Vietnam Industry and Trade News Bulletin for January 20, 2026

A. POSITIVE INFORMATION

Seafood Exports Target 11.5 Billion USD in 2026

• 2025 Performance: According to VASEP, the seafood industry reached nearly 11.3 billion USD, an increase of 12.4% compared to 2024, reflecting global demand recovery and adaptability to trade barriers.
• 2026 Target: The sector aims for 11.5 billion USD. Deputy Minister of Agriculture and Environment Phung Duc Tien warned that 2026 will not be easy due to increasing environmental, traceability, and market standard requirements, particularly green certificates from the US market.
• Strategy: Growth must be sustainable, based on science, technology, digital transformation, and value chain transparency.

B. GENERAL ECONOMIC HIGHLIGHTS (FOR REFERENCE)

From Solid Foundation to New Development Space for Vietnam’s Economy

• 2026-2030 Targets: The draft Political Report for the 14th National Party Congress sets ambitious goals:
  • Average GDP growth: 10%/year or higher.
  • GDP per capita by 2030: ~8,500 USD.
  • Processing and manufacturing industry: ~28% of GDP.
  • Digital economy: ~30% of GDP.
• New Growth Model: Focus on productivity, quality, and competitiveness driven by science, technology, and digital/green transformation.
• Belgian Expert’s View: Mr. Eric Van Vaerenbergh (ECAM Brussels) believes Vietnam’s goal to become a high-income nation by 2045 is grounded in reality, given its deep international integration and industrial foundation, provided it focuses on productivity and energy efficiency.

Davos Conference 2026: “Spirit of Dialogue”

• Event: The World Economic Forum (WEF) opened in Davos (Switzerland) on Jan 19, 2026, lasting until Jan 23.
• Context: The global economy faces fragmentation, inflation, and debt risks.
• Agenda: nearly 3,000 leaders will discuss trade cooperation, AI deployment, social safety nets, and debt shock resilience. US President Donald Trump is expected to address housing affordability.

Europe Faces Risk of Lagging Behind US and China

• Gap: The income gap between Europe and the US has widened to 25% over the last two decades.
• Tech Lag: In the past year, the US developed ~40 large AI models, China 15, while the EU only recorded 3.
• Cause: Analysts suggest the EU has shifted from a growth engine to a “regulatory superpower,” focusing too much on risk prevention and standards rather than production and innovation.

C. ENERGY

12,392 Billion VND for Nuclear Power “Foundation”

• Investment: Khanh Hoa PPC announced a total capital need of approximately 12,392 billion VND for migration, resettlement, and site clearance for the Ninh Thuan 1 and 2 nuclear power plants.
• Significance: This is considered “social capital” investment to prevent delays and create a stable foundation for Vietnam’s first nuclear energy project.

Power Companies Report Massive Profits

• Nhơn Trạch 2 (NT2):
  • Q4/2025 Revenue: 2,367 billion VND (+32%). Profit after tax: 422 billion VND (+470%).
  • Full Year 2025: Revenue 7,803 billion VND (+31%); Profit nearly 1,000 billion VND (+1,105%).
  • Employee Income: Management average income reached ~240 million VND/year (+57%).
• PECC1:
  • Signed Contracts 2025: 835.1 billion VND (+198%), highest in history.
  • Profit after tax: 150.75 billion VND (+72.3%).
  • Average Income: 31.1 million VND/person/month (+37%).

MoIT Proposes Raising LNG Power Offtake to 75%

• Proposal: To ensure energy security and support the transition to Net Zero, MoIT proposes a 75% committed output (Qc) for LNG power projects in a new draft Decree.
• Rationale: LNG power acts as a crucial base load to back up renewable energy. While this may pressure retail prices, the cost of power shortages is far higher.
• Status: The draft applies to IPP projects and is compatible with international norms.

100% of Communes in the North Connected to National Grid

• Achievement: By the end of 2025, 100% of communes and special zones managed by EVNNPC (17 Northern provinces) are connected to the national grid. Rural household electrification reached 99.68%.
• 2025 Performance: EVNNPC commercial power output reached 106.54 billion kWh (+7.46%).
• Resilience: Despite storms KAJIKI, BUALOI, and MATMO, supply remained stable.

