On April 17, 2025, the Vietnam Chamber of Commerce and Industry (VCCI) hosted the Doanh nghiệp 2025 Forum, themed "Supporting Businesses to Overcome Challenges and Improve Competitiveness." This event brought together experts and strategists who discussed critical solutions to help businesses navigate the tough landscape and enhance their competitive edge.
According to a recent survey conducted by VCCI, only 32% of businesses in Vietnam plan to expand their production and operations over the next two years. This statistic highlights the ongoing struggles faced by the business community, which consists of nearly 1 million active enterprises, 98% of which are classified as micro, small, and medium-sized businesses. Only about 2% fall into the category of large-scale enterprises.
Phan Đức Hiếu, a member of the National Assembly’s Economic and Financial Committee, pointed out that the internal capabilities of many Vietnamese businesses remain weak. He noted that institutional and non-institutional challenges are significant barriers to growth. "The institution is the only and necessary tool for state management," he stated, but cautioned that poor institutional frameworks can create obstacles that hinder production and business efficiency.
During the forum, Hoàng Quang Phòng, Vice Chairman of VCCI, echoed these sentiments, emphasizing that the current economic climate, influenced by geopolitical conflicts and disruptions in supply chains, has negatively impacted business operations. He remarked, "The community of businesses is currently facing many difficulties and challenges, and their production activities are affected by objective factors."
TS. Trần Thị Hồng Minh, director of the Institute for Policy and Strategy Research, added that Vietnamese businesses lack systematic and cohesive linkages. While some larger firms have managed to integrate into regional and global value chains, the majority remain isolated within their own ownership systems. She highlighted that only about 300 out of over 1,800 domestic supporting industrial enterprises participate in the supply chains of multinational corporations, primarily providing simple products and services with low added value.
Data from the General Statistics Office (GSO) shows that from 2018 to 2024, over 97% of businesses did not engage in export-related activities, and 99% did not process or manufacture goods for foreign markets. A 2022 VCCI study revealed that 53.3% of businesses do not set specific goals when participating in the global value chain, underscoring a lack of clear direction.
Mr. Hiếu proposed three immediate actions to enhance institutional reform: improving the quality of existing regulations, enhancing the effectiveness of law enforcement, and ensuring consistency across newly enacted laws. He stressed the importance of not just amending regulations but also abolishing those that are outdated or inappropriate. This approach, he argued, would create a more conducive environment for business growth.
He drew parallels with successful reforms in countries like South Korea, the UK, the US, and Australia, which have established regulatory oversight bodies (ROB) to ensure the quality of policy proposals and the legislative process. Mr. Hiếu suggested that Vietnam should consider forming a similar agency to oversee and promote institutional reform.
As the forum progressed, the discussion turned to the pressing need for policies that support small and medium-sized enterprises (SMEs) in enhancing their production capabilities. TS. Minh emphasized that development policies must facilitate investment in these businesses, enabling them to improve their operational capacity.
Mr. Phòng reiterated that institutional reform, improving the business environment, and supporting enterprises are crucial for achieving breakthroughs by 2025. He pointed out that the government has already enacted various policies aimed at bolstering business growth, with a target of achieving an overall national growth rate of 8% or more by 2025.
Despite these efforts, challenges persist. Mr. Phòng noted that the US government recently announced a 90-day postponement before imposing countervailing duties on countries, including Vietnam. While this delay offers some relief, he cautioned that the challenges facing key export sectors remain significant.
Looking ahead, it is clear that Vietnamese businesses require more robust support from government agencies at all levels. The need to access new markets, promote exports, and stimulate domestic consumption is becoming increasingly urgent. As the economy continues to evolve, the ability of businesses to adapt and thrive will depend on the effectiveness of institutional reforms and the support they receive.
In conclusion, the insights shared at the Doanh nghiệp 2025 Forum underscore the critical need for a concerted effort to strengthen Vietnam's business landscape. By addressing institutional challenges and fostering a more supportive environment, the country can pave the way for sustainable growth and competitiveness in the global market.
