AGP Executive Report

Airport Integrity Probe: Vietnam’s Government Inspectorate recommends deeper investigation into alleged bidding violations at Long Thanh International Airport, citing illegal subcontract transfers and cost-estimate procedure gaps; trial operations are slated for September. Port & Trade Facilitation: Ho Chi Minh City launched a pilot free trade zone in the Cai Mep Hạ port area, linking container terminals, inland waterways, rail access, industrial parks and logistics under a digital, green and circular-economy policy framework. Cross-Border Payments: TerraPay partnered with HDBank to enable real-time outbound international payments from Vietnam to 156+ countries/territories, aiming to cut correspondent-banking bottlenecks. Solar Supply Expansion: OCI Holdings plans to nearly double polysilicon capacity via its Vietnam unit, targeting 11.5GW wafer capacity by 2029 to support downstream solar ramp-ups. Energy & Industry Equipment Demand: New market outlooks point to growth in waste-to-energy, shore power for ports, steam turbines, control valves, clean coal tech and zero liquid discharge—signaling continued capex appetite across Vietnam’s power, logistics and industrial sectors. Regional Cooperation: Cambodia and Vietnam reaffirmed economic cooperation, investment and connectivity during a National Assembly meeting in Phnom Penh.

Vietnam E-commerce Governance: Hanoi is piloting a digital consumer protection and e-commerce assurance scheme, targeting 500 participating businesses by 2028 and traceability for at least 80% of products, with faster complaint handling and a central monitoring dashboard. Agriculture & Trade Enforcement: Vietnam detained the deputy agriculture minister and other officials in a durian export probe tied to alleged bribery and “sub-licenses” affecting China shipment certification, raising concerns over growers’ losses and sector reputation. Capital Markets & FDI Listing: At a Hanoi seminar on listing roadmaps for foreign-invested enterprises, experts said Vietnam needs clearer rules, stronger governance, and more high-quality issuers to broaden IPO demand beyond banking and real estate. Port & Logistics Investment: CMA CGM and Stonepeak completed the $2.4B United Ports LLC deal, with a Vietnam terminal in Cai Mep among an initial portfolio of nine, aiming to modernize capacity and cut port emissions. Industrial Upgrading: Thailand’s cement industry launched “The NEXT Chapter to Net Zero 2050” with five action pillars, signaling tougher low-carbon competition across regional construction supply chains. Privacy & Compliance Risk: A criminal complaint alleges ADOR leaked NewJeans member Hanni’s visa information, highlighting rising scrutiny of personal data handling in Vietnam-linked talent operations. Manufacturing Tech Spotlight: FUJIFILM Business Innovation Vietnam highlighted its long-running document and digital transformation footprint, including a Haiphong manufacturing expansion and a new software development centre.

US Tariff Shock to Apparel: New US forced-labor and Section 301 moves put Vietnam’s roughly $17bn apparel trade at risk, with a reported $426m tariff gap and fears of order diversion as buyers re-price sourcing. Vietnam-US Compliance Scrutiny: US customs spot-checked China-linked factories in Vietnam, focusing on value-added and potential software IP issues, adding to tariff anxiety. Textile Supply Chain Pressure: Global textile machinery shipments fell in 2025 except spinning, signaling cautious capacity expansion that could ripple into Vietnam’s garment inputs. Subsea Connectivity Boost: China Mobile’s SEA-H2X cable entered commercial operation, while Cambodia’s first state-owned SHV-HK link advanced—good news for regional data and cloud demand. Vietnam Growth Outlook: AMRO raised Vietnam’s 2026 GDP forecast to 7.5% as manufacturing and investment momentum holds. Vietnam-Australia Dealmaking: Hanoi and Canberra agreed to deepen cooperation in mining, clean energy, high-tech agriculture, and digital transformation. Fisheries Governance: Vietnam mapped a roadmap toward full WCPFC membership, tightening data and compliance for tuna-focused provinces like Khanh Hoa.

