{"id":25996,"date":"2026-10-01T14:44:53","date_gmt":"2026-10-01T07:44:53","guid":{"rendered":"https:\/\/b-company.jp\/?p=25996"},"modified":"2026-10-01T15:52:28","modified_gmt":"2026-10-01T08:52:28","slug":"vietnam-manufacturing-guide","status":"publish","type":"post","link":"https:\/\/b-company.jp\/vi\/vietnam-manufacturing-guide\/","title":{"rendered":"S\u1ea3n xu\u1ea5t t\u1ea1i Vi\u1ec7t Nam \u2013 H\u01b0\u1edbng d\u1eabn v\u1ec1 c\u00e1c ng\u00e0nh, \u0111\u1ecba \u0111i\u1ec3m v\u00e0 ho\u1ea1t \u0111\u1ed9ng t\u00ecm ngu\u1ed3n cung \u1ee9ng"},"content":{"rendered":"

\"B&Company-Vietnam<\/a><\/p>\n

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B&Company is the first Japanese company specializing in market research and investment consulting in Vietnam since 2008.<\/em><\/p>\n

This article was originally written in English. To make our insights accessible to a wider audience, translated versions are provided using AI translation technology. For the latest updates or more detailed information, please also refer to the original English version.<\/em><\/p>\n

Although we strive to ensure the accuracy of the original information, please check separately for each information. Interpretations and future prospects are the personal opinions of each researcher. <\/p>\n<\/div>\n\t

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For the full writing, please refer here \"\"BCompany_Vietnam Manufacturing Pillar_EN<\/a><\/strong><\/em><\/p>\n

Vietnam manufacturing offers several routes for foreign businesses: establishing production, sourcing from existing factories, and supplying equipment or services to industrial customers. The right approach depends on the product, required quality, customer location, and ability to manage suppliers. This guide brings together B&Company\u2019s industry research to help companies assess the main manufacturing sectors, compare locations, and plan market entry.<\/p>\n

The sector\u2019s expansion provides a strong starting point. Vietnam\u2019s National Statistics Office estimated manufacturing value added grew by 9.97% in 2025, its fastest annual growth during 2019\u20132025[1]<\/a>.<\/p>\n

Why companies consider manufacturing in Vietnam<\/strong><\/h2>\n

Vietnam combines an established export manufacturing base with opportunities to serve domestic consumers and industrial customers. Companies can use local production to diversify supply chains, manufacture closer to customers or develop a regional sourcing network. These objectives lead to different location and supplier requirements.<\/p>\n

Japanese manufacturers already form part of this industrial base. In JETRO\u2019s FY2025 survey, 51.1% of responding Japanese manufacturers in Vietnam planned to expand over the following one to two years. The finding indicates continued investment interest, while leaving room for substantial differences between industries and regions[2]<\/a>.<\/p>\n

