Vietnam is standing at a pivotal crossroads as it embarks on a massive wave of strategic infrastructure development. From the highly anticipated North-South high-speed railway to ambitious urban rail systems and even nuclear power projects, the country is gearing up for a transformation that could redefine its economic landscape and daily life. But amid the excitement and urgency, a fundamental question looms: how can Vietnam ensure that only the most capable contractors are entrusted with these colossal, complex projects?
This question has taken on new urgency following a major legal shift. As reported by CafeF on December 26, 2025, the 2025 Construction Law will officially abolish operational capacity certificates for construction contractors from July 1, 2025. For years, these certificates acted as a gatekeeper, filtering out unqualified firms. Now, with their removal, investors and authorities must find a new, reliable way to assess contractor ability—one that balances transparency, fairness, and market needs.
Enter the Vietnam Association of Construction Contractors (VACC), which has stepped into the breach with a bold proposal: a Contractor Capacity Assessment and Ranking Program. This initiative, expected to roll out officially in 2026 after consultation with the Ministry of Construction, aims to provide a transparent, trustworthy filtering tool for both state and private investors. "This is the first time Vietnam’s construction sector will have a specialized ranking system, drawing on experiences from other industries," said VACC Chairman Nguyen Quoc Hiep at a December 26 industry seminar. He emphasized, "The ranking is not to create titles or grades, but to form a reliable reference database for investors, especially as many large-scale projects require unique contractor selection criteria."
The proposed ranking program is refreshingly inclusive. Participation isn't limited to VACC members; any construction enterprise interested and willing can apply. Contractors will be classified into three main fields: civil-industrial construction, technical infrastructure, and mechanical-electrical (M&E) works. Notably, a single company can be ranked in multiple fields if it meets the necessary professional conditions. Initially, the focus will be on firms with a charter capital of at least 150 billion VND, a threshold designed to ensure only serious players are included in the early stages.
The evaluation process is designed to be both rigorous and fair. Contractors will not be ranked in a simple 1-2-3 order, but instead listed alphabetically—a subtle but important step to avoid the pitfalls of unhealthy competition. The assessment criteria are divided into two groups. The first is mandatory: legal compliance, fulfillment of insurance obligations, and a clean record with no major incidents in the past three years. The second group digs deeper, assigning weighted scores to four pillars: experience capacity (40%), financial capacity (30%), business production efficiency (20%), and corporate governance reputation (10%). Only those scoring above 70% will be ranked, based on a combination of self-assessment and review by an independent council.
Chairman Hiep was clear about the program’s intent. "Ranking does not replace the bidding process, but it will help the market avoid situations where contractors take on projects beyond their capacity, leading to delays, cost overruns, or disputes," he said. The hope is that a standardized, transparent ranking system will not only protect investors but also encourage contractors to up their game, boosting overall industry competitiveness.
Government agencies are watching closely. At the same seminar, a representative from the Department of Procurement Management (Ministry of Finance) praised the potential benefits of contractor ranking, especially for projects using public funds. However, they cautioned that the process must remain objective and avoid becoming a tool for favoritism or unfair competition. The official stressed, "Ranking results should be seen as an independent information channel, helping investors grasp the financial capacity, experience, and reputation of contractors."
Transparency and independence are recurring themes. Drawing on his experience with the Provincial Competitiveness Index (PCI), Dau Anh Tuan, Deputy Secretary General of the Vietnam Chamber of Commerce and Industry (VCCI), warned that contractor ranking is a sensitive area with direct business implications. "If the ranking relies solely on self-reported data without investor surveys, feedback mechanisms, or verification, it will struggle to gain trust," he argued. "To have value, the ranking must serve the market, not just be an administrative list."
Vietnam’s approach is being shaped by international best practices. According to VCCI’s Tuan, South Korea ties contractor classification to the scale of tenders, preventing firms from overreaching; Japan treats post-project performance as a company’s reputation asset; the UK uses a Common Assessment Standard for consistent prequalification; and the US relies on the CPARS system for periodic, mandatory contractor evaluations. These examples have influenced VACC’s plan to hire professional consultants to design detailed indicators, with the evaluation council expected to include representatives from VACC, the Ministry of Construction, the Ministry of Finance, and VCCI.
The timeline is ambitious but clear. The draft program will be finalized between October and December 2025, followed by self-assessment and independent appraisal from January to June 2026. Results are slated for release between June and September 2026. The ranking will be updated every three years, with funding coming from the association and voluntary contributions to ensure both transparency and independence.
Parallel to these national efforts, local authorities are also pushing for greater efficiency in managing public resources. On December 26, 2025, the People’s Committee of Lang Son province issued Official Dispatch No. 2927/UBND-KTTH, directing departments and commune-level committees to accelerate the arrangement, allocation, and handling of housing and land after administrative reorganization. As reported by local media, this directive builds on previous orders from September, November, and December 2025, and aims to ensure that public assets are managed, transferred, or liquidated efficiently. Departments are urged to update planning documents, accurately identify surplus properties, and reallocate usable assets to agencies in need, while disposing of unusable assets promptly to save budget funds.
These efforts are part of a broader push to modernize Vietnam’s administrative and infrastructure management, ensuring that both state and private investments are safeguarded and optimized. The integration of transparent contractor ranking and efficient asset management reflects a maturing approach to governance—one that seeks to combine ambition with accountability.
As Vietnam stands on the cusp of an infrastructure boom, the systems put in place now will shape the country’s growth for decades. The coming years will test whether these new mechanisms can deliver the transparency, efficiency, and trust that such transformative projects demand.
