Vietnam is Canada’s largest trade partner in ASEAN. Despite the establishment of diplomatic ties in 1973, relations between the two countries have only recently strengthened reaching almost US$9 billion in trade in 2020. In March 2018, Canadian Prime Minister Justin Trudeau signed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), representing a step towards greater engagement […]
Building on Vietnam’s favorable conditions for doing business, namely its strategic location, stable political system, ample workforce, and a relatively open environment for FDI, Vietnam has cemented its position as a safe and stable destination for investment. Its GDP growth in 2020 increased by 2.91 percent despite COVID-19. The key to such an impressive performance […]
In Vietnam, an official company seal or chop is used for legally authorizing documentation. A seal gives legal validity to any documents or papers issued by companies, organizations, or agencies. Any paper or document showing an official act of a company that contains only a signature of its general director is still considered insufficient. Indeed, […]
For many businesses, setting up their own company is the only known or viable way to enter a new market. We have written frequently about the ways to best approach and leverage direct foreign investment models for market entry — such as establishing a company or a representative office in Vietnam. There may, however, be alternative ways […]
In the event that a company has established operations and turned a profit within the Vietnamese market, challenges will remain with respect to ensuring that its proceeds may be sent abroad without a hitch. Whether it be a decision over the method of repatriation or when to take profits, the ways in which investors choose to approach […]
In Vietnam, an official company seal or chop is used for legally authorizing documentation. A seal gives legal validity to any documents or papers issued by companies, organizations, or agencies. Any paper or document showing an official act of a company that contains only a signature of its general director is still considered insufficient. Indeed, […]
A new political leadership was affirmed on April 5, 2021, at Vietnam’s 13th National Party Congress. The newly elected Prime Minister Pham Minh Chinh, a career security official, but also known to favor incentives for boosting economic growth, is anticipated to build on the positive economic ties fostered by Vietnam’s outgoing PM Nguyen Xuan Phuc. […]
For foreigners working in Vietnam, determining the applicability of personal income tax (PIT) involves decoding a number of rules. Following this, foreign workers need to calculate their precise liability and any applicable deductions. Consulting with an in-country tax specialist can help individuals’ optimize their tax exposure, while employers’ may be able to identify more competitive salary packages with an advisor. Below […]
The Vietnamese government has streamlined the merger and acquisition (M&A) process to encourage investment in new sectors of the economy. And for foreign investors that see establishing a business in Vietnam as too cumbersome, the M&A route provides a unique solution to many obstacles. With an M&A, investors can enjoy preexisting access to consumers, locations, and distribution channels. […]
Vietnam’s Ministry of Finance on March 30, established a research group, which began an in-depth study of cryptocurrencies, with a view to achieve legislative reform for the industry in the near term. While cryptocurrency trading and use are gaining popularity globally, the Vietnamese legislation makes no reference to such transactions. Yet, the current transition of Vietnam’s economy […]
Vietnam has a population of over 97 million people spread over 330,000 square kilometers. The country is still predominately rural, with urban centers providing a home for just 35 percent of the population. Companies entering Vietnam for the first time often fail to account for regional variation in the labor market and invest in locations […]
The garment and textile industry is one of the key industries in Vietnam with the second-largest export turnover in the country. In 2019, the industry’s export value contributed to 16 percent of the total GDP. In the past five years, the textile industry has continuously grown at an average rate of 17 percent annually. In […]