Trends in Japanese companies’ business development in Vietnam<\/strong><\/p>\n

Unit: %. Figures in parentheses indicate the number of respondents<\/p>\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
Category<\/strong><\/td>\nExpand<\/strong><\/td>\nMaintain current operations<\/strong><\/td>\nDownsize\/ relocate to a third country or withdraw<\/strong><\/td>\n<\/tr>\n
Vietnam overall (905)<\/strong><\/td>\n57<\/strong><\/td>\n38<\/strong><\/td>\n5<\/strong><\/td>\n<\/tr>\n
Manufacturing total (409)<\/strong><\/td>\n51<\/strong><\/td>\n43<\/strong><\/td>\n6<\/strong><\/td>\n<\/tr>\n
Food products (31)<\/td>\n87<\/td>\n10<\/td>\n3<\/td>\n<\/tr>\n
Chemicals and Pharmaceuticals (26)<\/td>\n69<\/td>\n31<\/td>\n0<\/td>\n<\/tr>\n
Electrical and electronic equipment (25)<\/td>\n60<\/td>\n40<\/td>\n0<\/td>\n<\/tr>\n
Precision and medical equipment (17)<\/td>\n59<\/td>\n35<\/td>\n6<\/td>\n<\/tr>\n
Textiles and apparel (28)<\/td>\n57<\/td>\n32<\/td>\n11<\/td>\n<\/tr>\n
Transportation equipment (6)<\/td>\n50<\/td>\n33<\/td>\n17<\/td>\n<\/tr>\n
Electrical and electronic components (38)<\/td>\n50<\/td>\n47<\/td>\n3<\/td>\n<\/tr>\n
Iron, nonferrous metals and metal products (74)<\/td>\n49<\/td>\n47<\/td>\n4<\/td>\n<\/tr>\n
General machinery (27)<\/td>\n44<\/td>\n44<\/td>\n11<\/td>\n<\/tr>\n
Paper, wood products and printing (20)<\/td>\n40<\/td>\n55<\/td>\n5<\/td>\n<\/tr>\n
Plastic products (33)<\/td>\n39<\/td>\n55<\/td>\n6<\/td>\n<\/tr>\n
Rubber, ceramics, stone and clay products (20)<\/td>\n35<\/td>\n60<\/td>\n5<\/td>\n<\/tr>\n
Transportation equipment parts (36)<\/td>\n31<\/td>\n53<\/td>\n17<\/td>\n<\/tr>\n
Other manufacturing (28)<\/td>\n50<\/td>\n39<\/td>\n11<\/td>\n<\/tr>\n
Northern Vietnam (205)<\/td>\n39<\/td>\n52<\/td>\n9<\/td>\n<\/tr>\n
Central Vietnam (24)<\/td>\n42<\/td>\n58<\/td>\n0<\/td>\n<\/tr>\n
Southern Vietnam (180)<\/td>\n66<\/td>\n30<\/td>\n4<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Source: JETRO<\/p>\n

For a component producer, access to an assembler\u2019s procurement network may be decisive. A food manufacturer will place greater weight on raw materials, distribution and consumer demand. An equipment supplier needs to establish who controls purchasing decisions and whether local maintenance can be delivered economically. B&Company\u2019s analysis of Japanese investment in Vietnam\u2019s manufacturing sector provides further context on these business models and industry connections[3]<\/a>.<\/p>\n

Main manufacturing industries in Vietnam<\/strong><\/h2>\n

An initial market assessment should identify the production stage a company intends to enter. A country can have extensive final assembly without a complete domestic supply chain for its materials, components and machinery.<\/p>\n

Electronics and semiconductors<\/strong><\/h3>\n

Electronics manufacturing creates opportunities for component suppliers, precision tooling, inspection systems and production support. Within semiconductors, assembly, packaging and testing need to be assessed separately from chip design and wafer fabrication. Each activity has different requirements for capital, skills, utilities and customer qualification.<\/p>\n

For prospective suppliers, the practical starting point is a specific process and customer requirement. Cleanroom equipment, materials and engineering services should be assessed against the installed production base and qualification procedures of individual customers. B&Company’s review of Vietnam\u2019s semiconductor value chain and opportunities for Japanese companies explores these distinctions. Refer here<\/a><\/span> for more details<\/p>\n

Vietnam value chain of semiconductor<\/strong><\/p>\n\n\n\n\n\n\n
Value Chain Stage<\/strong><\/td>\nVietnam Position<\/strong><\/td>\nKey Players<\/strong><\/td>\nAssessment<\/strong><\/td>\n<\/tr>\n
Upstream<\/td>\nIC Design<\/td>\nRenesas, Marvell, Synopsys, FPT Semiconductor<\/td>\nGrowing<\/td>\n<\/tr>\n
Midstream<\/td>\nWafer Fabrication<\/td>\nN\/A<\/td>\nWeak<\/td>\n<\/tr>\n
Downstream<\/td>\nOSAT<\/td>\nIntel, Amkor, Hana Micron<\/td>\nStrong<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Source: B&Company<\/p>\n

