Vietnamese Military Company Begins Construction of Latest Combat Ship

Key pointsVietnam's comprehensive defense industry company, Song Tu, has commenced the construction of a new multi-purpose anti-submarine escort ship. This vessel is designed and built domestically, equipped with modern weapon systems. This project marks a significant event in the development of Vietnam's defense industry and is being carried out under the strict guidance of the Ministry of Defense.
Business impactJapanese companies engaged in defense-related businesses should closely monitor the growth of Vietnam's defense industry and explore collaboration opportunities, particularly in technology provision and joint development.

Key pointsVinFast has announced a resort development plan on Cat Hai Island in Hai Phong, with a total investment of 35 trillion VND. The project will include a safari park and two water parks, covering an area of 316 hectares. Previously, another company had plans to construct a 150-meter Buddha statue, which did not materialize. VinFast's new project is expected to contribute to the development of the tourism industry.
Business impactJapanese companies need to seize related business opportunities as the tourism industry grows. It is particularly important for companies considering tourism facilities and services to conduct market research early and develop strategies.

Key pointsThe State Bank of Vietnam (NHNN) has instructed commercial banks to reduce lending rates for small and medium-sized enterprises (SMEs) by at least 1% effective August 7, 2026. This measure aims to promote economic growth and support financing for SMEs.
Business impactJapanese companies can take advantage of the reduced financing costs to reassess their investment plans. In particular, companies dealing with SMEs are expected to enhance their competitiveness by utilizing this interest rate reduction.

Key pointsThe Vietnamese Ministry of Finance has proposed adding a special mechanism for maritime city development projects. This mechanism will initially apply to Da Nang City and aims to attract strategic investors for projects exceeding 100 trillion dong in capital. Investors will be allowed to transfer up to 50% of the project.
Business impactJapanese companies should closely monitor this development and assess its impact on related transactions, contracts, and local operations.

Key pointsHo Chi Minh City has reclaimed land for a $1.5 billion project that was initiated in 2016 but had seen no progress for 11 years, effectively rendering it a 'pipe dream'.
Business impactThis land recovery may impact the future investment environment, particularly prompting Japanese companies to closely monitor the project's progress and reassess their investment decisions.

Key pointsVietjet announced the launch of direct flights connecting Ho Chi Minh City and Western Sydney, Australia, starting January 9, 2027. The route will operate twice a week and is expected to enhance tourism, trade, and investment flows between the two countries. Vietjet's CEO stated that this new route is a significant step in strengthening the relationship between the two nations.
Business impactThe establishment of this new route presents an opportunity for Japanese companies to improve access to the Australian market. This is particularly important for companies considering logistics and business expansion.

Key pointsIn the first seven months of 2026, Ha Tinh Province approved 32 domestic projects with a total investment exceeding 155 trillion VND. Among these, two projects from Vingroup, VinFast and VinMetal, account for 93 trillion VND, representing about 60% of the new investments in the province. The VinFast electric motorcycle factory is set to be completed in 2025, with an annual production capacity of 200,000 units.
Business impactVingroup's projects will promote economic growth in Ha Tinh Province and provide new business opportunities for Japanese companies. Firms considering investments in the automotive industry and related supply chains should take note.

Key pointsHeineken Vietnam is actively participating in the promotion of culture and cuisine in Da Nang. The company, which has a significant production base in Da Nang, aims to celebrate local identity and promote the development of the tourism economy. The Da Nang Enjoy Festival in 2026 will feature events showcasing local food culture and art, providing an opportunity to convey Da Nang's charm to tourists. Heineken shares a vision for sustainable tourism while respecting local culture.
Business impactJapanese companies should monitor this trend and assess its impact on related transactions, contracts, and local operations.