US-China Trade Scrutiny: US customs carried out spot inspections on China-linked factories in Vietnam, checking documents, raw-material sources, production processes and possible software IP issues, amid forced-labour tariff pressure. Forced-Labour Tariffs: USTR Jamieson Greer said the new Section 301 duties on 60 partners are unlikely to have a major economic impact, while a separate investigation targeting excess industrial capacity—including Vietnam—continues. Digital Manufacturing Trust: A Vietnam-focused piece argues software licence compliance is becoming a core risk for manufacturers as digital design and simulation spread. Vietnam Solar Deal: Sharp completed its acquisition of its Vietnamese solar joint venture, taking full control and renaming it to Sharp Energy Solution Vietnam, aiming to expand EPC/O&M and rooftop solar. E-commerce Growth: Vietnam’s top e-commerce platforms saw H1 revenue hit VNĐ291.6 trillion (US$11b), up 44.1% y/y, with 2.187b products sold. Anti–Money Laundering Update: Vietnam issued Resolution 66.23/2026/NQ-CP to tighten beneficial ownership and customer verification rules to meet international tax-information commitments. Fisheries Traceability: HCM City is rolling out smartphone electronic logbooks for fishing vessels, cutting inspections by up to 70% and speeding verification. Energy Security Watch: Asia faces renewed oil-supply stress as Red Sea shipping risks worsen, raising inflation and budget pressure.

Vietnam Coffee Watch Report: A new investigation says Vietnam’s Central Highlands coffee boom has been tied to major deforestation, with forest cover falling from 42.8% (1990) to 19% (2020) and warning that up to half of the robusta belt could become unsuitable as climate extremes intensify. Energy Deal: Serica Energy agreed to buy Pharos Energy for about £145.7m (€170m), with the combined group adding production in Vietnam and Egypt and targeting completion in the first half of 2027. Digital & AI Policy: Vietnam’s 2026-2030 digital blueprint puts AI and data at the center of growth, while Hanoi accelerates its digital economy push with a 22% GRDP target by end-2026. Transport & Infrastructure: Long Thanh Airport’s second runway is set for completion in September, and Vietnam also moved to declare an emergency over flood-damaged highways in northern provinces. Trade & Compliance: The U.S. rolled out new forced-labor Section 301 tariffs covering 60 economies, while Vietnam remains on the Treasury monitoring list for currency practices. Logistics & Shipping: MSC launched the Afungi Shuttle to support Mozambique LNG project cargo flows, highlighting continued demand for industrial shipping services.

Aviation Infrastructure: Phu Quoc International Airport’s new 3,300m Runway No. 2 is in the final inspection phase, with about 1,500 runway lights already switched on for night testing ahead of calibration flights on July 27–28. Defense & Naval Ties: Vietnam’s frigate 015-Tran Hung Dao arrived in Manila on July 26 for an exchange programme with the Philippine Navy, including reciprocal ship visits and sports activities. Urban Culture & Creative Economy: Hanoi is rolling out cultural-space revitalisation under Politburo Resolution 80, using creative infrastructure and design competitions to turn former industrial and public sites into engines for cultural industries. Retail & Consumer Goods: Genesis BBQ is accelerating store expansion with new openings in Hanoi and Ho Chi Minh City, pushing a faster southern rollout. Insurance Market: AM Best kept a stable outlook for Vietnam’s non-life insurance segment, citing resilient demand, tech adoption and recovery after Typhoon Yagi. Maritime Safety: A Vietnamese freighter (Khoi Nguyen 18) sank near Fiery Cross Reef with 62 aboard; 45 were rescued and searches continue. Trade Policy Shock: The US imposed forced-labour-related tariffs on 60+ partners; Vietnam is included, but a separate Vietnam decree tightens rules on banning forced-labour imports. Food & Exports: Vietnam tilapia exports hit $69.4m in H1, with Brazil surging as the fastest-growing market. Agri-Industry Linkages: Da Nang’s Coffee Challenge 2026 is turning local coffee into value-added drinks tied to regional OCOP specialties, strengthening the farm-to-tourism chain.