Machinery and supporting industries<\/strong><\/h3>\n

Supporting industries supply the parts, materials and processing services used by other manufacturers. Activities include machining, mould making, metalworking and industrial components. Their commercial value depends on repeatability, engineering capability and delivery performance.<\/p>\n

A supplier with modern machines still needs to demonstrate process control and consistent output. Foreign companies assessing this segment should examine achievable tolerances, measuring equipment, material certification and production records. B&Company\u2019s research on precision manufacturing and supporting industries in Vietnam considers where technical cooperation and supplier development can address capability gaps. Refer here<\/a><\/span> for more details.<\/p>\n

Examples of precision manufacturing companies in Vietnam<\/strong><\/p>\n\n\n\n\n\n\n\n\n
No.<\/strong><\/td>\nCompany<\/strong><\/td>\nHead office<\/strong><\/td>\nOrigin<\/strong><\/td>\nMain precision manufacturing focus<\/strong><\/td>\n<\/tr>\n
1<\/td>\nMisumi Vietnam<\/a><\/td>\nNorthern<\/td>\nJapan<\/td>\nPrecision mechanical components for factory automation, press dies, plastic moulds, high-tech machines, and measuring equipment<\/td>\n<\/tr>\n
2<\/td>\nAizaki Vietnam<\/a><\/td>\nSouthern<\/td>\nJapan<\/td>\n5-axis CNC milling, CNC turning, grinding, wire EDM, tight-tolerance metal components<\/td>\n<\/tr>\n
3<\/td>\nTakako Vietnam<\/a><\/td>\nSouthern<\/td>\nJapan<\/td>\nHydraulic piston pumps, motors, and related precision components<\/td>\n<\/tr>\n
4<\/td>\nYamaguchi Vietnam<\/a><\/td>\nNorthern<\/td>\nJapan<\/td>\nCNC precision machining, aluminium die-casting, jig design and manufacturing, surface treatment, heat treatment, and industrial measuring\/testing equipment trading<\/td>\n<\/tr>\n
5<\/td>\nYamazen Vietnam<\/a><\/td>\nSouthern<\/td>\nJapan<\/td>\nCNC machine tools, machining centres, grinding machines, cutting tools, measuring tools, automation equipment, and technical support for precision machining<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Source: B&Company\u2019s synthesis<\/p>\n

Automotive manufacturing and components<\/strong><\/h3>\n

Automotive suppliers need to assess the requirements of particular assemblers and vehicle programmes. A component that fits one customer\u2019s production system may need different tooling, testing or documentation for another. The sourcing review should therefore establish technical specifications, expected volumes and the customer\u2019s approval process before estimating accessible demand.<\/p>\n

For a view of the foreign-invested production base, B&Company\u2019s analysis of automotive manufacturers in Vietnam compares enterprise numbers and revenues by investor origin. This provides a starting point for identifying customer groups, followed by company-level research. Refer here<\/a><\/span><\/span> for more details.<\/p>\n

Revenue of FDI manufacturers of automotive in Vietnam<\/strong><\/p>\n

Unit: %
\n\"Revenue<\/p>\n

Source: B&Company enterprise database<\/p>\n

Textiles and apparel<\/strong><\/h3>\n

Vietnam has an established apparel production base, but sourcing arrangements differ considerably. Some factories work with materials supplied by buyers; others take responsibility for sourcing inputs and delivering finished garments. These differences affect working capital, lead times and the buyer\u2019s exposure to imported fabrics or accessories.<\/p>\n

Assessment should cover the complete order, including material sourcing, sample approval, production capacity and inspection. Our analysis of apparel manufacturing in Vietnam examines supply chain dependence, labour pressures and sustainability considerations. Refer here<\/a><\/span> for more details.<\/p>\n

Vietnam textile and garment export value (2016-2025)<\/strong><\/p>\n

Unit: USD Billion
\n\"Vietnam<\/p>\n

Source: Vietnam National Statistics Office<\/p>\n

Food processing<\/strong><\/h3>\n

Food production connects manufacturing with agricultural supply, domestic consumption and regional exports. Potential entry routes include contract production, ingredient supply, processing equipment and investment in local capacity.<\/p>\n

