Foreign Investment in Vietnam

Vietnam’s rapidly growing economy and active participation in global trade agreements have made it an attractive destination for foreign investors. The Vietnamese government has implemented numerous policies and incentives to encourage foreign direct investment (FDI), creating opportunities across multiple sectors, from manufacturing to technology and services. However, navigating the regulatory landscape, understanding investment procedures, and ensuring compliance with local laws can be challenging for foreign companies.

1. Legal Framework for Foreign Investment in Vietnam

Review the investment legislation in force for the proposed project, including the Law on Investment 2025 and applicable transitional provisions, together with enterprise and sector rules. The relevant market-access conditions, project procedures and operating permissions must be assessed against the actual investor and activities.

b. Forms of Foreign Investment
Foreign investors can operate in Vietnam through:

• Joint ventures with Vietnamese partners

• 100% foreign-owned enterprises

• Business cooperation contracts
  Each form has different regulatory requirements, tax obligations, and operational flexibilities.

c. Incentives for Foreign Investors
Vietnam offers incentives to attract foreign capital, including:

• Corporate income tax reductions or exemptions for priority sectors

• Land lease incentives for industrial projects

• Support for technology transfer and high-tech investments

2. Common Challenges for Foreign Investors

Foreign companies often face challenges when investing in Vietnam, including:

• Complex administrative procedures and licensing requirements

• Land acquisition and real estate-related regulations

• Protection of intellectual property rights

• Labor law compliance and employment regulations

Effective legal advice can help foreign investors navigate these challenges and reduce risks.

3. Jurion & Partners’ Services for Foreign Investors

At Jurion & Partners, we provide comprehensive legal support for foreign investors, supporting compliance review and risk management in Vietnam.

Our services include:

• Legal consultation and risk assessment before establishing a business

• Assistance with company formation, licensing, and registration procedures

• Structuring investment contracts and joint ventures

• Advising on regulatory compliance, tax obligations, and labor law matters

• Representing clients in negotiations with authorities and dispute resolution processes

• Support for mergers, acquisitions, and investment exit strategies

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