Vietnam Manufacturing & Trade Policy: Vietnam’s push to strengthen business leadership and competitiveness got a boost as the Vietnam Chamber of Commerce and Industry launched a 2026–2030 CEO development programme aimed at digital transformation, green transition and deeper global value-chain integration. E-commerce Regulation: Ho Chi Minh City is moving to implement Vietnam’s new E-commerce Law, focusing on consumer protection and platform accountability as online retail keeps expanding. Industrial Materials: Lam Dong unveiled Vietnam’s first aluminum ingot product, a milestone for local aluminum supply and industrial self-reliance. Logistics & Industry Infrastructure: DHL broke ground on a $71m logistics campus in Hung Yen, signaling continued investment in Vietnam’s trade and warehousing capacity. Maritime Safety: Search and rescue continues after a Vietnamese cargo ship sank in the South China Sea; China transferred 45 rescued Vietnamese nationals to Vietnam, while 18 remain missing. Consumer Safety & Compliance: A Bangladesh study found microplastics in 76.5% of toothpaste brands, including products imported from Vietnam—raising pressure for stronger standards and disclosure.

US Trade Policy: The Trump administration is moving to make tariffs more permanent, using forced-labour-focused Section 301 duties on imports from 60 countries and signaling more probes ahead, including areas tied to semiconductors and advanced manufacturing—raising compliance pressure for regional exporters. Vietnam-Linked Trade Risk: One report flags Vietnam as a target in upcoming US investigations, while another notes Vietnam’s forced-labour import ban—both underscoring how supply-chain rules are tightening for Vietnam’s manufacturing exports. Logistics & Industrial Investment: DHL broke ground on a $71 million logistics campus in Hưng Yên, a bet on Vietnam’s growing role in regional supply chains. Semiconductor Push: Vietnam’s wider push toward semiconductors and high-tech value chains shows up in regional conference coverage and policy talk, as governments compete for the next industrial driver. Agrifood & Commodities: USDA forecasts record global coffee production and exports in 2026/27, with Vietnam expected to contribute to supply growth—relevant for Vietnam’s coffee exporters and downstream processors. Culture & Tourism (Soft Power): A Vietnamese central-coast luxury resort, Zannier Bai San Ho, highlights how Vietnam is packaging sustainability and local culture for higher-end visitors.

Semiconductor Push: PM Tarique Rahman opened Bangladesh’s National Semiconductor Symposium and BEAR Summit-2026, pitching semiconductors as the next growth engine after garments and unveiling incentives plus raw-material tax cuts. Logistics Expansion: DHL Supply Chain broke ground on a €63m (US$71m) logistics campus in Hưng Yên, linking Nội Bài–Hải Phòng to deepen Vietnam’s manufacturing-and-export supply chain role. Smart Supply Chains: Vietnam’s VILOG 2026 returns in HCM City (July 30–Aug 1) with a smart, sustainable logistics agenda and 450 exhibitors. Trade Shock Watch: Reuters reports the US is shifting from court-bashed tariff moves to more durable Section 301 actions, with new 10–12.5% duties on 60 economies tied to forced-labour claims—raising uncertainty for Vietnam exporters. Vietnam Industry Focus: Vietnam’s wood sector is urged to secure sustainable, traceable raw materials to hit a US$25b export goal by 2030. Tech for Frontier Problems: A Vietnam-hosted quantum hackathon in Gia Lai (QC4SG 2026) drew nearly 100 contestants from 30 economies to tackle AI, cybersecurity, logistics, finance, healthcare and agriculture. Agriculture Risk: El Niño-linked drought is worsening conditions across Asia’s rice belt, including central Vietnam, threatening yields and food prices. Cultural Economy: Hanoi souvenirs are being positioned as “cultural ambassadors,” turning heritage items into higher-value creative exports.