The feasibility assessment should start with raw material consistency, food safety requirements, shelf life and distribution conditions. A suitable factory must also fit the intended sales market and production volume. B&Company\u2019s article on Vietnam as a food production base for Japanese companies reviews the sector and examples of Japanese participation. Refer here<\/a><\/span><\/span> for more details.<\/p>\n

Overall growth of food processing sector<\/strong><\/p>\n

Unit: %
\n\"Overall<\/p>\n

Source: Vietnam National Statistics Office<\/p>\n

Plastics, packaging and wood products<\/strong><\/h3>\n

Plastics and packaging serve manufacturers across consumer goods, electronics, construction and food. For buyers, material specifications, tooling ownership and production consistency deserve close attention. Our review of Vietnam\u2019s plastics industry discusses the market and environmental considerations. Refer here<\/a><\/span><\/span> for more details.<\/p>\n

Wood processing and furniture involve a different set of checks: timber sourcing, drying, finishing, dimensional stability and shipment protection. B&Company\u2019s analysis of Vietnam\u2019s timber value chain explains the relationship between raw materials, processing and finished products. Refer here<\/a><\/span><\/span> for more details.<\/p>\n

Vietnam\u2019s timber and wood products export value (2024)<\/strong><\/p>\n

100% = 16.3 billion USD
\n\"Vietnam's<\/p>\n

Source: VIFOREST<\/p>\n

Choosing a manufacturing location in Vietnam<\/strong><\/h2>\n

Location selection should begin with customers, production requirements and inbound materials. Regional comparisons are useful for building a shortlist; the final decision needs evidence from individual sites.<\/p>\n

Northern Vietnam\u2019s Hanoi, Bac Ninh and Hai Phong industrial corridor is relevant to companies assessing electronics, machinery and associated suppliers. Southern Vietnam, including Ho Chi Minh City and Dong Nai, offers an established industrial base connected with the southern consumer market. Central locations also merit examination when customer proximity, a particular industrial zone or a project\u2019s logistics requirements support the choice.<\/p>\n

The following checks help turn a regional shortlist into a site comparison.<\/p>\n\n\n\n\n\n\n\n\n\n
Decision factor<\/strong><\/td>\nEvidence to obtain<\/strong><\/td>\n<\/tr>\n
Customers and suppliers<\/td>\nActual travel times, shipment routes and delivery frequency<\/td>\n<\/tr>\n
Labour and management<\/td>\nRecruitment catchment, competing employers, skills and retention costs<\/td>\n<\/tr>\n
Utilities<\/td>\nAvailable power capacity, connection schedule, water and wastewater arrangements<\/td>\n<\/tr>\n
Premises<\/td>\nUsable space, floor loading, expansion options, fit-out requirements and permitted activities<\/td>\n<\/tr>\n
Logistics<\/td>\nPort or airport route, handling charges, congestion and contingency options<\/td>\n<\/tr>\n
Project timing<\/td>\nHandover conditions, required approvals and a realistic commissioning schedule<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n

Companies should also distinguish industrial land leases from ready-built factory rentals. Land quotations may cover a lease term, while factory rentals are often quoted by area per month; the figures cannot be compared directly. B&Company\u2019s overview of industrial real estate in Vietnam provides background on premises, developers and market conditions. Refer here<\/a> for more details.<\/p>\n

Assessing manufacturing costs in Vietnam<\/strong><\/h2>\n

A useful cost comparison measures the expense of delivering an accepted product to the customer. Monthly wages and factory rent are inputs to that calculation, alongside productivity, materials, quality losses and logistics.<\/p>\n

The costing model should include recruitment and training, employment costs, utilities, imported inputs, tooling, maintenance, freight, inventory financing and the cost of rejected output. For new facilities, add fit-out, commissioning and the period before production reaches its intended efficiency. Use current quotations for the shortlisted locations and suppliers.<\/p>\n

