Việt Nam is experiencing a transformative period of growth, with expectations to rank among the top 15 Asian economies by 2025 and the top 20 globally by 2030.

This marks a unique opportunity for collaboration between state-owned enterprises (SOEs) and private businesses to create value chains for the Vietnamese people. The aim is to forge alliances, expand overseas, and compete in the global market.

SOEs have been for decades considered the backbone of Việt Nam’s industrial development. Now, private enterprises, often seen as agile engines of innovation, are stepping up as equal partners.

"Let’s join forces to bake a bigger pie, yielding greater benefits, rather than competing for morsels in the fiercely contested domestic market," said Nguyễn Cảnh Hồng, general director of Eurowindow SJC.

This reflects a growing sentiment to prioritise collaboration over the traditional rivalry between domestic enterprises. One notable outcome of this partnership is the development of resilient, localised supply chains.

Public-private partnerships, Hồng said, were driving investments in national mega-projects such as the Long Thành International Airport, the North-South Expressway Phase II, high-speed railway projects, and complementary industrial and high-tech agricultural ventures.

These initiatives would not be exclusive to either private or state-owned enterprises, he added.

Foreign investment a priority

Amidst intense global competition for foreign direct investment (FDI), Việt Nam’s strategic location and proactive policy reforms have made it a magnet for international capital. 

In 2024, the country attracted nearly $31.4 billion in FDI, with high-tech sectors such as semiconductors and artificial intelligence leading the way.

“Việt Nam continues to be a prime destination for global capital flows,” said Nguyễn Chí Dũng, minister of Planning and Investment. He emphasised the government’s commitment to creating favourable policies and maintaining a stable business environment to attract long-term investments.

Nguyễn Cảnh Tĩnh, general director of Việt Nam Maritime Corporation (VIMC), highlighted the role of foreign partnerships in driving local economic growth.

VIMC’s strategic collaboration with Mediterranean Shipping Company (MSC), one of the world’s largest shipping lines, represents a significant step toward transforming Việt Nam into a major logistics hub.

Their joint initiative to develop the Cần Giờ International Transhipment Port, with an investment exceeding US$5 billion, underscores their shared commitment to strengthening Việt Nam’s global standing in maritime trade.

“We’re not just building a nest for eagles. We aim to relocate entire eagle nests to Việt Nam,” Tĩnh said at the Ministry of Transport’s year-end conference reviewing the 2024 work and outlining 2025 priorities. 

The private sector is also driving innovation in high-tech industries. Companies like Vingroup and FPT are partnering with global technology leaders such as Nvidia to bring cutting-edge solutions, including AI and semiconductor manufacturing, to Việt Nam.

Beyond high-tech, several other sectors are attracting investment interest. These include plans to establish international financial hubs in HCM City and Đà Nẵng, as well as free trade zones in Hải Phòng City and Bà Rịa Vũng Tàu Province.

Nguyễn Xuân Phú, chairman of Sunhouse Group, described this period as a "once-in-a-lifetime opportunity" for entrepreneurs.

"Recently, I visited South Korea, where they were selling a semiconductor plant for around $50 million—far lower than the $150-200 million needed for new investments. In China, I saw an OLED screen manufacturing plant seeking partnerships with Vietnamese enterprises," he said.

“This is the moment for Vietnamese businesses to integrate into global supply chains, replace Chinese products, and benefit from shifting capital flows. Seizing this opportunity will transform our enterprises.”

This rare opportunity is bolstered by Việt Nam’s geopolitical position, global investment shifts amid the US-China trade tensions, and dual transformation trends in technology and green growth.

Importantly, these developments also open doors for small- and medium-sized enterprises, encouraging new business models driven by technology, the internet, and digital innovation.

Nguyễn Đình Cung, PhD, former director of the Central Institute for Economic Management, said the Vietnamese business community was well-positioned to capitalise on shifting capital flows and global trends.

Economic aspirations

Việt Nam is forecast to join the world’s top 20 largest economies before 2030.

According to the International Monetary Fund (IMF), Việt Nam’s economy is projected to reach $506 billion in 2025, ranking 33rd globally—up from $433 billion and 34th place in 2023, and a significant leap from 37th in 2020. 

When adjusted for purchasing power parity, Việt Nam’s GDP in 2024 is estimated at nearly $1.6 trillion, placing it 25th globally. By 2029, this figure could reach $2.34 trillion, officially placing Việt Nam among the top 20 global economies alongside giants such as China, the US, India, Japan, and Indonesia.

This surpasses earlier estimates, such as PricewaterhouseCoopers’ 2017 prediction that Việt Nam would enter the top 20 economies by 2050 with a GDP of nearly $3.2 trillion when adjusted for purchasing power parity.

For 2025, the Vietnamese government has set a target of double-digit growth, significantly higher than the goals outlined by the National Assembly.

This ambition reflects Việt Nam’s drive to reach milestones ahead of schedule and cement its position as a leading global economy.

"This is not just a business opportunity but a defining moment for the nation," said Phú of Sunhouse Group. "Vietnamese enterprises must adapt quickly to avoid being left behind."  VNS