US Tariff Shock: The US imposed new 10%–12.5% tariffs on goods from 60 trading partners under Section 301, citing forced-labour supply chains, as a temporary 10% global levy expired—rates vary by country and include exemptions like oil, gas, fertilizer and some foods. Vietnam EV Shift: Vietnam’s EV market is moving from hardware-led growth toward software and local tech, with domestic players and a stronger engineering ecosystem driving the change. Logistics Push: Vietnam’s flagship logistics exhibition, VILOG 2026, returns in HCMC (July 30–Aug 1) with a smart, sustainable focus, bringing 450 exhibitors and over 25,000 expected trade visitors. Trade & Industry Signals: Vietnam–Thailand ties were highlighted as built on people-to-people links and high-level trust, while Vietnam’s trade deficit and industrial production momentum continue to shape the business backdrop. Food Security Angle: A Southeast Asia-wide hunger decline underscores the role of investment in agriculture, irrigation, logistics and nutrition—Vietnam’s rice export rise is framed as reinforcing domestic food access.

US Forced-Labour Tariffs: The Trump administration has restarted its tariff wall, imposing 10% or 12.5% duties on imports from 60 economies under a forced-labour Section 301 probe, replacing the expiring temporary 10% global surcharge and drawing sharp pushback from trading partners. Vietnam Trade Pressure: Vietnam is flagged as a key target as the US argues its surplus is rising and that Chinese goods may be routed via Vietnam, raising the risk of tighter scrutiny for Vietnam’s export-heavy manufacturing base. Vietnam Compliance Move: Vietnam issued Decree 292/2026/ND-CP to implement its foreign trade management law, banning imports made wholly or partly with forced labour and requiring importers to meet new compliance steps. AI & Tech Growth: FPT is looking to expand in Thailand to ride AI demand, while Vietnam also rolls out a clearer AI development strategy and pushes digital transformation. Logistics & Aquaculture Investment: Sun Phu Quoc Airways signed with SmartKargo to digitise cargo operations, and De Heus opened a marine and cold-water fish feed mill in Vinh Long to support Vietnam’s aquaculture value chain. Industry Signals: Vietnam’s industrial production growth and H1 trade figures continue to shape expectations, even as tariff uncertainty looms over export outlooks.

AI & E-commerce Trust: A new SEA study finds shoppers use generative AI to plan purchases, but final decisions still lean on trusted people—family and friends, then reviews—showing AI is adding a layer, not replacing human influence. Payments Expansion: JCB and fintech Fiuu signed a direct acquiring partnership to expand JCB acceptance across Malaysia, Singapore and the Philippines, aiming for smoother online and offline merchant payments. US Tariff Shock (Forced Labor): The US will impose 10%–12.5% tariffs on 60 trading partners from Friday over forced-labor enforcement gaps, with Vietnam among the 12.5% group—raising near-term cost and sourcing risks for regional manufacturers. Vietnam Aviation & Logistics: US firm HAS Development will study PPP options with FLC Group to upgrade Gia Lai’s Phu Cat and Pleiku airports; meanwhile Yusen Logistics opened a new Hung Yen logistics centre to expand warehouse and bonded capacity for Northern supply chains. Housing Execution: Hanoi set up a task force to fast-track social housing investment so construction starts in 2026 and early 2027. Industry Policy & Tech: MoIT’s draft “key industries” law proposes semiconductors, rare earths and offshore wind as priority sectors; HCM City also moves to build quantum-computing talent pipelines. Trade & Brand Building: A CPTPP business forum in HCM City focused on government-business dialogue; separate events highlighted protecting Vietnamese brands via IP and digital transformation.

ASEAN Security Agenda: Vietnam pushed EAS partners to focus on practical cooperation that helps people directly—energy, digital transformation, cybersecurity, and tackling transnational crime—as ARF adopted the Manila Plan of Action for 2026–2036, shifting the forum toward proactive risk management amid Middle East and South China Sea tensions. Vietnam Trade & Connectivity: Vietnam also urged stronger ASEAN–US ties in trade and the energy transition, while separate coverage highlighted Vietnam’s growing role in regional connectivity and cooperation frameworks. Vietnam Manufacturing & Sourcing: Nikon Rumors points to more “Made in Vietnam” lens production as tariff pressure nudges optics supply chains away from China, while LG Electronics expanded functional materials output with a new Haiphong production line. Industry Investment Signals: Vietnam’s H1 manufacturing FDI peaked as US import surcharge rules eased, and VETC said it connected 50% of Vietnam’s multi-brand EV chargers in one month—both underscoring momentum in industrial and mobility infrastructure. Regional Tech Capital: Thailand’s AI/data-centre boom drove an 80% jump in foreign investment bids, reflecting wider Southeast Asia’s pull for power-hungry digital projects.