For example, a lower component price can be offset by longer lead times, additional inspection or a higher rejection rate. A factory with a higher rental rate may be commercially preferable if it shortens deliveries and reduces disruption. Compare suppliers using the same specification, order volume, quality requirements and delivery terms, then test how the result changes under lower utilisation or higher freight costs.<\/p>\n

Finding and qualifying manufacturing partners<\/strong><\/h2>\n

Vietnam\u2019s supplier base includes both Vietnamese-owned and foreign-invested manufacturers. Buyers should distinguish local procurement from procurement specifically from Vietnamese-owned companies. JETRO\u2019s FY2025 findings put local procurement by surveyed Japanese manufacturers in Vietnam at 38.1%, while 49.4% of respondents to the relevant Vietnam question planned to expand local procurement. The same report identifies continuing gaps in available materials and supplier quality or technical capability.<\/p>\n

Start the search with a technical sourcing brief. Define the material, drawing revision, tolerances, certifications, annual volume, initial order size and delivery requirements. Identify which processes must remain in-house and which may be subcontracted.<\/p>\n

Screen candidates for equipment, relevant production experience and available capacity. During factory visits, examine inspection records, traceability, subcontractor controls and how the company handles nonconforming products. A sample should demonstrate a process that can be repeated at the intended production rate.<\/p>\n

Cumulative FDI Amount and Number of Projects by Major Countries (2024)<\/strong><\/p>\n

\"Cumulative\u00a0FDI\u00a0Amount<\/p>\n

Source: Ministry of Planning and Investment (MPI) of Vietnam<\/p>\n

Qualification should then move to a pilot order with agreed acceptance criteria. Record responsibilities for tooling, defects, replacement, delivery changes and documentation before increasing volumes. B&Company\u2019s guide to finding reliable business partners in Vietnam<\/a><\/span> explains the broader screening process. Our mechanical processing partner search case illustrates how candidate interviews and factory visits support evaluation. Refer here<\/a><\/span> for more details.<\/p>\n

Common questions about manufacturing in Vietnam<\/strong><\/h2>\n

What products can companies source from Vietnam?<\/h3>\n

The manufacturing base includes electronics, machinery and components, apparel, processed food, plastics, packaging and wood products. Suitability depends on the required process, materials, production scale and quality system. Begin with a product specification and validate individual suppliers against it.<\/p>\n

Is northern or southern Vietnam the better location?<\/h3>\n

The answer depends on the customer and supplier network, labour requirements and shipping route. Compare individual industrial parks and factories using the same operating assumptions. A regional preference should be tested against actual recruitment, utility and logistics conditions.<\/p>\n

Can foreign companies begin without building a factory?<\/h3>\n

Companies can explore sourcing or contract production with existing manufacturers. The appropriate commercial and legal arrangements depend on how goods are purchased, produced and sold. A pilot order can provide evidence on quality and delivery before the buyer considers a larger commitment.<\/p>\n

How should a company choose a manufacturing supplier?<\/h3>\n

Use technical screening, factory assessment and a pilot order. Confirm capacity, traceability, quality controls and responsibility for subcontracted processes. Agree measurable acceptance criteria and monitor delivery performance before expanding the relationship.<\/p>\n

How B&Company can support your manufacturing plans<\/strong><\/h2>\n

B&Company provides market research<\/a><\/span><\/span> and business matching services<\/a><\/span><\/span> to help companies assess opportunities and identify suitable partners in Vietnam. A manufacturing project can combine industry research, candidate screening, interviews, and coordinated factory visits around the client\u2019s requirements.<\/p>\n

To discuss a project, share your product or process, target customers, expected volume, and preferred timing with B&Company<\/a><\/span><\/span>. These details provide the basis for defining the research scope and partner selection criteria.<\/p>\n

Read more<\/strong><\/h2>\n

Common mistakes in Vietnam Market research: 5 points to avoid<\/a><\/p><\/blockquote>\n