Coordinated measures back up Vietnam’s success

As its principal driving force, the sector achieved breakthroughs in the refinement of institutional frameworks and policies for the power sector. It advised the government in presenting the amended Electricity Law to the National Assembly for approval. Concurrently, it advocated reviving the Ninh Thuan nuclear power project and resolved issues hindering renewable energy initiatives. The sector has also addressed longstanding challenges within the renewable power field, creating breakthroughs to propel energy development forwards.

Nguyen Hong Dien, minister of Industry and Trade

Amid robust economic recovery and a sudden surge in electricity demand, the sector maintained the general macroeconomic balance. It ensured energy security and equilibrium in the supply and demand of essential commodities and input materials, preventing disruptions in the supply of petrol products. Furthermore, it guaranteed adequate electricity supply to support production, business, and the people.

Industrial production has been supported, achieving growth exceeding 8 per cent compared to 2023, surpassing the assigned target and outpacing growth rates recorded in previous years. The manufacturing and processing sector witnessed an increase of nearly 10 per cent, more than three times the growth rate of prior years, reaffirming its pivotal role as a key driver of the nation’s economic expansion.

Meanwhile, the growth of imports and exports has been a significant driver of economic expansion. The total trade turnover reached a new high of approximately $800 billion, representing a 15 per cent on-year increase and surpassing the target by more than 2.5-fold. The sustained trade surplus, of over $23 billion, for the ninth consecutive year has bolstered foreign exchange reserves, stabilised the exchange rate, and contributed to macroeconomic stability.

The domestic market maintained stability, with prices kept in check and the supply of essential goods ensured. E-commerce continued to grow, expanding by over 20 per cent, propelling Vietnam’s retail e-commerce market to exceed $25 billion. This accounts for two-thirds of the country’s digital economy and positions Vietnam among the top 10 countries with the fastest e-commerce growth rates globally.

Steady growth

The country has implemented international economic integration initiatives, unlocking substantial potential markets in the Middle East and Africa. For instance, the ministry facilitated the signing of the Vietnam-UAE Comprehensive Economic Partnership Agreement after a record negotiation period of only 16 months, expanding Vietnam’s trade integration globally.

Furthermore, trade defence efforts yielded positive and robust results, addressing hundreds of cases related to anti-dumping investigations and countervailing duties aimed at evading trade regulations. These efforts played a crucial role in safeguarding Vietnamese goods as they expanded into global markets.

With these efforts, the domestic market experienced steady growth at 9 per cent, maintaining a stable supply and demand. To further ensure the success of the socioeconomic development objectives in 2025, the Ministry of Industry and Trade (MoIT) will focus on effective execution of key priorities.

We will internalise and institutionalise the new perspectives and directives of the Party and state regarding industrial and commercial development. This will involve translating these principles into robust policies, ensuring their effective implementation to generate new opportunities.

The sector will focus on reforming institutional work, recognising this as a critical breakthrough to establish a cohesive legal framework for investment in industrial, energy, and commercial development. It prioritises the implementation guidelines for the amended Electricity Law and government decrees concerning solar power development, rooftop power generation, and electricity trading.

Additionally, the sector will draft decrees on mechanisms to develop natural gas power projects and offshore wind power to encourage investment and foster the growth of a competitive electricity market. It will also review Power Development Plan VIII and the tasks related to the nuclear power development initiative.

Requirements must be met

Efforts will be directed towards completing draft laws, including those on chemicals, efficient use of energy, and on key industrial products.

The sector will propose nationwide implementation, following successful pilot programmes in certain localities, of groundbreaking policies to unlock and mobilise resources for development.

The MoIT will continue the restructuring of the industrial sector towards enhancing quality, efficiency, and competitiveness, leveraging advancements in science, technology, and innovation. It will revitalise and drive traditional growth engines, including investment, consumption, and exports, while harnessing new growth drivers such as digital transformation, green transition, circular economy, shared economy, and high-tech industries, including semiconductor manufacturing and more advanced technologies.

We will focus on strengthening international economic integration and advise on leveraging opportunities arising from diplomatic relations to capitalise on the shifting waves of investment in key industries by multinational corporations to third countries. Particularly in high-potential sectors, we will also focus on implementing measures to foster strong links between foreign-invested enterprises and domestic businesses.

This aim is to promote the development of managerial skills and facilitate technology transfer, thereby enhancing the competitiveness of Vietnamese companies to meet the requirements of global production and supply chains.

The next priority is to maximise the role of Vietnam’s trade offices abroad in supporting localities and enterprises to leverage its free trade agreements. This will enable the diversification of markets and supply chains while bolstering exports. The country will actively provide advice on negotiating, concluding, and upgrading trade deals with potential partners to foster greater trade and investment cooperation.

Another key point is to prioritise innovation and enhance the effectiveness of trade promotion, tapping into the potential of the domestic market. We must advance the development of traditional commerce alongside modern trade practices, and accelerate the growth of e-commerce and the digital economy to harness economic digitalisation trends.

The country will also monitor supply-demand and price movements of essential commodities to ensure effective market regulation.

Advances have been made in logistics, transport infrastructure, the industrial arena, e-commerce, and much more, Photo: Shutterstock