🇻🇳 Vietnam Economic Highlights (Late February)
This article highlights key topics from Vietnam-related economic news released in Late February 2026 that Japanese and international small and medium-sized enterprises, as well as investors who are considering or closely monitoring the Vietnamese market, should be aware of.
Note: The comments at the end of each topic are summaries and observations prepared by the KBC-LINK editorial team based on publicly available information.
Vietnam Industry Watch: Key Sectors to Watch
Vietnam Economy (General)
Foreign Trade Surges, Surpassing $130 Billion by Mid-February
According to the General Department of Vietnam Customs, total import-export turnover from early January to February 15, 2026 reached $130.18 billion, representing a year-on-year increase of approximately 37%. Growth was driven primarily by the processing, manufacturing, and high-tech sectors, with foreign-invested enterprises accounting for around 78% of total export value. Import volumes also expanded, resulting in a modest trade deficit. This vigorous activity reflects Vietnam's deepening role as a key node in global supply chains.
Source: VnEconomy / February 25, 2026
The export-led model driven by foreign investment remains clearly dominant. As trade volumes surge, congestion at ports and customs clearance is likely to increase, making flexibility in logistics lead-time management increasingly important.
Construction and Infrastructure
2-1. Urban Redevelopment, Tourism & Landscape
Hanoi to Invest $1.1 Billion in West Lake (Ho Tay) Development
Hanoi City is advancing a plan to invest approximately $1.1 billion in landscape improvement and infrastructure upgrades around West Lake (Ho Tay). A 100-year urban master plan was also formally adopted alongside this initiative. The project aims to modernize the area's accessibility as a tourism and residential destination while preserving its historical character. As a large-scale urban redevelopment effort in one of central Hanoi's most significant districts, it is attracting considerable attention locally.
Source: Vietnam News / February 25, 2026
This development creates potential opportunities for involvement in environmental improvement and related peripheral infrastructure projects. Strategic alignment with long-term urban planning frameworks will be a key consideration for market entry.
2-1. Financial Special Zone, Regulatory Framework & IT
Da Nang International Financial Center Takes Shape as New Urban Development Benchmark
At a meeting on February 28, Prime Minister Pham Minh Chinh directed Da Nang City to accelerate the development of an International Financial Center (IFC), centered on digital technology and sustainable finance. The plan goes beyond physical construction, envisioning a sandbox zone to pilot innovative financial models. Broader regional development through cooperation between Da Nang and Quang Nam Province is also being promoted, with construction and development projects ramping up in pursuit of an 11% regional growth target in 2026.
Source: Vietnam Pictorial / February 28, 2026
Urban development projects are increasingly incorporating advanced IT and financial infrastructure, moving beyond traditional manufacturing-focused models. This trend broadens opportunities for companies with smart city-related technologies to participate in Vietnam's growth story.
Manufacturing
Leading EV Bike Manufacturer Opens $100 Million Smart Factory in Bac Ninh Province
The Vietnamese subsidiary of Chinese electric bike major YADEA is set to open a smart manufacturing facility in northern Bac Ninh Province on March 1, representing an investment of approximately $100 million. The plant is positioned as a hub to strengthen the company's production capacity across Southeast Asia and is expected to create thousands of jobs. Its establishment is underpinned by growing environmental awareness in Vietnam and a broader shift toward decarbonizing personal transportation, with smart production systems built into the facility from the ground up.
Source: VnEconomy / February 23, 2026
Investments in decarbonization-related manufacturing tend to benefit from government incentives, and the rollout of smart factories is accelerating. There are expanding opportunities for companies looking to build supply chains for related components or to tap into growing demand for environmentally conscious products.
Agriculture
Dairy and Yogurt Market Sees Rapid Growth Driven by Health-Conscious Consumers
Rising interest in health and nutrition among Vietnamese consumers is driving notable growth in the yogurt and dairy market. Consumer priorities have shifted from food safety assurance to active health promotion, and this change in mindset is a key driver of market expansion. Domestic leaders Vinamilk and TH True Milk, alongside Japanese brands such as Yakult and Meiji, are rolling out products targeting premium and niche health-conscious segments. Demand for high-value-added products such as functional yogurts is particularly strong in urban areas.
Source: The-Shiv / February 20, 2026
Japanese companies' strengths in rigorous quality management and health-functional product development represent a distinct competitive advantage in the food business targeting middle-income and above consumers. The ability to translate shifting consumer values into compelling product development and branding will be key.
Hotel Industry
M&A Activity Heats Up in Luxury Hotel Market as Inbound Tourism Rebounds
The Vietnamese hotel sector is expected to see a surge in mergers and acquisitions targeting 4- and 5-star properties in Hanoi and Ho Chi Minh City in 2026. Tourism demand is recovering strongly, with January recording the highest-ever number of foreign visitors, led by significant increases from South Korea, China, and Cambodia. Investors are showing keen interest in acquiring properties positioned to meet new tourism trends such as wellness and luxury experiences.
Source: The Investor / February 23, 2026
The buoyant tourism market is fueling investment appetite not only in the services sector but also in real estate and related infrastructure. For Japanese companies considering rapid market entry through existing asset acquisition or the development of high-end service offerings, this may be an opportune time to move forward with concrete plans.
Unique Business Spotlight
Gold-Buying Rush Around "God of Wealth Day" (Via Than Tai): A Traditional Holiday Becomes a Major Seasonal Market
In the days leading up to "God of Wealth Day" (Via Than Tai) on February 26, long queues were seen at jewelry and precious metal shops across Vietnam, as citizens rushed to purchase gold. The custom of buying gold at the start of the year to invite good fortune and business prosperity has evolved into a large-scale seasonal market phenomenon unique to Vietnam.
Despite international gold prices experiencing sharp volatility in 2026, queues formed even in rainy weather in Hanoi and Ho Chi Minh City, underscoring the strength of consumer buying intent. Many shoppers opted not only for high-value gold bars but also for symbolic, affordable items such as small gold rings — reinforcing the occasion's status as a defining consumer event at the start of the year.
Source: VnExpress / February 24, 2026; Vietnam News / February 28, 2026
The strong connection between traditional values, calendar-based customs, and individual purchasing behavior and asset-building mindset remains striking. The tendency for cultural motivations to take precedence over economic factors such as price fluctuations is a market characteristic with important implications for businesses targeting Vietnamese consumers. This case illustrates the effectiveness of product design and promotional strategies aligned with local events and the traditional calendar.
Edited & Summarized by:
KBC-LINK Editorial Team (compiled with independent perspectives and on-the-ground insights).
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