years. Less common than WFOE; creates PE. | MOIT; parent must provide 5-year operating history + audited financials | 4-8 weeks |
| Representative Office | Liaison only. May NOT generate revenue or sign commercial contracts. Suitable for market research and partner liaison. Parent must have operated 1+ year. License valid 5 years, renewable. | Provincial DOIT; 1-year parent operating history required | 2-4 weeks |
FDI sectors: automatic vs government route
| Sector | FDI cap | Route | Note |
|---|---|---|---|
| Manufacturing (general) | 100% | Automatic (IRC + ERC) | No foreign ownership cap. Vietnam's primary FDI magnet: electronics, garments, footwear, furniture. Samsung alone accounts for ~20% of Vietnam's exports. |
| IT / software / digital services | 100% | Automatic | Not a conditional business line. Strong FDI inflows from Korean, Japanese, and EU tech companies. |
| Renewable energy | 100% | Automatic (with power-sector licensing) | Solar and wind FDI surged 2019-2023. Transition to auction-based power purchase (PDP VIII) introduced uncertainty. Direct PPA framework for certain large consumers under development. |
| Banking / finance | 30% (standard) / 49% (weak-bank restructuring) | Conditional (SBV approval) | Foreign ownership in Vietnamese commercial banks capped at 30% of charter capital. PM may approve up to 49% for banks in restructuring plans. |
| Telecommunications | 49% (basic) / 65% (value-added services) | Conditional | Basic telecom: 49% foreign cap. Value-added/internet services: 65% under WTO commitments. Licensing from MIC. |
| Real estate | 100% (with restrictions) | Conditional | Foreign-invested enterprises may develop real estate projects but face land-use-right restrictions. New Land Law 2024 eased some conditions but individual foreign land ownership remains prohibited. |
| Retail / distribution | 100% | Conditional (Economic Needs Test for multiple outlets) | First outlet by IRC; each additional outlet requires an Economic Needs Test (ENT) by provincial authorities. ENT can be opaque and slow. |
| Education / healthcare | 100% | Conditional | Permitted but heavily regulated. Healthcare facilities require MOH licensing. International schools permitted with curriculum requirements. |
Corporate tax rates
| Scenario | Basic rate | Effective rate | Note |
|---|---|---|---|
| Standard | 20% | 20% | Flat rate for most enterprises |
| SME micro (revenue ≤ VND 3bn) | 15% | 15% | New CIT Law 67/2025, effective Oct 2025 |
| SME small (revenue VND 3-50bn) | 17% | 17% | New CIT Law 67/2025 |
| Preferential (qualifying sectors, 15yr) | 10% | 10% | High-tech, digital, AI, EV, green manufacturing, certain SEZs |
| Preferential (qualifying sectors, 10yr) | 17% | 17% | Encouraged sectors in difficult areas |
| Tax holiday (post-first-profit) | 0% | 0% | Up to 4yr exemption + 9yr at 50% for 10%-rate projects |
MAT: No minimum alternative tax. However, Global Minimum Tax (15%) applies to MNCs with >EUR 750M revenue from 1 Jan 2024.. Foreign company PE rate: 20% on Vietnam-sourced income; no separate branch-profit remittance tax (dividends are WHT-free).[3,1,12]
GST standard rate
10% (8% reduced)[1]
Standard rate 10%; reduced rate 5% for essential goods (food, water, medical, education). Government-approved 2% VAT reduction (to 8%) on certain goods/services from 1 Jul 2025 to 31 Dec 2026. Zero-rated: exports, international transport.
