Vietnam’s FDI Disbursement Sets a Five-Year Record, Powering Industrial Growth and Investment Confidence

Vietnam’s foreign direct investment (FDI) landscape continues to shine in 2025 as the country records one of its strongest performances in recent years. According to the General Statistics Office (GSO), total registered foreign investment in Vietnam reached US$33.69 billion by November 30, marking a 7.4% increase year-on-year. Equally notable, FDI disbursement, the actual capital implemented on the ground, has reached record levels not seen in the past five years.

The strong capital deployment signals high investor confidence, especially in manufacturing and processing sectors, and highlights Vietnam’s competitive advantages in the global investment landscape. This is a critical milestone for policymakers, industrial stakeholders, and real estate developers alike as the nation accelerates its shift toward higher-value and more sustainable growth models.

Record FDI Disbursement: What the Numbers Reveal

Vietnam’s FDI disbursement performance in 2025 reflects an encouraging trend of capital conversion into productive investment. By the end of November, foreign capital being put to work in Vietnam’s economy reached levels not seen in half a decade.

Manufacturing and processing remain the dominant recipients of this investment. Combined newly registered and adjusted capital flowing into this sector reached approximately US$16.52 billion, accounting for nearly 60% of total FDI inflows. This demonstrates not only the volume of investment interest but also its strategic quality — aligned with industrialization and modernization imperatives.

Real estate also saw strong foreign attention, drawing roughly US$5.72 billion when considering newly registered and adjusted capital. This includes investments in commercial and industrial property sectors, reflecting investors’ anticipation of future demand for logistics, warehousing, and modern production facilities.

Such capital deployment reflects broader investor confidence in robust demand drivers, including Vietnam’s growing role in regional supply chains, supportive policy frameworks, and improving infrastructure connectivity.

Why Manufacturing Leads the FDI Surge

Throughout 2025, the manufacturing and processing industry continued to dominate foreign investment flows. Independent reports show that over 80% of disbursed FDI during key periods was concentrated in manufacturing, signalling strong foreign interest in production-based investment and export-oriented capacity expansion.

This aligns with Vietnam’s long-term industrial strategy, which places a premium on attracting high-value manufacturing, from electronics assembly to precision engineering and advanced logistics. Such trends are amplified by global supply chain diversification, where multinational firms seek stable, cost-effective and strategically located production bases outside traditional hubs.

In addition to new licensed projects, adjusted capital and capital contributions/share purchases witnessed substantial activity, underlining that existing investors are scaling up operations, reinvesting in their Vietnam footprint, and leveraging local capabilities to meet global demand.

Foreign Investor Diversity and Market Confidence

Vietnam’s FDI ecosystem continues to attract a diverse array of investing countries and territories. Singapore remains a leading source of foreign capital, accounting for the largest share of newly licensed investment projects, followed by mainland China, Hong Kong, Japan, and European investors such as Sweden.

Moreover, capital contribution and share purchase activity surged by over 50% year-on-year, suggesting vibrant secondary market engagement and increased confidence among international investors.

This diversity reinforces Vietnam’s strategic position as an attractive destination for both portfolio and direct investment across multiple sectors. For industrial landowners, developers and logistics operators, this continued multinational interest translates into solid demand fundamentals for modern facilities and value-added real estate offerings.

Implications for Industrial Real Estate and Core5 Vietnam Clients

1. Increased Demand for Modern Industrial Space

With manufacturing as the primary FDI beneficiary, demand for high-quality industrial parks, ready-built factories, and logistics hubs is expected to rise. Firms entering Vietnam seek facilities that align with global standards and supply chain expectations.

2. Rise in Value-Added Services

Foreign investors increasingly value integrated industrial ecosystems that provide not only land but also logistics support, workforce solutions, and connectivity to export gateways. This drives interest in mixed industrial-services developments.

3. Confidence in Long-Term Investment Climate

Sustained high disbursement levels signal investor trust in Vietnam’s economic stability, legal frameworks, and growth potential — all of which reinforce the attractiveness of industrial real estate and associated infrastructure.

Sustaining Momentum for High-Value Investment

Vietnam’s achievement of a five-year high in FDI disbursement underscores a pivotal moment in the country’s economic evolution. With manufacturing at the forefront of foreign capital deployment and a diversified investor base driving growth, Vietnam is strengthening its position as a preferred destination for global investment.

For industrial real estate stakeholders, this trend highlights robust fundamentals for continued development, modernization, and strategic positioning of Vietnam’s industrial corridors. As the investment landscape evolves, Core5 Vietnam remains well-suited to guide clients through emerging opportunities in industrial land, logistics facilities, and value-enhancing real estate solutions.

For investors seeking to capture opportunities, Core5 Vietnam provides more than facilities , we are your strategic partner in long-term success.

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