ANN/VIETNAM NEWS – Vietnam’s electronics sector surged in 2024, generating a remarkable USD126.5 billion in exports.
The substantial figure accounted for a significant portion of the nation’s overall export revenue, representing one-third of the total, according to the General Statistics Office (GSO).
Of the total, electronics and components exports soared to USD72.56 billion, marking a 27-per-cent increase year-on-year. Meanwhile, exports of phones and components reached USD53.9 billion, the GSO reported.
The key importers of Vietnamese electronics included the United States (US), Europe, China and South Korea. Notably, the country’s exports of computers, electronic components and phones to Europe and America exceeded USD56.9 billion, contributing nearly 45 per cent of the total export turnover.
Economist Nguyen Tri Hieu outlined political stability and security as important factors helping Vietnam attract international investors in the electronics support industry.
In the context of trade between the US and China, many businesses were looking for alternative production locations to minimise risks, and Vietnam became a priority choice, Hieu told daidoanket.vn.
CHALLENGES PERSIST FOR LOCAL ELECTRONICS FIRMS
Despite achieving significant export turnover, domestic electronics businesses continue to grapple with numerous challenges.
According to the Vietnam Electronic Industries Association (VEIA) representative Do Thi They Huong, most Vietnamese electronics companies are small and medium-sized enterprises.
These firms face constraints in capital, technology and human resources.
In addition to these challenges, many domestic electronics businesses remain focused on processing and assembling activities.
These firms have yet to prioritise creating supply chains or investing in high-value segments like design, research and development, and distribution. This limited focus has constrained their ability to produce high-value-added products and achieve greater competitiveness in the global market, Huong told daidoanket.vn.
Deputy Chairman and General Secretary of the Hanoi Association of Small and Medium Enterprises Mac Quoc Anh emphasised the need for stronger links and partnerships with countries excelling in core industries, such as the US, Japan and South Korea, to address bottlenecks in Vietnam’s electronics sector.
He also urged the government to establish clearer regulations on acquiring advanced science and technology transfers. Such measures, he noted, would enable businesses to access cutting-edge technologies more efficiently, enhance competitiveness and foster sustainable growth in the industry.
Economic expert Can Van Luc advised Vietnamese electronics enterprises to align with global trade and investment trends, leveraging key partnerships and support policies, such as tax incentives and interest rate reductions, to advance digital transformation and circular business models. He highlighted the importance of using clean and local raw materials and fostering the growth of supporting industries.
Luc emphasised integrating sustainability into business strategies and called for diversification of markets, partners, supply chains, products and services. He also encouraged companies to secure feasible capital sources for green transformation, circular business practices and carbon credit initiatives, which he described as an irreversible global trend.
Luc also urged firms to proactively adopt cutting-edge technologies, such as artificial intelligence, virtual reality, automation, cloud computing and cybersecurity.
By doing so, he said, businesses could participate more deeply in the global value chain and secure long-term growth opportunities.
According to the Ministry of Industry and Trade, Vietnam’s electronics sector has seen significant growth fuelled by favourable development conditions. The country’s strategic location in a rapidly expanding and dynamic industrial region has played a key role in boosting the industry.
A large domestic market of over 100 million people, combined with direct access to the 600 million-strong ASEAN market and extensive export opportunities through participation in multiple free trade agreements (FTAs), has further supported the sector’s expansion.
In 2025, the Ministry of Industry and Trade announced it will work closely with relevant agencies to implement stronger measures aimed at safeguarding Vietnam’s domestic electronics market. These efforts will include the implementation of defence taxes, technical barriers and stricter actions against trade fraud, counterfeit goods and smuggling activities.