Withholding tax / TDS (key rates for EU parent)
| Type | Rate | Note |
|---|---|---|
| Dividends to foreign parent | 0% | Vietnam does not levy withholding tax on dividends. One of Vietnam's key FDI advantages. |
| Interest to non-resident | 5% | May be reduced or exempted under DTAs (80+ treaties) |
| Royalties to non-resident | 10% | May be reduced to 5-15% under DTAs |
| Service fees to non-resident (FCT) | 5% CIT + 5% VAT | Foreign Contractor Tax: combined CIT + VAT on gross payments. Varies by service type. |
Payment and currency
● measured Managed float within a daily band set by the State Bank of Vietnam (SBV). VND is NOT freely convertible. All FX transactions must go through licensed banks. The SBV sets a central rate daily based on a currency basket (USD dominant) and permits fluctuation within a narrow band (currently +/- 5%).[8,13] Profit repatriation is permitted after fulfilling all tax obligations and submitting audited financial reports, but may only be remitted ONCE PER YEAR. All investment-related cash flows must go through a designated 'capital account' at a licensed bank. SBV is proposing forex rule overhaul to facilitate the FTSE emerging-market upgrade.
◐ inferred Payment cycles in Vietnamese B2B trade are typically 30-60 days for domestic transactions. Cross-border payments require bank documentation. LCs are standard for larger import/export transactions. The banking system has improved but remains less sophisticated than Thailand or Singapore for complex treasury operations.[9]
Production-Linked Incentives
● measured Vietnam does not have a single PLI-equivalent scheme like India or Thailand's BOI. Instead, incentives flow through the CIT Law (sector + location-based tax holidays), SEZ/EZ regimes, and bilateral investment agreements. The 2025 CIT Law expanded incentivised sectors to include AI, data centres, EV manufacturing, and green technologies.[3,9]
| Sector | Status |
|---|---|
| Electronics manufacturing | Samsung, LG, Intel, Foxconn operations. Samsung alone has invested USD 22bn+. Vietnam's largest export category. |
| Garments / textiles / footwear | EU is a major destination. EVFTA rules-of-origin requirements (yarn-forward for textiles) are reshaping supply chains. |
| EV and automotive | VinFast (domestic) + growing foreign component supply chain. CIT Law 67/2025 added automobile manufacturing to incentivised sectors. |
| AI and data centres | New incentivised sector under CIT Law 67/2025. Google, Amazon (AWS), Meta investing in Vietnam data centre capacity. |
| Renewable energy | Solar/wind boom 2019-2023 (FIT regime). Transition to auction-based PPA (PDP VIII) slowed new investment. Direct PPA pilot for large consumers under development. |
| High-tech agriculture / food processing | Incentivised under CIT Law; Vietnam is a major global exporter of coffee, cashews, seafood, rice. |
The 2025 CIT Law removed location-only incentives (being in an industrial zone alone no longer qualifies). Projects must now meet sector criteria. The Global Minimum Tax (15%) may neutralise preferential rates for large MNCs.
Labour framework
● measured Vietnam's Labour Code 2019 (effective Jan 2021) governs employment. Minimum wage is set by region (4 zones): Zone I (Hanoi/HCMC) VND 4,960,000/month (~EUR 185), Zone IV (rural) VND 3,450,000/month (~EUR 129) as of Jul 2024. Labour law is national. Social insurance: employer ~21.5%, employee ~10.5% on salary up to 20x minimum wage. Work permits required for all foreign employees (15-day processing, 2-year validity, renewable).[9]
- Minimum wage increases adjusted annually by regional committee (most recent: 6% increase Jul 2024)
- Mandatory social insurance coverage expanding to include part-time and contract workers
- Work permit requirements strictly enforced; penalties for unauthorized foreign workers increased
- Overtime cap: 40 hours/month, 200 hours/year (300 in certain sectors with MOLISA approval)
The opportunity
Vietnam's opportunity for EU companies rests on three advantages: the EVFTA (the most advanced EU FTA in ASEAN, in force since 2020 with most industrial tariffs eliminated), 100% foreign ownership in manufacturing without a BOI-equivalent gate, and the lowest labour costs among major ASEAN manufacturing destinations.
