Foreign investors continue to show strong interest in Vietnam, with notable momentum coming from European and American capital sources.

Investment activities heat up

A key development in recent days is that ExxonMobil - the American oil and gas giant - has visited the Nam Van Phong area to survey sites and explore potential investments. During a meeting with leaders of the Management Board of the Economic and Industrial Zones of Khanh Hoa Province, ExxonMobil representatives expressed interest in building a state-of-the-art refinery in Nam Van Phong. Notably, this project is planned to be ExxonMobil’s first near-zero-emissions refinery.

Previously, ExxonMobil had planned to invest in the Blue Whale (Ca Voi Xanh) gas field and build a gas-fired power plant in central Vietnam, though those plans remain unfulfilled.

As such, whether ExxonMobil proceeds with an investment in Nam Van Phong remains uncertain. The group is expected to complete its site survey by 2027, begin construction and investment procedures by 2031, and commence operations in 2035. In addition to Vietnam, ExxonMobil is also surveying two other locations in the Asia-Pacific region.

Still, this news has stirred up Vietnam’s FDI landscape, especially as global investment flows remain cautious amid tariff policies and geopolitical uncertainties.

Vietnam has recently seen a flurry of foreign investment activity. In mid-August 2025, Bac Ninh issued investment certificates for a series of FDI projects, including nine new projects with a total registered capital of USD 322.5 million and nine expansions worth USD 762 million. Additionally, two investors committed to further expansions totaling about USD 300 million. Altogether, Bac Ninh attracted over USD 1 billion in FDI in just one month - a remarkable achievement.

Following its merger with Bac Giang, Bac Ninh has solidified its position as a northern investment magnet, drawing numerous high-tech and semiconductor projects. The province currently ranks second in Vietnam for FDI attraction, behind only Ho Chi Minh City, both in the first seven months of 2025 and cumulatively.

Vuong Quoc Tuan, Chairman of Bac Ninh Province, noted that the region will continue to improve technical infrastructure, ensure stable power supply, and enhance workforce quality to attract even more investment projects.

On August 19, among 250 projects inaugurated or launched nationwide, five were FDI projects totaling VND 54 trillion (approximately USD 2.27 billion). One standout is the North Hanoi Smart City project worth USD 4.2 billion, developed by the BRG - Sumitomo joint venture. Other projects include Tonly Vietnam Electronics’ smart device factory in Quang Ninh; Pepsico’s food production plant in Ninh Binh; and the WHA industrial infrastructure project in Thanh Hoa.

Higher FDI quality with European and American capital

These developments reinforce recent reports and assessments by the Foreign Investment Agency under the Ministry of Finance about positive FDI trends in Vietnam. In the first seven months of 2025, Vietnam registered USD 24.1 billion in FDI, a 27.3% increase year-on-year.

Savills Vietnam recently emphasized the stability of FDI inflows. Experts noted that Vietnam’s recent administrative merger and the adoption of a two-tier local governance model could help streamline operations and enhance management efficiency, ultimately creating a more favorable investment environment.

"Despite global instability and trade tensions, Vietnam remains committed to structural reforms and attracting investment. While challenges remain, the steady FDI inflow and infrastructure development offer cautious optimism for long-term growth."
– Matthew Powell, Managing Director, Savills Hanoi

Resolution No. 68-NQ/TW, which promotes the private sector, is also seen as a crucial foundation for attracting more high-quality FDI. Global investors are increasingly focused on stable and transparent legal environments.

Numerous M&A deals and investment projects were highlighted by Savills Vietnam, such as CapitaLand’s acquisition of a project from Becamex IDC in Binh Duong for USD 553 million; a joint venture between Sumitomo Forestry, Kumagai Gumi, and NTT Urban Development partnering with Kim Oanh Group to develop The One World project; and Nishi Nippon Railroad’s purchase of 25% of the Paragon Dai Phuoc project from Nam Long.

“These deals reflect growing interest from Japanese, Korean, and Singaporean investors, while also signaling the emergence of US and European capital – typically long-term, high-standard investors,” said Matthew Powell.

Finance Minister Nguyen Van Thang has repeatedly emphasized the growing number of major global corporations, especially from Europe and the US, investing in Vietnam. He highlighted firms like Qualcomm, LEGO, and SYRE, all involved in billion-dollar projects and R&D investments in the country.

At the 2025 Global Business Forum, Alexander Ziehe, President of the German Business Association (GBA) and Vice President of Hettich Southeast Asia, stated that 80% of German firms in Vietnam rate business conditions as good or satisfactory, and 38% plan to expand operations within the next 24 months.

“Vietnam is not only a manufacturing hub but also a strategic gateway to regional and global markets. This presents tremendous opportunities for German investors in high-tech manufacturing, automation, renewable energy, green tech, premium consumer goods, and vocational training,” Ziehe said.

While European and American FDI inflows into Vietnam are still relatively modest, the increasing signals suggest a forthcoming surge in high-quality capital.

Tien Phong