Few markets in Asia have undergone a transformation as remarkable as Vietnam’s. Once viewed as a peripheral destination, this Southeast Asian country has steadily become one of the most dynamic commercial environments in the region. Indeed, for Italian SMEs with international ambitions, Vietnam now deserves serious attention. It is no longer a distant opportunity, it is a concrete and strategically important market.
An Economy That Has Earned Its Reputation
Vietnam’s economic record over the past three decades is difficult to ignore. Since 1990, the country has maintained an average annual GDP growth rate of approximately 5.5%. Consequently, this places Vietnam second only to China among Asian economies. In 2022, GDP growth reached around 8%. Moreover, this consistent performance reflects a deliberate, long-term opening of the economy to trade and investment.
The turning point came with the Doi Moi reforms in 1986. These set Vietnam on the path from a centrally planned economy to a globally integrated, market-oriented system. Vietnam then joined the World Trade Organization in January 2007. Furthermore, it has signed bilateral trade agreements with partners across Asia, Europe, and beyond. Today, Vietnam is also actively engaged in the Indo-Pacific Economic Framework for Prosperity (IPEF), reinforcing its commitment to open and rules-based trade.
A Strategic Partnership That Signals the Direction of Travel
In September 2023, the United States elevated its relationship with Vietnam to a Comprehensive Strategic Partnership. This is the highest level of diplomatic engagement. Since 2013, bilateral trade between the two countries grew from USD 30 billion to more than USD 139 billion — a 360% increase. Additionally, Vietnam is now the sixth largest source of US imports and a critical node in global supply chains. For European businesses, and Italian firms in particular, the message is clear. Vietnam is a market where decisions need to be made now.
Demographics That Drive Demand
Behind Vietnam’s economic story is a powerful demographic one. The country has a population of nearly 100 million, ranked fifteenth globally. Moreover, more than half of those people are under the age of thirty. This youthful, increasingly urban consumer base is driving demand across consumer goods, technology, healthcare, and education. Furthermore, disposable income in major urban centres is now four to five times the national average. The Vietnamese government aims to raise per capita GDP from USD 4,086 in 2022 to at least USD 18,000 by 2035. As a result, a fundamental shift in the country’s consumer landscape is already under way.
Where the Opportunities Are
According to the US International Trade Administration, the most promising sectors include telecommunications, information technology, power generation, transportation infrastructure, aviation, healthcare, education, and environmental technology. These are not niche areas. Instead, they reflect Vietnam’s core development priorities and a substantial infrastructure investment programme. The Asian Development Bank has assessed this investment as the highest in Southeast Asia as a share of GDP.
For Italian companies with expertise in engineering, manufacturing, food production, luxury goods, or professional services, Vietnam is actively seeking quality and reliable international partnerships. Additionally, the state-owned enterprise equitisation process is gradually opening previously closed sectors to private and foreign participation. Therefore, new structural opportunities continue to emerge.
What Entry Into Vietnam Looks Like
Entering the Vietnamese market is not without its complexities. Regulatory requirements vary by sector, and local partnerships are often essential. However, these are manageable challenges for a well-prepared business. Nevertheless, having the right advisory support in place makes a significant difference.
Kelmer Group’s team in Vietnam assists Italian SMEs at every stage of the market entry process. This includes initial feasibility assessments, corporate structure advice, and ongoing compliance, accounting, and tax advisory services. Whether you are evaluating Vietnam for the first time or ready to take concrete steps, our specialists are here to help you move forward with confidence.