EVFTA: the EU's deepest ASEAN FTA
● measured In force since August 2020, the EVFTA eliminates 99% of tariffs over 7-10 years. By 2026, most machinery duties (up to 35% MFN) have been eliminated for EU exporters. Vietnam is the EU's largest ASEAN trading partner. No other ASEAN country has an operational EU FTA of this depth.[5]
Electronics manufacturing hub
● measured Samsung alone has invested USD 22bn+ and accounts for ~20% of Vietnam's exports. Intel, LG, Foxconn, and Google are building capacity. The new CIT Law (2025) added AI and data centres to incentivised sectors with 10% preferential rate for 15 years.[3,9]
Zero dividend withholding
● measured Vietnam does not levy withholding tax on dividends paid to foreign parents. Combined with the 20% standard CIT (or 10% preferential), this gives an effective tax burden lower than India (20% CIT + 10% dividend WHT) or Thailand (20% CIT + 10% branch remittance).[2]
FTSE emerging-market upgrade
● measured FTSE Russell upgraded Vietnam to emerging-market status in 2026. This drives portfolio flows and, critically, is pushing the SBV to overhaul forex rules, which may ease the once-per-year profit repatriation constraint. EU companies with Vietnamese subsidiaries benefit from the improved capital-market infrastructure.[13]
3. Dangers register
9 entries across 6 categories. Each states the mechanism (how it bites an EU company), the evidence (sourced), the mitigation, and what evidence would change the assessment.
IP enforcement: Priority Foreign Country designation
Vietnam was designated a 'Priority Foreign Country' in the 2026 USTR Special 301 Report, the most serious IP designation and the first PFC globally in 13 years. This means USTR will decide within 30 days whether to initiate a Section 301 investigation, which could result in trade sanctions.
● measured USTR cited: persistent online piracy and counterfeiting; uneven border interdiction despite unused ex officio authority; absence of criminal penalties for signal theft; failure to negotiate in good faith on IP protection.[15]
Judiciary corruption and lack of independence
Vietnamese courts lack independence from the Communist Party. Judges are appointed for 5-year terms subject to Party renewal. Court bribery is documented. Foreign arbitral awards may be rejected on 'basic principles of Vietnamese law' grounds and take years to enforce even when accepted.
● measured Supreme People's Procuracy (Sep 2025): 28 charged in a court bribery ring spanning 20 cases, with judges, prosecutors, and lawyers exchanging VND 11.4bn to influence verdicts. One in five businesses reportedly avoids the Vietnamese court system due to bribery concerns.[17,21,9]
VND non-convertibility and repatriation constraints
The Vietnamese dong is not freely convertible. Profit repatriation is limited to once per year after tax clearance and audited financials. All investment cash flows must go through a designated capital account. These constraints add friction and planning requirements for EU companies managing Vietnamese operations.
● measured SBV sets daily central rate with +/-5% band. All FX transactions require licensed-bank documentation. The FTSE emerging-market upgrade (2026) is driving SBV proposals to overhaul forex rules, which may ease constraints.[8,13]
One-party state: policy by decree, not legislation
Mechanism: All significant economic decisions ultimately flow through the Communist Party of Vietnam. Policy can change by Party resolution without parliamentary debate. An EU company's operating environment can shift when the Party's internal balance changes, as it did after the 14th Congress (Jan 2026).
Evidence: The 14th Congress renewed To Lam as General Secretary, continuing centralisation. The anti-corruption campaign ('blazing furnace') has removed senior officials and business leaders. Control Risks notes the operating environment is 'more commercially attractive' but warns that political consolidation creates new risks.[16,22]
Current status: Stable for the current Congress cycle (2026-2031). The next period of uncertainty is the 15th Congress (~2031).
Mitigation: Engage with policy at the provincial level (DPI) where implementation discretion is high. BOI-equivalent incentives (IRC-based) are relatively stable across Congress cycles. Maintain government relations at multiple levels.
What would change the assessment: Political liberalisation (not on the current trajectory). Vietnam's OECD aspirations (stated but distant) would create binding institutional commitments.