Proactive Solutions to Ensure No Power Shortage

• Directive 01/CT-TTg: The PM mandates absolute assurance of power supply for 2026-2030.
• Key Projects for 2026:
  • Grid: Upgrade 500 kV substations (Pho Noi, Hoa Binh, Dien Bien, Son La, etc.) and completion of 500/220 kV lines.
  • Generation: Bring Yen Son, Dak Mi Hydropower, Vung Ang II, and Quang Trach I Thermal Power into operation.
• Fuel: Ensure sufficient coal, gas, and oil supply for generation.

D. IMPORT – EXPORT

MoIT Enhances Support for Exporters

• 2025 Overview: Export turnover estimated at 475 billion USD, up 17% vs 2024.
• Success Story: MoIT and the Government successfully resolved the issue of nearly 500 tea containers stuck at Karachi port (Pakistan) en route to Afghanistan. After diplomatic intervention, Pakistan allowed the release of goods on Dec 31, 2025, minimizing losses for Vietnamese businesses.

Vietnam Promotes Trade with Hong Kong (China) in 2026

• Growth: In 11 months of 2025, total trade reached 62.3 billion USD, up 73.1% YoY.
  • Exports to Hong Kong: 36.8 billion USD (+90.6%).
  • Imports from Hong Kong: 25.5 billion USD (+52.9%).
• Role: Hong Kong imports >90% of food and acts as a “super-connector” for Vietnamese goods to reach the world.

Vietnam – Singapore Trade Maintains Momentum

• 2025 Record: Bilateral trade reached a record nearly 40 billion SGD (+26.2%).
  • Vietnam’s exports to Singapore: 13.1 billion SGD (+53.2%).
  • Singapore’s exports to Vietnam: 26.8 billion SGD (+16.1%).
• Surplus: Excluding transshipped goods, Vietnam had a trade surplus of over 5.8 billion SGD.
• Key Items: Machinery/electronics (HS 85) and Petroleum products (HS 27) account for 67.6% of Singapore’s exports to Vietnam.

Vietnam – Laos Trade Aims for 5 Billion USD

• 2025 Result: Trade turnover reached 2.98 billion USD, up 32.7% vs 2024.
• Structure:
  • Exports to Laos: Chemicals (+112.7%), Machinery (+132.8%).
  • Imports from Laos: Coal, Fertilizers, and Vegetables (+199.8%).
• Energy: New wind power projects (Truong Son, Savan 1) began exporting electricity to Vietnam in late 2025.

E. DOMESTIC MARKET

Retail Workforce: Urgent Requirement for Growth

• Challenge: The retail sector faces a shortage of high-quality human resources capable of adapting to digital transformation and green standards.
• Solution: Companies like AEON Vietnam are implementing HR development models (HRBP, Academy). Experts suggest integrating e-commerce and ESG into university curricula.
• WinCommerce Performance:
  • New Stores: Opened 764 points in 2025 (80% in rural areas), reaching a total of >4,500.
  • Revenue: 39,000 billion VND (+18.3%). December revenue alone hit 3,557 billion VND.
  • Profitability: 90.3% of new stores passed the EBITDA breakeven point.

Removing “Toad Markets” in Hanoi: Economic Puzzle

• Policy: Hanoi is clearing informal street markets (“toad markets”) in 2026.
• Impact:
  • Small Traders: Loss of livelihood for thousands with low capital.
  • Farmers: Disruption of direct sales channels for peri-urban farmers who cannot meet supermarket standards (VietGAP, traceability) immediately.
  • Consumers: Loss of convenient, cheap food sources (supermarkets are 15-20% more expensive).
• Recommendation: Urban civilization should not be built on the vulnerability of the livelihood economy. Solutions for street vendors are needed.

Ensuring Petrol Supply

• 2026 Outlook: A turning point year with a new Decree on petrol business and the switch to biofuels.
• Target: Total minimum petrol source assigned is nearly 31.8 million m3/ton (avg 2.65 million/month) to support >10% GDP growth.
• Biofuel Roadmap: From June 1, 2026, the market will switch entirely to E5 RON 92 and E10 RON 95.
• 2025 Review: Prices adjusted 54 times; by year-end, prices decreased 6-17%. 1 wholesaler and 8 distributors had licenses revoked.