Vietnam Weekly: Vietnam stabilizes banks, deepens EU ties, accelerates chip alliance

January 30, 2026 to February 5, 2026

This week's top 10 stories from Vietnam, selected from our daily intelligence briefs.

1. Overnight Interbank Rates Spike to 17% as State Bank Injects Record Liquidity

On February 3 Vietnam’s interbank VND rates spiked to decade highs as the overnight rate briefly hit 17%, the one-week reached 15% and the one-month rose to 9.5%, according to VIRA, following large year‑end tax transfers and pre‑Tet cash demand that drained liquidity. The State Bank of Vietnam (SBV) responded with its largest net open‑market injection in a decade, offering VND 100 trillion across 7‑, 28‑ and 56‑day repos at 4.5% and allotting about VND 80.36 trillion—a net injection of roughly VND 55.36 trillion—lifting outstanding OMO to a record VND 441 trillion (reports also noted outstanding OMO at VND 376.23 trillion earlier).

Authorities and market analysts characterized the squeeze as temporary—driven by concentrated Treasury receipts and balance‑sheet adjustments—and said SBV liquidity support helped stabilize conditions, with overnight rates easing toward 9.5–10% after the peak. Analysts expect rates to stay elevated through Q1 while cash flows normalize; the episode underscores the sensitivity of Vietnam’s money market to concentrated fiscal flows and seasonal Tet demand, and highlights the SBV’s readiness to deploy sizeable repo operations to backstop short‑term liquidity.

Local Coverage: vneconomy.vn, com.vn, vnexpress.net

From daily briefs: 2026-02-04, 2026-02-05

2. EU Ties Upgraded to Comprehensive Strategic Partnership with Trade and Investment at the Core

On 28–29 January 2026 European Council President António Costa visited Hanoi and the EU and Vietnam upgraded their relationship to a Comprehensive Strategic Partnership — the EU’s first of this level with an ASEAN member — formalised in a joint declaration adopted 29 January. The pact centres on trade and investment, recommits both sides to full implementation of the EU–Vietnam Free Trade Agreement (EVFTA) and accelerated ratification of the EU–Vietnam Investment Protection Agreement (EVIPA), and establishes new working groups on market access, public procurement, labour (ILO-aligned) standards, and technical barriers to trade.

The partnership broadens cooperation into strategic economic and security areas — clean energy and the Just Energy Transition Partnership (JETP), critical raw materials, semiconductors, AI, supply‑chain diversification, maritime security and defence dialogue, and research and education links (Horizon Europe, Erasmus+). Vietnamese leaders stressed the move’s historic significance; Prof. Nguyen Van Phu (Paris Nanterre) framed it as driven by diversification away from U.S. dependence and the EU’s search for resilient supply chains, while Hanoi flagged reforms required for EU capital (CBAM/ESG compliance, transparent financial markets) and sought EU support to remove the IUU fisheries “yellow card.” The upgrade signals deeper commercial integration and strategic alignment between Brussels and Hanoi amid rising global trade uncertainty.

Local Coverage: vietnamplus.vn, thanhnien.vn, tuoitre.vn, baotintuc.vn, com.vn, vnexpress.net, vneconomy.vn

From daily briefs: 2026-01-30, 2026-01-31, 2026-02-02

3. EU Tightens Sustainability Rules for Coffee Imports, Pressuring Vietnamese Exporters to Overhaul Supply Chains

The EU is tightening sustainability and due-diligence requirements for coffee imports: under the EU Deforestation Regulation (EUDR) importers must, from 30 December 2025, provide proof that coffee beans were not grown on land deforested after December 2020 and supply precise geolocation for each plot. Vietnam’s trade office in Sweden warns that both large and small exporters must build robust data systems documenting farming practices, labor conditions, water and chemical use, emissions and other environmental impacts to meet the EUDR and related reporting regimes.

Compliance responsibilities will broaden under the Corporate Sustainability Due Diligence Directive (CSDDD) — effective July 2024 for large firms — and the Corporate Sustainability Reporting Directive (CSRD) from 2025, forcing smaller suppliers to furnish granular data through their value chains. A ban on products made with forced labor takes effect December 2027, requiring proactive risk assessments, supplier codes, worker training, grievance mechanisms and independent audits. Nordic market preferences for high traceability and fair‑trade sourcing present both compliance costs and premium-market opportunities for exporters that can adapt.

Local Coverage: vneconomy.vn

From daily brief: 2026-02-04

4. FPT–Viettel Forge End‑to‑End Semiconductor Alliance with Global Partners and New Packaging Plant

FPT and Viettel have formed a strategic, end‑to‑end semiconductor alliance to link Vietnam’s full value chain—training, design, fabrication, testing, packaging and commercialization—centered on development of 28–32 nm AI‑on‑Edge SoCs for cameras, drones, UAVs and smart devices. The collaboration follows Viettel’s groundbreaking of Vietnam’s first front‑end chip fab and FPT’s opening of an advanced testing and packaging facility in Bac Ninh, and includes FPT agreements with Japan’s Restar (co‑development of packaging and global distribution), Korea’s Winpac (expanded OSAT cooperation and potential co‑investment in a Vietnamese packaging plant), and VSAP Lab in Da Nang (advanced packaging R&D, reliability testing, failure analysis and workforce training).