Regulatory churn (laws, decrees, circulars)
Mechanism: Vietnam's legal system operates on three levels: laws (National Assembly), decrees (Government), and circulars (Ministries). New laws are frequently issued with delayed or incomplete implementing decrees, creating gaps. The 2025 CIT Law and 2025 Investment Law both have transitional periods where the old and new rules overlap.
Evidence: CIT Law 67/2025 effective Oct 2025; implementing Decree Jan 2026; implementing Circular Apr 2026. Investment Law 143/2025 effective Mar 2026; new conditional business line list from Jul 2026. This three-layer cascade with staggered dates is typical and creates compliance uncertainty during transitions.[3,4]
Current status: Active. Two major laws (CIT + Investment) in transition simultaneously. The next wave is the revised Land Law implementation.
Mitigation: Engage local counsel with Hanoi regulatory-tracking capability. Budget for compliance updates. Join the European Chamber of Commerce in Vietnam (EuroCham) for collective advocacy.
What would change the assessment: Consolidation of the law-decree-circular cascade into self-contained legislation. Vietnam adopting a regulatory impact assessment (RIA) requirement.
Judiciary corruption and lack of independence
Mechanism: Vietnamese courts lack independence from the Communist Party. Judges are appointed for 5-year terms subject to Party renewal. Court bribery is documented. Foreign arbitral awards may be rejected on 'basic principles of Vietnamese law' grounds and take years to enforce even when accepted.
Evidence: Supreme People's Procuracy (Sep 2025): 28 charged in a court bribery ring spanning 20 cases, with judges, prosecutors, and lawyers exchanging VND 11.4bn to influence verdicts. One in five businesses reportedly avoids the Vietnamese court system due to bribery concerns.[17,21,9]
Current status: Structural. The anti-corruption campaign targets judicial corruption but depends on Party-level political will.
Mitigation: Arbitration clauses (SIAC or VIAC, the Vietnam International Arbitration Centre). Note: Vietnam is NOT party to the ICSID Convention. EVIPA (EU-Vietnam Investment Protection Agreement) would provide investor-state dispute settlement but is still pending ratification.
What would change the assessment: Vietnam joining ICSID. EVIPA ratification. Sustained reduction in judicial corruption documented by external monitors.
IP enforcement: Priority Foreign Country designation
Mechanism: Vietnam was designated a 'Priority Foreign Country' in the 2026 USTR Special 301 Report, the most serious IP designation and the first PFC globally in 13 years. This means USTR will decide within 30 days whether to initiate a Section 301 investigation, which could result in trade sanctions.
Evidence: USTR cited: persistent online piracy and counterfeiting; uneven border interdiction despite unused ex officio authority; absence of criminal penalties for signal theft; failure to negotiate in good faith on IP protection.[15]
Current status: Acute. The PFC designation is a significant escalation. Vietnam's trade relationship with the US (its largest export market) is at risk. If a Section 301 investigation is opened, the consequences could include tariff surcharges on Vietnamese exports to the US.
Mitigation: Register IP proactively at NOIP (National Office of Intellectual Property). For EU companies, the EVFTA IP chapter provides a separate enforcement framework. Monitor the Section 301 investigation timeline closely, as US tariff surcharges on Vietnam would affect the competitive positioning of Vietnam-origin goods.
What would change the assessment: Vietnam taking sufficient action to avoid a Section 301 investigation. Upgraded enforcement on online piracy and border interdiction. Congressional intervention in the US.
Corruption (improving but pervasive)
Mechanism: Vietnam's corruption is pervasive in licensing, land allocation, customs, and state procurement. The anti-corruption campaign has created a secondary risk: 'ne dam, ne lam' (fear of acting) among officials, where bureaucratic paralysis replaces bribery as the binding constraint on approvals.
Evidence: TI CPI 2025: score 41/100 (rank 81/182), up from 40 in 2024. The score is near the global average (42) and better than Thailand (33) or India (39). However, the anti-corruption campaign is dependent on top-level political support renewed at each 5-year Party Congress.[14,19]
Current status: Improving on measured indices but structurally dependent on political cycle. The 'ne dam, ne lam' paralysis is a widely reported practical consequence.
