Overview Casting is a process of shaping molten metal into desired forms by pouring it into molds and letting it solidify. The casting industry in Vietnam can be seen as a dynamic industry that is well-positioned for future growth. According to a 2022 report by the Vietnam Foundry and Metallurgy Science and Technology Association (VFMSTA), there are currently over 400 foundries operating in Vietnam – mostly SMEs. These foundries produce a wide range of castings, including cast iron, steel, and aluminum. The foundry industry in Vietnam is growing rapidly, driven by the increasing demand for cas ..read more

Importing machinery into Vietnam is a strategic decision for businesses looking to leverage advanced technology, gain cost benefits, and acquire high-quality equipment. However, navigating the legal and regulatory landscape is crucial for a successful and profitable outcome. Therefore, the questions arise of “Which legal framework do abide to in Vietnam for this process?”. This article provides an overview of the legal regulations, customs procedures, and specific considerations for importing machinery into Vietnam. ⚖️Legal Regulations and Customs for Machinery Import in Vietnam Import Regulat ..read more

Traditionally, a vast majority of German manufacturing investments has flown into the Greater Ho Chi Minh City Region. Still, almost 50% of these factories are located in the four localities of Ho Chi Minh City, Binh Duong, Dong Nai and Long An. Things are however changing as other investment destinations emerge. New investors nowadays enjoy a lot of choices in Vietnam's 63 provinces and cities as well as its 400 industrial zones. Within this blog article, we will examine the country's old and new manufacturing regions in detail. Please note that this article is part of a sponsored roadshow h ..read more

One of the first things investors need to consider when starting up a manufacturing operation is what kind of real estate they want to utilize. In Vietnam, there are three options: Ready-built-factories, built-to-suit-factories and brownfield investment. Withing this article, we will introduce these real estate forms and lay out how German investors are utilizing them. Please note that this article is part of a sponsored roadshow happening in December 2023. More details below. READY BUILT FACTORIES (RBF) These are basically production halls that can be rented by investors. RBFs only entered V ..read more

Vietnam has recently developed into an attractive investment location for German companies. They are drawn in by the reasonable and high-quality labor, open investment environment and growing local market. Within this post we will 1) introduce the overall investment status and 2) take a look into German manufacturing operations in Vietnam. OVERALL INVESTMENT STATUS Historical Overview The first German investments flowed into Vietnam shortly after the country opened its doors to foreigners. In 1992, Bültel (producing fashion for brands such as Camel Active) settled down in Binh Duong. In the s ..read more

Vietnam has recently developed into an attractive investment location for German companies. They are drawn in by the reasonable and high-quality labor, open investment environment and growing local market. Within this post we will 1) introduce the overall investment status and 2) take a look into German manufacturing operations in Vietnam. OVERALL INVESTMENT STATUS Historical Overview The first German investments flowed into Vietnam shortly after the country opened its doors to foreigners. In 1992, Bültel (producing fashion for brands such as Camel Active) settled down in Binh Duong. In the s ..read more

Dong Nai is an economic powerhouse in Vietnam. Within the country’s 63 provinces and cities it ranks fourth in FDI attraction, third in GDP generation as well as sixth in GDP per capita. It has the most industrial zones in Vietnam and is also a magnet for German industrial manufacturing. Dong Nai lies right next to Vietnam’s main economic hub, Ho Chi Minh City, and its many options for business, living, education and entertainment. Recently, the province has also made huge headlines with the start of construction operations of the biggest airport project of the country: Long Thanh. We are pro ..read more

This South-East Asian country currently is one of the hottest destinations for international buyers looking for new partners to diversify their supply chains or to reduce costs. Its companies are deemed to be reliable. Vietnam's economic policies are stable and sound. Perfect prerequisites for successful new business relationships it seems. There are however a couple of stumbling stones on the way to open new supply routes. More on this in the following blog article. It should be noted that this text mostly refers to local Vietnamese suppliers and not as much to internationally invested compa ..read more

Vietnam’s GDP is expected to grow at a breakneck speed of 6 to 7% p.a. over the next several years. Rising GDP leads to more income leading to more consumption. Furthermore, the population is expected to grow from the current 100 million to 120 million in 2050. These factors are creating a lot of opportunities for food exporters. Traditionally, a lot of international food companies were looking into brick-and-mortar retail to distribute their products locally. For most though, sales are stalling and remain at rather small volumes. So, does this strategy still carry or is brick-and-mortar reta ..read more

Working with a new supplier, distributor or business partner may provide ample opportunity. However, there is also a risk because at the start of a relationship there is not yet that much experience in cooperation and a lack of trust. Risks may end up in delivery issues or payment defaults. Hence, vetting a business partner may expose potential challenges and support in designing applicable delivery and payment terms. Within this two-part blog we have first considered WHY it is important to vet a business partner (access here). Now, in the second part, we will explain HOW a new partner may re ..read more