The initiative dovetails with Vietnamese policy shifts supporting investment in semiconductors and an education push to produce 50,000 semiconductor engineers by 2030, positioning the partners to capture a larger share of upstream and downstream value as global demand for AI‑optimized edge devices accelerates. For international stakeholders this signals Vietnam’s intent to become a regional OSAT and mid‑node SoC hub for 28–32 nm AI applications, backed by public–private coordination and targeted foreign technical partnerships.

Local Coverage: thanhnien.vn, vnexpress.net, baotintuc.vn

From daily brief: 2026-01-31

5. ASEAN and China Pledge to Accelerate South China Sea Code Talks, Emphasize UNCLOS Compliance

Senior ASEAN and Chinese officials met in Cebu, Philippines, for the 25th Senior Officials’ Meeting (SOM) on implementing the 2002 Declaration on the Conduct of Parties in the South China Sea (DOC), reviewing DOC execution and accelerating negotiations toward a binding Code of Conduct (COC). The parties reaffirmed commitments to peace, stability, safety and freedom of navigation and overflight consistent with the 1982 UN Convention on the Law of the Sea (UNCLOS); delegates welcomed Cambodia’s formal ratification of UNCLOS and agreed to increase the frequency of COC talks to deliver a “practical, effective” instrument compliant with international law.

Vietnam’s Deputy Foreign Minister Dang Hoang Giang cautioned against escalation amid “recent complex developments,” urging restraint and legal adherence while reiterating Vietnam’s constructive participation in the COC process to secure a rules-based framework for cooperation and stability. The meeting’s emphasis on faster, more regular negotiations and explicit UNCLOS alignment signals a pragmatic ASEAN–China push to manage maritime risk and shore up legal predictability in the South China Sea.

Local Coverage: vietnamplus.vn

From daily brief: 2026-02-01

6. Foreign Policy Strategy Elevates Partnerships and Multilateral Role for 2025–2030

Vietnam upgraded ties with 17 partners in 2024 and expanded its roster of comprehensive-level relationships to 42, while concluding nearly 350 cooperation agreements—about 2.5 times the 2023 figure—focused on trade, investment, technology, and digital and green transitions. Hanoi also deepened multilateral engagement amid global instability: it contributed to UN peacekeeping, assumed membership roles including the UN Human Rights Council and six of seven UNESCO mechanisms, and hosted high-profile events such as the ASEAN Future Forum and the P4G Summit.

Looking ahead to the 2025–2030 strategy, foreign policy will prioritize tighter coordination with defense and security—described by Minister Le Hoai Trung as “critical and constant” alongside national defense—alongside intensified economic and technology diplomacy to support an 8% growth target and deeper supply‑chain integration. The emphasis on multilateralism and partnerships signals Vietnam’s intent to elevate its international profile and leverage diplomacy for economic and strategic resilience.

Local Coverage: vneconomy.vn

From daily brief: 2026-01-30

7. New Decrees Tighten Gold Trading, Online Ads, and IP Penalties as Customs and Securities Rules Shift in February 2026

From February 2026 Vietnam will roll out several regulatory changes tightening controls on gold trading, online advertising, intellectual property and financial compliance. Decree 340/2025/ND-CP (effective Feb 9) sharply raises sanctions in monetary and banking activities: unlicensed production or trading of gold bars and unlicensed gold import/export now carry fines of VND 300–400 million plus confiscation; routine personal sales of legally owned gold remain lawful but cash payments ≥ VND 20 million per day must be made by bank transfer or face fines up to VND 20 million. Authorities stress confiscation targets unlicensed business activity, not occasional private sales (Nguyen Van Duoc, Trong Tin Tax Consulting).

Additional measures effective mid‑February include Decree 342/2025/ND-CP (Feb 15) imposing strict online‑ad standards — one‑click close, five‑second skip for non fixed video ads, reporting tools, and tighter rules for cosmetics and food claims — and Decree 341/2025/ND-CP (Feb 15) increasing copyright fines to VND 250 million (individuals) and VND 500 million (organizations). Financial administration moves include Circular 121/2025/TT-BTC (Feb 1) promoting e‑customs via VNeID, Circular 135/2025/TT-BTC (Feb 9) converting securities practice licenses to electronic certificates, and new fines (VND 200–250 million) for anonymous or impersonated payment accounts. Practical implications for international businesses: stricter compliance on gold-related operations, tightened advertising content and format rules, heightened IP penalties, and accelerated digitalization of customs and securities credentials.