Mitigation: Anti-corruption compliance programme. Provincial variation is significant: HCMC and Hanoi have better governance than remote provinces. The Provincial Competitiveness Index (PCI) is a useful data source for sub-national governance quality.
What would change the assessment: CPI score sustained above 50. Anti-corruption enforcement institutionalised independently of Party Congress cycles.
Land-use rights and expropriation risk
Mechanism: All land in Vietnam belongs to the state. Enterprises hold land-use rights (LUR), not ownership. The state can reclaim land for 'socio-economic development' purposes. Compensation frameworks exist but valuation disputes are common and resolution is slow.
Evidence: The Land Law 2024 (effective Aug 2024) introduced arbitration for land disputes and improved compensation rules, but the fundamental state-ownership structure remains. Only the state can convert land from one use to another. Individual LURs cannot be freely transferred for different uses.[18,9]
Current status: Structural risk inherent to Vietnam's land regime. The 2024 law is an improvement but does not change the underlying state-ownership model.
Mitigation: Lease land within industrial zones (IZ administrators handle LUR). For greenfield projects outside IZs, engage specialised land counsel. Due diligence on existing LUR claims before investment.
What would change the assessment: Recognition of private land ownership (not on the political horizon under the current system). Full implementation of the 2024 Land Law's compensation and arbitration provisions.
VND non-convertibility and repatriation constraints
Mechanism: The Vietnamese dong is not freely convertible. Profit repatriation is limited to once per year after tax clearance and audited financials. All investment cash flows must go through a designated capital account. These constraints add friction and planning requirements for EU companies managing Vietnamese operations.
Evidence: SBV sets daily central rate with +/-5% band. All FX transactions require licensed-bank documentation. The FTSE emerging-market upgrade (2026) is driving SBV proposals to overhaul forex rules, which may ease constraints.[8,13]
Current status: In force. The once-per-year repatriation limit is a real constraint for companies accustomed to quarterly dividend flows. The FTSE upgrade may accelerate liberalisation.
Mitigation: Plan annual repatriation cycle in advance. Use the capital account framework correctly from the start (restructuring later is difficult). Monitor SBV forex rule proposals tied to the FTSE upgrade.
What would change the assessment: Full capital-account liberalisation (the FTSE upgrade creates pressure but the timeline is unclear). Removal of the once-per-year repatriation limit.
US-China squeeze: trade diversion benefits and risks
Mechanism: Vietnam has been the primary beneficiary of US-China trade diversion (electronics, furniture, garments), but this creates a secondary risk: the US has investigated Vietnam for trade-agreement violations, currency manipulation (removed from watch list 2023), and the 2026 PFC designation signals growing friction. Vietnam's China relationship (largest import source, shared land border, ideological alignment) constrains its room to manoeuvre.
Evidence: Vietnam's exports to the US grew ~40% from 2018-2023 during the US-China trade war. The 2026 PFC designation is the strongest US enforcement signal to date. Vietnam's trade surplus with the US is among the largest globally.[15,9]
Current status: Active and structurally important. Vietnam's entire export-manufacturing model depends on maintaining access to both the US and China markets simultaneously.
Mitigation: For EU companies: the EVFTA provides a separate, stable market-access framework independent of US-Vietnam tensions. Vietnam-origin goods benefit from EVFTA preferences regardless of US trade policy. Monitor PFC/Section 301 developments for secondary effects on Vietnam's manufacturing ecosystem.
What would change the assessment: Resolution of the PFC designation. US-China tension easing. Vietnam concluding a bilateral investment agreement with the US.
North-south governance and infrastructure gap
Mechanism: Vietnam's two economic poles (Hanoi/Red River Delta in the north, HCMC/Binh Duong/Dong Nai in the south) have different administrative cultures, supply-chain profiles, and talent pools. Central Vietnam is less developed. Provincial DPI offices have significant discretion in investment approvals, and the quality of governance varies widely.
