In the three decades since diplomatic relations were established in 1995, the partnership between Vietnam and the US has grown deeper, more reliable, and constructive across multiple sectors. In particular, following the official upgrade of relations to a Comprehensive Strategic Partnership in 2023, cooperation entered a new phase.
The US is now not only one of Vietnam’s largest trading partners but also a leading investor in high value-added sectors such as high technology, semiconductors, energy, and finance.
Rising confidence
US investment flows into Vietnam have seen a remarkable surge in 2025 compared to previous years. According to data from the Foreign Investment Agency at the Ministry of Finance, as of the end of September the US had 1,496 valid investment projects in Vietnam, with total registered capital exceeding $12.31 billion, ranking it eleventh among countries and territories investing in the country.
Ninety-seven new projects were launched by US investors in the first nine months of the year, with total registered capital of some $629.18 million; 3.5-fold higher than the $180.09 million invested in the same period of 2024 and the highest figure for the first nine months between 2018 and 2024, underscoring growing investor confidence in Vietnam’s business environment and long-term growth prospects.
Among the key sectors attracting US investment, semiconductors have emerged as a standout pillar of cooperation, where American companies have made a distinct and strategic imprint on Vietnam’s industrial landscape. Tech giants such as Intel, Amkor Technology, Qualcomm, Synopsys, and Marvell have all established operations in the country, helping to anchor Vietnam’s position within the global semiconductor supply chain.
Intel has invested more than $1.5 billion, with an estimated 60-70 per cent of its global semiconductor products now assembled, tested, and packaged locally. Similarly, Amkor Technology made headlines with a $1.6 billion investment in northern Bac Ninh province to build its largest-ever semiconductor packaging and testing plant. The strategic project not only reflects Amkor’s confidence in Vietnam’s investment climate but also reinforces its growing role as a semiconductor manufacturing and testing hub in the Asia-Pacific region.
According to Deputy Ambassador of the US to Vietnam Courtney Beale, the two countries have long maintained a strong and enduring partnership in semiconductor production. Many US companies, she noted, have chosen Vietnam as a base for critical stages of the value chain, including assembly, testing, and packaging, forming an essential link in the global semiconductor network.
Beyond semiconductors, US companies are also expanding their footprint in other sectors with major potential, such as telecommunications, aviation, liquefied natural gas (LNG), and agriculture. Of note, SpaceX plans to invest around $1.5 billion in developing telecommunications infrastructure and providing satellite internet services in Vietnam. The company is currently finalizing legal procedures to pilot its first telecommunications projects in the country.
Vietnam’s robust economic growth has seen the country increasingly viewed as a strategic market by leading US investors. According to the American Chamber of Commerce in Vietnam (AmCham), US businesses value Vietnam’s rising role in global supply chains, positioning the country as a destination in the region offering a competitive advantage.
At the same time, its stable political environment, skilled and abundant workforce, and focus on green energy, infrastructure, and the development of the digital economy make it an attractive destination for investment, production, and innovation. These factors, observers believe, provide a solid foundation for US companies to deepen their long-term commitment to Vietnam through expanded operations and closer collaboration across strategic sectors.
Path to sustained growth
The Vietnamese Government has continued to advance reforms in recent years, aimed at creating an even more open and efficient business environment and tackling longstanding bottlenecks in investment cooperation. Current goals include eliminating at least 30 per cent of unnecessary business conditions, reducing administrative processing time and costs by at least 30 per cent, and making it easier for foreign enterprises, including those from the US, to operate and expand in Vietnam.
But challenges remain. According to AmCham, US investors continue to face obstacles such as inconsistent policy implementation across cities and provinces, unclear legal regulations, and an occasional lack of coordination between administrative authorities. These issues, AmCham noted, can dampen the appeal of Vietnam’s investment environment and complicate the realization of long-term business strategies.
AmCham has called on Vietnam to build on its progress to date by further strengthening its competitive edge through a fair, transparent, predictable, and simplified legal framework. Such improvements, it said, would not only help attract new investment but also reinforce confidence among existing investors, encouraging them to scale up operations and deepen their commitments in Vietnam.
Vietnam is also urged to prioritize key efforts, such as easing constraints in resource mobilization and production, accelerating the development of clean and renewable energy, harnessing the potential of the digital economy, and promoting sustainable investment. Developing a healthy, well-integrated financial market would also help attract stronger participation from US investors, AmCham emphasized.
Looking ahead, American businesses hope to see continued momentum in administrative reform, including faster decision-making processes and more consistent law enforcement. Targeted incentives for projects and sectors where the US holds competitive strengths and Vietnam has development priorities could further reinforce the growing economic and trade partnership between the two countries.
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