Investment Boost for Lao Cai-Hanoi-Haiphong Railway Project

Key pointsThe Vietnamese National Assembly has approved an increase of 86 trillion VND in investment for the Lao Cai-Hanoi-Haiphong railway project, which includes approximately 363 km of railway from Lao Cai Province to Haiphong City, with plans to develop an implementation plan by 2025 and aim for basic completion by 2030.
Business impactThis investment boost signifies progress in railway infrastructure for Japanese companies, leading to expected reductions in logistics costs and improvements in transportation efficiency. Manufacturing and import-export businesses should pay close attention to upcoming infrastructure developments.

Key pointsAt a workshop on real estate business law reform held in Hanoi, experts discussed enhancing the transparency and stability of legal regulations in preparation for 2026. There is a particular demand for legal reforms to ensure a sustainable market. The Ministry of Construction plans to advance amendments to real estate and housing laws, which is expected to foster growth in the M&A market.
Business impactAs legal reforms progress, Japanese companies will benefit from a clearer legal framework for real estate-related investments and transactions, leading to improved risk management.

Key pointsQuang Tri Province is concentrating resources to accelerate the progress of key projects. The completion of each project will contribute to the expansion of development space and enhance competitiveness, creating room for achieving the double-digit growth target for 2026. In particular, alleviation of traffic congestion in the western area is anticipated. Trends in the southern real estate market are also being closely monitored.
Business impactThis move may contribute to infrastructure investment and logistics efficiency for Japanese companies. In particular, businesses in the construction and real estate sectors need to closely monitor project developments and identify business opportunities.

Key pointsThirteen companies in Vietnam, including Bao Viet, Vingroup, Hoa Phat, and Thang Long Investment, hold over 264 trillion VND in cash and deposits, benefiting from rising interest rates. Bao Viet possesses over 170 trillion VND and earned approximately 5 trillion VND in interest in the first half of the year, a 43% increase year-on-year. Vingroup has 85 trillion VND and earned 1.35 trillion VND in interest during the same period. These companies are positioned to secure stable earnings in a high-interest environment.
Business impactFor Japanese companies, firms with abundant cash are important from a risk management perspective. It is essential to monitor the trends of such companies when reviewing cash management and investment strategies.

Key pointsNha Trang City is preparing numerous cultural and tourism events for the National Day on September 2, 2026. Notably, beach tours and various entertainment options will be available, providing tourists with many choices. The number of international tourists is increasing, with accommodation occupancy rates ranging from 40% to 70%.
Business impactFor Japanese companies, the revitalization of the tourism industry signifies business opportunities. Companies providing accommodation and tourism-related services should consider promotional strategies aligned with the events.

Key pointsMany airline tickets remain available for the 2-9 holiday in 2026, with routes between Ho Chi Minh City and Hanoi being particularly popular. Tan Son Nhat Airport and Noi Bai Airport are increasing flights in preparation for Tet in 2027. Some routes have not yet reached a 50% sales rate, providing travelers with more options.
Business impactIn the airline industry, Japanese companies need to adjust travel plans and business trips in anticipation of demand during this period. Special attention should be paid to fluctuations in ticket prices and flight availability.

Key pointsOn August 23, 2026, the Vietnamese National Assembly passed a new law regarding international transactions through e-commerce platforms. This law mandates identity verification and electronic certification for individuals and organizations involved in transactions, enhancing customs oversight on imported and exported goods. It aims to improve transparency in e-commerce and prevent illegal activities.
Business impactThis new law will significantly impact Japanese companies utilizing e-commerce, necessitating a review of customs procedures and compliance systems.

Key pointsThe Hanoi People's Committee has approved the urban design plans for Tran Nhat Duat Street, Tran Quang Khai Street, and Tran Kain Zu Street as of August 22, 2026. The design is conducted at a scale of 1/500, and a microchip design competition for smart cities will also be initiated. Additionally, the urban design plan for Thai Ha Street has been approved, along with plans for flood prevention and a creative design festival.
Business impactThis approval of urban design may present new business opportunities for Japanese companies. In particular, construction and infrastructure-related firms should be vigilant not to miss opportunities to participate in upcoming projects.

Key pointsHigh demand for air travel is anticipated for the National Day on February 9, 2026. The Vietnam Civil Aviation Authority has instructed airlines to increase flight numbers, manage fares, and minimize delays and cancellations, ensuring passenger safety and rights. The aviation market expects 1.68 million passengers during the holiday period.
Business impactJapanese companies should monitor this trend and assess its impact on related transactions, contracts, and local operations.

Key pointsVietnam aims for double-digit economic growth, necessitating an expansion of policy space as over 95% of businesses are small enterprises. From 2026 to 2027, the government proposes a 30% annual reduction in income tax to secure resources for businesses and support economic activities. This is expected to alleviate tax burdens on businesses and contribute to economic growth.
Business impactJapanese companies may need to revise budget planning in their finance departments due to changes in the tax structure. Additionally, there are opportunities to enhance competitiveness by leveraging support measures for businesses.

Key pointsOn August 22, 2026, Vietnam Customs participated in the APEC Business and Customs Dialogue held in Dalian, China, sharing experiences in export and import management through e-commerce. This initiative aims to promote international cooperation in preparation for the APEC meeting in 2027, focusing on building a foundation for customs digitalization and modern management.
Business impactJapanese companies are expected to enhance their competitiveness in the Vietnamese market by learning about e-commerce management practices, particularly in streamlining customs procedures for international transactions.

Key pointsThe Deo Ca Tunnel in Dak Lak Province marks its 9th year of operation, prompting experts and managers to gather for an evaluation aimed at innovating future operational management. Discussions focused on new funding directions for technology acquisition and maintaining traffic flow. Sustainable operations are essential for future infrastructure management.
Business impactJapanese companies should actively gather relevant information and participate in Vietnam's infrastructure projects to seize opportunities in technology implementation and funding.