Vietnam Imports $800 Million of Rice in Seven Months

Key pointsVietnam imported approximately $800 million worth of rice over seven months in 2026, primarily to balance food processing and supply, indicating that domestic rice production is not meeting demand. Despite being one of the world's leading rice exporters, Vietnam finds itself in a situation where imports are necessary.
Business impactThis increase in imports may impact the food industry and distributors. In particular, Japanese companies dealing with rice will need to reassess their supply chains and strengthen cost management.

Key pointsSaigon-Hanoi Bank (SHB) announced plans to provide 45 trillion VND in preferential loans for small and medium-sized enterprises and individuals starting in early 2026, with interest rates reduced by up to 2% per year. This initiative aligns with government and central bank policies aimed at revitalizing economic production and business activities.
Business impactThis interest rate reduction may lead to lower financing costs for Japanese companies, potentially benefiting transactions with small and medium-sized enterprises. It is worth considering a review of funding plans.

Key pointsVietjet plans to open a route connecting Ho Chi Minh City and Western Sydney International Airport (WSI) starting January 10, 2027, initially operating two flights per week, increasing to three flights per week from March 2027. This new airport is set to function as Sydney's second aviation gateway and will operate 24 hours a day. Vietjet will be one of the first airlines to enter this airport, alongside Singapore Airlines and Air New Zealand.
Business impactThe launch of this new route provides Japanese companies with an opportunity to expand access to the Australian market. In particular, the increase in direct flights from Ho Chi Minh City is expected to enhance business efficiency and potentially boost trade and investment with Australia.

Key pointsGoogle has announced plans to relocate the manufacturing of Pixel smartphones and wearable devices from China to Vietnam and India starting in 2027. This strategic decision is influenced by rising tensions between the U.S. and China, and there is ongoing expansion of production capacity in Vietnam. Google aims to increase Pixel shipments by 8-10% year-on-year, with manufacturing in Vietnam expected to play a crucial role.
Business impactJapanese companies need to monitor changes in the supply chain due to Google's production shift and explore opportunities for related component supply and manufacturing partnerships. In particular, there will be an increase in business opportunities related to electronic devices.

Key pointsHo Chi Minh City aims to enhance solutions to achieve its public investment plan for 2026, targeting 100% funding secured. The city aims for over 70% resolution by the third quarter, with 43.2% of funding resolved so far. The focus is particularly on infrastructure projects, facing challenges such as material shortages and legal issues.
Business impactJapanese companies should pay attention to the progress of public investment, especially in infrastructure-related projects, and may need to review material supply and contracts. The advancement of public investment will have a direct impact on the business environment, necessitating careful monitoring.