Vietnam’s FDI Surges 40% on Reinvestments Amid Global Tensions

Chinese FDI in Vietnam 2025 rises and ranks second as disbursements hit a five-year high, deepening economic ties amid global trade shifts.
File image of an apparel factory in Hanoi, Vietnam that manufactures activewear for various international clothing brands. (Nhac NGUYEN / AFP)

Amid intensifying global U.S.-China tensions and global efforts to diversify supply chains, Vietnam is consolidating its position as a key Southeast Asian industrial hub. In the first quarter of this year, Vietnam’s FDI is surging 40% on reinvestments.

According to Vietnam’s Foreign Investment Agency, the country attracted $13.82 billion in foreign direct investment (FDI) in the first four months of 2025, a 39.9% year-on-year increase.

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