KUALA LUMPUR — Bilateral trade between Việt Nam and Malaysia has recorded remarkable growth over the past decade, rising from US$8 billion in 2015 to $14.2 billion in 2024, and is well on track to reach the target of $18 billion ahead of schedule.

According to Vietnamese Trade Counsellor in Malaysia Lê Phú Cường, since the two countries elevated their relationship to a strategic partnership in 2015, Malaysia’s exports to Việt Nam have soared by around 160 per cent. This surge reflects Việt Nam’s growing demand for essential production inputs such as fuel, electronic components, and petroleum products, which are crucial for its export-oriented economy.

Meanwhile, Việt Nam’s exports to Malaysia have also risen by more than 80 per cent, with notable gains in agricultural and processed goods.

In 2024, Vietnamese rice emerged as one of Malaysia’s top three imports, alongside electronics and steel. Coffee exports from Việt Nam also posted robust growth, driven by Malaysia’s limited domestic production.

On the investment front, by the end of April 2025, Malaysian investors had 770 valid projects in Việt Nam, with total registered capital nearing $13.6 billion. Malaysia ranks 10th among 150 countries and territories investing in Việt Nam, and third within the Association of Southeast Asian Nations (ASEAN).

Malaysian investment spans 18 out of Việt Nam’s 21 economic sectors. The largest share is in education and training, with seven projects worth over $3.6 billion. This is followed by the manufacturing and processing industry, with 249 projects totalling nearly $2.9 billion (21.2 per cent of total investment), and the power and gas sector, with five projects worth almost $2.5 billion (18.2 per cent).

Conversely, Vietnamese investors have invested in 27 projects in Malaysia with total registered capital of $854.8 million, largely concentrated on mining ($804.2 million). Other areas of investment include professional, scientific and technical services ($43.7 million), as well as wholesale, retail, and vehicle repair.

Cường noted that Vietnamese businesses faced intensifying competition in the Malaysian market, which has free trade agreements not only with Việt Nam but also with other regional economies such as China, Thailand, and Indonesia. He urged Vietnamese firms to make greater efforts and strategic engagement to secure a firm foothold in this market. — VNS