In the rapidly evolving landscape of Vietnam’s industrial sector, two provinces—Phu Tho in the north and Lam Dong in the central highlands—offer a revealing snapshot of both the promise and the challenges facing local economies as they strive to balance economic growth, social stability, and investment climate. As of October 11, 2025, these provinces stand at different crossroads, but both are united in their efforts to support enterprises, maintain order, and foster sustainable development.
Phu Tho province, situated in the heart of northern Vietnam, has emerged as a regional industrial powerhouse. According to baophutho.vn, the province currently boasts 16 active industrial parks attracting 846 third-level projects. Of these, 521 are foreign direct investment (FDI) projects, while 325 are funded domestically (DDI). This surge in industrial activity has created a strong impetus for the local economy, boosting budget revenues and providing jobs for tens of thousands of workers.
Yet, with growth comes new complexities. The influx of projects and workers has brought heightened concerns about security, order, and social safety. Recognizing these risks, provincial authorities have prioritized the protection of both enterprises and their employees. Their approach is rooted in the belief that a secure environment is the bedrock of stable and attractive investment conditions.
Central to this strategy is the establishment of self-defense forces within enterprises—often referred to as a “steel shield.” These units are not mere formalities; they are fully organized, staffed, and rigorously maintained, always ready to respond to emergencies. As of October 2025, hundreds of businesses in Phu Tho have set up such units, which operate under strict protocols and maintain a high level of combat readiness.
The role of these self-defense forces extends beyond internal security. They work closely with local police and militia to monitor conditions, conduct patrols, and safeguard company and community assets. Their efforts are especially visible during major holidays, festivals, and political or cultural events, when the risk of unrest or disruption can spike. Annual inspections reveal that 100% of these enterprise-based forces meet established requirements, with more than 78% rated as good or excellent. Training regimens—both military and political—are regularly updated to ensure that personnel, weapons, and technical equipment remain safe and ready for use.
Participation in military sports and competitions organized by regional agencies has further showcased the commitment and skill of these self-defense teams. Their achievements have not gone unnoticed, contributing to a sense of pride and collective responsibility within the industrial community.
However, the path is not without obstacles. As baophutho.vn reports, building and consolidating these self-defense forces is particularly challenging in enterprises with foreign investment. Economic headwinds, including the lingering effects of a global downturn, have forced many companies to tighten their belts, cut staff, and rethink expenditures. For some business owners, the idea of forming a self-defense unit is seen as an additional burden—one that could disrupt production or eat into profits.
Legal frameworks have also played a role. The 2019 Civil Defense Law does not mandate the creation of self-defense forces within businesses, leaving the decision largely voluntary. This has resulted in uneven implementation, especially among companies that lack strong internal party organizations or have high employee turnover, making it difficult to maintain stable units and consistent training.
To address these hurdles, the Provincial Military Command has stepped up its efforts, working hand-in-hand with companies to better understand their organizational structures and production realities. Awareness campaigns are ongoing, aiming to convince business leaders of the tangible benefits that self-defense forces bring—not just for security, but for the overall health and reputation of the enterprise. The focus remains on improving the quality of existing units, refining training programs, and ensuring that emergency plans are tailored to real-world scenarios. Enhanced coordination with police and local militias is also a priority, ensuring that information flows quickly and responses are swift when issues arise.
Switching focus to Lam Dong province, a different but equally pressing set of challenges has come to the fore. At a press conference on October 11, 2025, Mr. Ho Van Muoi, Chairman of the Lam Dong Provincial People’s Committee, painted a sobering picture: more than 300 projects in the province, representing tens of thousands of billions of Vietnamese dong, are struggling or stalled. Some have faced difficulties for years, not just months.
Mr. Muoi was candid about the province’s determination to break this logjam. "We are determined to resolve these difficulties for enterprises," he stated, outlining a clear roadmap that prioritizes easier projects first, with more complex cases to be addressed in due course. His message was clear: overcoming enterprise challenges is not just about helping businesses, but about seizing a major opportunity to achieve the double-digit economic growth targets set by the Provincial Party Congress for the current term.
The scale of the problem is significant, especially within industrial parks. As of the end of September 2025, Lam Dong’s industrial parks had 229 projects with active investors. However, only 166 of these are currently operational; the remaining 63 face difficulties, are temporarily suspended, or lack plans for resumption. This reality has prompted the provincial government to establish six task forces, each led by a deputy chairman, to work directly with businesses and untangle the bureaucratic and financial knots holding projects back.
The government’s approach is methodical. Each project is tracked individually—where is the paperwork, what obstacles exist, and what solutions are needed? By the end of the fourth quarter of 2025, Lam Dong authorities aim to have a comprehensive report detailing the status of every troubled project, setting the stage for targeted interventions.
Underlying these efforts is a call for partnership. Mr. Muoi urged companies facing difficulties to stay engaged with the province, rather than disappearing after receiving investment approval. This spirit of collaboration, he argued, is essential if Lam Dong is to fulfill its economic ambitions and maintain its reputation as an investment-friendly destination.
Together, the experiences of Phu Tho and Lam Dong highlight the intricate dance between economic development, security, and effective governance. As Vietnam’s industrial sector continues to expand, the lessons learned in these provinces may offer valuable guidance for others navigating similar terrain. The path forward is not without its bumps, but with determination and cooperation, both provinces are working to ensure that growth and stability go hand in hand.