Evidence: The Provincial Competitiveness Index (PCI) shows a wide spread in governance quality. Northern provinces tend to have more state-sector influence; southern provinces are more private-sector oriented. Industrial zone availability, power supply reliability, and port access vary significantly.[9]
Current status: Structural. Government policy aims to develop central Vietnam (Da Nang corridor) but the north-south concentration persists.
Mitigation: Choose between the two poles based on supply-chain requirements (north: electronics/Samsung ecosystem; south: garments/furniture/diversified). Use the PCI to compare provincial governance quality.
What would change the assessment: Convergence of PCI scores. Development of the central Vietnam corridor. Standardisation of provincial DPI approval processes.
22 primary sources spanning EU/Vietnamese government publications, WTO tariff data, Eurostat trade data, and specialist legal/tax summaries.
- [1] PwC, Vietnam Corporate Taxes on Corporate Income (2025/26)
- [2] PwC, Vietnam Corporate Withholding Taxes
- [3] Law No. 67/2025/QH15 on Corporate Income Tax (14 Jun 2025, effective 1 Oct 2025): new tiered SME rates 15%/17%, location-only incentives removed, sector-based incentives expanded (digital, AI, EV, green)
- [4] Law on Investment No. 143/2025/QH15 (11 Dec 2025, effective 1 Mar 2026): conditional business lines reduced from 234 to 196 (38 abolished, 20 revised); new list effective 1 Jul 2026
- [5] EU-Vietnam Free Trade Agreement (EVFTA): in force 1 Aug 2020; 99% tariff elimination over 7 (EU) / 10 (VN) years; 65% of EU export duties eliminated on entry
- [6] WTO, World Tariff Profiles 2025: Vietnam simple average MFN non-agricultural 8.3%
- [7] Eurostat COMEXT (ds-059331): EU27 and Finland trade with Vietnam by SITC section, monthly
- [8] State Bank of Vietnam: managed float within daily band; VND not freely convertible; profit repatriation via designated capital account after tax clearance, once per year
- [9] US Department of State, 2025 Investment Climate Statement: Vietnam
- [10] Vietnam Briefing (Dezan Shira), Tax Incentives for Foreign Enterprises in Vietnam
- [11] Vietnam Briefing, Representative Office vs Branch Office vs Subsidiaries in Vietnam
- [12] Vietnam Global Minimum Tax: Resolution 107/2023/QH15 effective 1 Jan 2024; 15% top-up for MNCs with >EUR 750M consolidated revenue
- [13] FTSE Russell upgraded Vietnam to emerging-market status (effective 2026); SBV proposing forex rule overhaul to facilitate capital flows
- [14] Transparency International, Corruption Perceptions Index 2025: Vietnam score 41/100, rank 81/182 (up from 88/182 in 2024)
- [15] USTR, 2026 Special 301 Report: Vietnam designated 'Priority Foreign Country' (PFC) for IP, the most serious designation; first PFC in 13 years globally
- [16] 14th Communist Party Congress (Jan 2026): To Lam renewed as General Secretary; targets upper-middle-income by 2030; centralisation of power
- [17] Supreme People's Procuracy (Sep 2025): 28 charged in court bribery ring spanning 20 cases (2022-2024); judges, prosecutors, lawyers implicated; VND 11.4bn exchanged
- [18] Land Law 2024 (effective Aug 2024): new arbitration option for land disputes; individual land-use rights remain limited; only the state can convert land use
- [19] Vietnam's anti-corruption campaign ('blazing furnace'): dependent on top-level political support renewed every 5 years at Party Congress; selective enforcement risk
- [20] Human Rights Watch, BTI 2026 Vietnam: one-party authoritarian system; no independent judiciary; press freedom severely curtailed
- [21] Vietnam is not party to the ICSID Convention; no active proposal to join despite MPI recommendation
- [22] Control Risks, Vietnam after the 14th Party Congress: more commercially attractive, but political consolidation creates new risks
As of July 2026. Statutory facts verified against primary sources; practice claims cite the basis.