The era of attracting FDI at all costs is gradually coming to an end, giving way to a new phase focused on selective investment to create sustainable value.
In a global context that prioritizes high technology and environmental protection, Vietnam is shifting from a mindset of “attraction” to bilateral “investment partnership.”
So what are the key factors to realize this strategy?
KTG Industrial analyzes the critical role of industrial infrastructure in enhancing Vietnam’s position and improving the effectiveness of investment partnerships.
Repositioning FDI: From “Attracting” to “Investment Partnership”
FDI is being redefined not merely as an external capital source but as a long-term development partner.
This means Vietnam prioritizes projects that create sustainable value, promote technology, and support domestic enterprises in enhancing their capabilities.
FDI becomes a long-term partner rather than just a capital source
This shift is reflected in three key trends.
(1) Prioritizing R&D, chip manufacturing, and AI, meaning a stronger focus on research and development, semiconductor production, and artificial intelligence to elevate technological capabilities.
(2) Requiring integration with domestic supply chains, where FDI enterprises collaborate with local suppliers to create spillover effects and strengthen the manufacturing ecosystem.
(3) Balancing FDI with national capacity, ensuring that investment attraction goes hand in hand with strengthening internal capabilities and economic self-reliance.
3 Pillars of Reform to Enhance Investment Environment Attractiveness
Institution & Procedures
One of the key reforms is the shift from pre-inspection to post-inspection, helping shorten initial approval time while still ensuring supervision during operations.
At the same time, the “Green Lane” mechanism under the Investment Law 2025 is applied to high-tech projects, enabling investors to accelerate implementation and reduce administrative barriers.
Infrastructure
In addition to transport systems such as expressways and seaports, the current investment environment requires “green infrastructure”, including renewable energy and energy-saving solutions, to meet sustainable development standards.
Furthermore, “soft infrastructure” such as financial systems, support services, and access to capital also plays a critical role in helping businesses operate efficiently.
Human Resources
Vietnam is shifting from training general labor to developing engineers and highly skilled technical personnel.
This enables enterprises not only to operate production lines but also to master technology and participate more deeply in high value-added sectors such as semiconductor manufacturing, automation, and artificial intelligence.
Vietnam enhances technical workforce to master technology
The “disconnection” challenge and solutions for Vietnamese enterprises
Despite the expanding FDI inflows, many Vietnamese enterprises still face difficulties in joining supply chains due to gaps in capability and readiness.
Specifically, three main challenges include:
- Standards: Domestic enterprises lack international certifications in quality, environment, and governance, making it difficult to meet requirements from FDI corporations and become long-term partners.
- Cost: Domestic production costs remain less competitive due to limited scale and suboptimal technology, reducing advantages compared to international suppliers.
- Readiness: Many enterprises still operate under small-scale outsourcing models and have not yet made strong, structured investments in supporting industries, limiting their ability to handle large orders and ensure long-term stability.
Next-generation industrial parks: A space for synergy
Industrial parks are evolving from production hubs into integrated ecosystems, creating conditions for businesses to connect and grow together.
As a result, collaboration efficiency is enhanced, fostering the development of sustainable value chains between FDI enterprises and domestic companies.
At the same time, eco-industrial parks and smart industrial parks (Smart IPs) are being promoted through green infrastructure, energy-saving solutions, and digital management systems.
Therefore, businesses can both optimize costs and meet environmental and technological standards.
In addition, cluster-based planning facilitates collaboration, supports domestic enterprises in joining supply chains, and promotes long-term development.
KTG Industrial – Green industrial real estate solutions for FDI enterprises
Industrial infrastructure is increasingly becoming a critical factor determining operational efficiency and long-term growth of FDI enterprises.
Factories designed to green standards help businesses optimize operations, meet environmental requirements, and enhance their ability to participate in global supply chains.
KTG Industrial provides ready-built factory solutions integrated with insulation materials, natural ventilation, and rooftop solar power systems, enabling enterprises to reduce energy costs, secure power supply, and meet ESG criteria from global partners.
In addition, KTG Industrial’s projects are master-planned with synchronized infrastructure, creating favorable conditions for businesses to connect with partners, stabilize production, and achieve long-term development in Vietnam.
KTG Industrial delivers energy-efficient green factories for FDI enterprises
Conclusion
The shift from “attraction” to “investment partnership” is an inevitable step for Vietnam to create sustainable value.
By prioritizing high technology, green infrastructure, and strong integration with domestic capabilities, a new phase is emerging where FDI enterprises and Vietnamese businesses collaborate, share benefits, and achieve long-term growth within global value chains.
References
Nguyen Thao (2026). Dinh hinh chien luoc FDI, chon ‘chat’ thay vi ‘luong’. Chuyen trang kinh te Viet Nam – Bao Cong Thuong.
https://kinhte.congthuong.vn/dinh-hinh-chien-luoc-fdi-chon-chat-thay-vi-luong-440042.html