Local Coverage: com.vn, baotintuc.vn, thanhnien.vn, tuoitre.vn

From daily brief: 2026-02-01

8. New Decree Assigns Three Authorities to Issue and Amend Land-Use and Ownership Certificates

Vietnam issued Decree No. 49/2026, effective 31 January 2026, which clarifies which authorities may issue, amend, reissue, revoke or correct land-use rights and property ownership certificates (“sổ hồng”). Under the decree, provincial-level land administration agencies will handle certificates arising from province-decided matters (land allocation, leasing, changes of land-use purpose, term adjustments, extensions, conversion of use forms, and recognition of land-use rights); commune-level People’s Committee chairpersons will handle analogous commune-decided matters, including determination of residential land area; and Land Registration Offices will issue or update certificates, manage first-time registrations and changes for cases outside provincial or commune competence, and perform corrections, cancellations and reissues alongside the other two bodies.

The decree also requires Land Registration Offices and their branches to update cadastral maps directly into the national land database and incorporates map verification into ordinary administrative procedures, eliminating separate map-approval steps. For international professionals, the measure centralizes and codifies responsibility across three administrative tiers, streamlines cadastral integration, and is likely to shorten administrative timelines and reduce parallel approvals while clarifying legal accountability for land certification.

Local Coverage: thanhnien.vn

From daily brief: 2026-02-03

9. Beijing Hosts Vietnamese Special Envoy as Both Sides Pledge Deeper Ties and New Rail Links

Chinese leader Xi Jinping hosted Vietnamese Foreign Minister and Party special envoy Lê Hoài Trung in Beijing after Vietnam’s 14th Party Congress, with both sides pledging to deepen a “Comprehensive Strategic Cooperative Partnership” and build a “community with a shared future.” Meetings between Xi, Wang Yi and Vietnamese leaders (including General Secretary Tô Lâm via envoy channels) prioritized strategic connectivity — notably three standard-gauge cross-border rail links and other rail projects — higher‑quality Chinese investment, balanced trade with increased Chinese imports of Vietnamese farmed seafood and produce, and expanded science‑and‑technology cooperation and high‑skilled training. China framed the engagement as part of its upcoming 15th Five‑Year Plan; Vietnam reiterated an independent, diversified foreign policy while elevating external relations alongside defense and security.

The visits and parallel outreach to Singapore and South Korea (including Singapore’s pledge to expand Vietnam–Singapore Industrial Parks to 30 by 2026 and a $150 billion bilateral trade target with South Korea by 2030) signal Hanoi’s push for deeper regional economic integration and technology-led growth. New party‑to‑party coordination mechanisms and commitments to manage differences under international law indicate Beijing and Hanoi seek rapid, top‑level momentum on infrastructure and trade while preserving political control of the relationship; Tô Lâm will visit Laos on February 5 to extend similar connectivity and trade goals in Indochina.

Local Coverage: com.vn, vnexpress.net, tuoitre.vn, thanhnien.vn, vietnamplus.vn, baotintuc.vn, vneconomy.vn

From daily briefs: 2026-01-30, 2026-01-31, 2026-02-01, 2026-02-04, 2026-02-05

10. Manufacturing PMI Signals Solid Start to 2026 with Output, Orders and Hiring Up

Vietnam’s manufacturing sector opened 2026 on a firm footing: S&P Global’s January PMI stood at 52.5 (slightly down from December’s 53.0) marking a seventh consecutive month of expansion, with output, new orders and employment rising—hiring hit a 19‑month high—supported by a rebound in export demand from Asian markets such as India. Purchasing activity increased while input inventories fell for the first time since September 2025 as materials were fed straight into production; finished-goods stocks declined at the fastest pace in four months and backlogs eased. Cost pressures remain elevated (input inflation near a 3.5‑year peak in December) and output prices rose at the fastest rate since April 2022, yet business confidence reached a 22‑month high with 55% of firms expecting higher output over the next year.

External demand and structural shifts underpin the outlook: VinaCapital projects continued export growth in 2026 driven by resilient US demand and surging high‑tech shipments (US exports rose 28% in 2025; laptop and high‑tech exports jumped 80%), while FDI rose 9% in 2025 as firms like Apple expand capacity. Textile and garment firms report order books into March 2026 but narrowing margins and tighter delivery schedules; industry leaders (e.g., Cao Huu Hieu, VN garment group CEO) warn of price pressure requiring ~5% cuts. Manufacturers are accelerating digitalization—AI, robotics and data planning—to move into higher‑value, smaller‑batch production for the US and Japan, supporting competitiveness amid tariff and cost risks.

Local Coverage: vneconomy.vn, vietnamplus.vn

From daily briefs: 2026-01-30, 2026-02-03

About This Weekly Digest

The stories above represent the most significant developments from Vietnam this week, selected through our AI-powered analysis of hundreds of local news articles.

Stories are drawn from our daily intelligence briefs, which synthesize reporting from Vietnam's leading news sources to provide comprehensive situational awareness for international decision-makers.