ASEAN Security Watch: Top diplomats gathered in Manila for the ASEAN Regional Forum as Iran’s Strait of Hormuz toll demand and renewed Middle East hostilities raised fresh alarms for energy and food supply chains. ASEAN–New Zealand Practical Cooperation: Vietnam co-chaired the ASEAN–New Zealand post-ministerial meeting, pushing for tighter maritime security, resilient food/energy supply chains, and more hands-on outcomes. Vietnam Industrial Real Estate & FDI: Analysts flag improving industrial realty prospects as Vietnam’s manufacturing FDI rebounds, boosting demand for industrial land leases, eco-industrial parks, and logistics infrastructure. Construction & Steel Collaboration: BMB Steel says steel structures are now planned from the earliest design stages, with early coordination helping cut changes and speed delivery for industrial and infrastructure projects. Air Connectivity: Vietnam Airlines plans to lease 19 Boeing 737 MAX 8s, adding fleet flexibility for domestic and short/medium-haul routes. Policy & Business Conditions: Vietnam’s National Assembly reviewed updates to conditional business lines under the Law on Investment, including tighter rules around nitrous oxide trading. Vietnam–China Diplomacy: China’s FM Wang Yi urged deeper unity and cooperation with Vietnam, highlighting connectivity and AI.

ASEAN-US Diplomacy: US Secretary of State Marco Rubio told ASEAN partners in Manila the US “will never abandon” the bloc, citing $2.5bn in strategic investments and $1.5bn via the DFC for aviation, energy security and supply chains. Vietnam Manufacturing FDI: Vietnam’s H1 2026 registered FDI hit $34.65bn (+61% YoY) with realized disbursement at $13.03bn, the highest in at least five years; manufacturing and processing took 82.6% of disbursements. Drone Battery Supply Chain: NEO Battery won a 10,000-unit order for 34Ah drone cells and secured KC certification for its 11.5Ah product, with potential collaboration tied to e-mobility and defense-linked drone demand across Vietnam and Southeast Asia. Air Cargo Digitisation: SmartKargo signed with Sun PhuQuoc Airways to digitise cargo operations as the airline expands international capacity from September 2026. Compliance & Procurement Signals: Penflex launched AIS-compliant metal hose and braid for US domestic sourcing rules, reflecting how infrastructure buyers are tightening local-content requirements. Rare Earth Magnets: Evolution Metals & Technologies delivered first NdPr metal shipment for defense-compliant rare earth magnet production ahead of US sourcing deadlines.

Professional Services Expansion: Singapore’s new Professional Services Centre will link firms to a regional network spanning Shanghai, Ho Chi Minh City and Nanjing, with legal, accounting, tax, HR and business consulting plus a “Business Growth Clinic.” Semiconductor Push: QTSC and the Singapore Semiconductor Industry Association signed an MoU to boost investment, R&D, tech transfer and workforce training, while experts say Vietnam can climb deeper into the chip value chain by building an end-to-end ecosystem. E-invoice & Tax Clarity: Vietnam’s tax authorities clarified how online sellers should calculate turnover, issue e-invoices, handle returns and avoid double counting when platforms withhold and pay tax. Banking Market Move: BVBank debuted on HoSE, becoming the 22nd bank listed there and the third to transfer in 2026. Manufacturing Under Pressure: A look at how Vietnamese manufacturers are racing to survive via dual transformation—AI plus green compliance—as trade rules tighten. Market Watch: VN-Index fell for a third straight session, closing at 1,730.56. Trade & Exports: Vietnam is positioning Uruguay as a South America gateway for exporters, and urges stronger IP protection for cross-border e-commerce. Energy & Solar: Constant Energy highlights Vietnam’s rooftop solar demand and policy hurdles as firms face rising carbon pressure. Fisheries Enforcement: Can Tho launched a month-long crackdown on IUU fishing using patrols and eCDT traceability tools.