Cancellation of Exit Ban for Foreign Executive

Key pointsThe customs authority in Hai Phong's high-tech zone requested the immigration department to cancel the exit ban on foreign executive Rom Christian, as he is no longer the legal representative. He has not been the legal representative of ITEQ Vietnam since January 25, 2019, and customs determined that the initial notification was inappropriate. Exit bans are generally used as a measure against companies with unpaid taxes, but it is stated that this does not affect ITEQ Vietnam's tax obligations. If the current legal representative is subject to an exit ban, appropriate procedures will be followed.
Business impactThis incident serves as a reminder for Japanese companies about the importance of changes in legal representation and tax management. In particular, neglecting tax-related procedures and information updates could lead to severe measures such as exit bans, necessitating caution.

Key pointsThe U.S. Treasury Secretary's denial of further intervention in the yen's depreciation may lead to a continued decline in the yen, impacting Asian currencies. The Vietnamese dong is currently at a historic low against the dollar, drawing attention from export companies and foreign investors.
Business impactAs the yen depreciates, remittance costs from Japanese headquarters to their subsidiaries in Vietnam may rise, affecting local investment decisions. While this trend may benefit export-related companies, it will increase cost pressures on industries with high import dependence.

Key pointsThe expected PER (Price Earnings Ratio) of the Vietnamese stock market, excluding Vingroup, has fallen to 9.1 times, reaching the lowest level in the past five years. This indicates that stock prices are relatively undervalued compared to overall growth expectations for the Vietnamese economy. Investors are closely watching future trends ahead of a potential FTSE upgrade.
Business impactThe decline in PER enhances the overall valuation appeal of the Vietnamese stock market, but attention must be paid to sector-specific differences, particularly in banking and real estate stocks.

Key pointsThe Southern Power Corporation (EVNSPC) has completed a significant power infrastructure project for APEC 2027, activating three major power facilities in August. This has improved the power supply capacity of Phu Quoc Special Economic Zone, laying the groundwork for the APEC Summit. These projects were expedited under a special mechanism approved by the National Assembly.
Business impactThe infrastructure development for APEC 2027 presents new business opportunities for Japanese companies, particularly for those in the energy sector considering operations in Phu Quoc.

Key pointsBond yields in G7 countries have surged, leading to an expected increase in interest payments by billions of dollars. This situation is driven by escalating tensions between the U.S. and Iran, raising concerns about the global cost of capital affecting Vietnam's economy. There is a heightened risk of capital outflows from foreign investors.
Business impactFor Japanese companies, the global rise in interest rates may impact borrowing costs for local subsidiaries and the entire supply chain. Companies that rely on dollar-denominated financing will face a dual risk management challenge involving both currency and interest rates.

Key pointsIn the Vietnamese stock market, individual investors sold a net 2,006.5 billion VND (approximately 12.16 million USD) before the holidays, contributing to a total net sell-off of 3,600 billion VND (approximately 21.8 million USD). This trend is seen as a position adjustment ahead of the holiday, particularly marked by significant selling from individual investors. The self-trading sector also contributed to the sell-off, increasing market pressure. The skew in capital flow among market participants is an important indicator for the outlook of the Vietnamese economy.
Business impactFor Japanese companies, while the short-term skew in capital flow may have limited direct impact, it indirectly relates to the funding environment for local subsidiaries and capital policies through the stock market. In periods of low liquidity, price movements can be amplified, necessitating caution.

Key pointsThe Ho Chi Minh City People's Committee announced Decision No. 67 on March 11, 2026, which establishes conditions for land division and integration, as well as minimum area requirements. Notably, the verification of common access routes necessary for land division is emphasized to be delegated to local authorities. Experts are calling for simplification of procedures and increased transparency, suggesting that local authorities centralize the processes to help residents avoid unnecessary steps.
Business impactThis new regulation may streamline land acquisition and development procedures for Japanese companies. In particular, the real estate sector will need to review its processes based on the new regulations and respond swiftly.