According to the latest data from the Department of Customs, wood and wood products ranked seventh among Vietnam’s top ten export categories in the first seven months of 2025, reaching $9.65 billion, up 8.1 per cent on-year.

The United States remained Vietnam’s largest export market, accounting for $5.41 billion or 56 per cent of the total, up 10.5 per cent from the same period last year.

Experts attribute Vietnam’s strong position in the US market – now among the top three wood exporters to the country – to its cost advantages, including low labour costs and the use of 70 per cent domestically sourced materials.

However, the US administration announcement in early April of a potential 46 per cent countervailing tariff on Vietnamese goods immediately placed the wood sector among those most at risk. If implemented, this tariff would significantly erode the price competitiveness of Vietnamese wood products, pushing up costs significantly.

During the tariff negotiation phase, with businesses hopeful for a more moderate 20 per cent rate, many leading exporters ramped up production to seize a ‘golden window’, resulting in relatively strong short-term growth.

Yet, business results from the second quarter (Q2) of 2025 suggest that the anticipated recovery has not fully materialised.

In Q2 of 2025, Duc Thanh Wood Processing JSC reported a 20 per cent decline in revenue to approximately $2.84 million. Its post-tax profit, however, rose 13 per cent to nearly $680,000, mainly due to cost-cutting measures and workforce reduction.

Similarly, An Cuong Wood Working JSC saw a 6 per cent drop in revenue, down to $38.4 million, while its post-tax profit rose 17 per cent to $5.52 million, driven largely by financial gains- specifically, the sale of shares in Central Hill Estate JSC.

Meanwhile, Thuan An Wood Processing JSC posted a 19 per cent decline in revenue to 2.16 million, with post-tax profits plummeting 38 per cent to just $40,000.

In contrast, Phu Tai JSC, which operates across multiple sectors, reported strong growth with revenue reaching $77.6 million and post-tax profits reaching $5.3 million, up 18.6 per cent and 17 per cent on-year, respectively.

Looking ahead to the second half of the year, export prospects appear even more uncertain. Tran Quoc Manh, vice chairman of Vietnam Handicraft Exporters Association, noted that adverse impacts are becoming visible as early as Q3, particularly in August and September.

“Most businesses are still operating but largely in a holding pattern,” Manh said. “Selling prices are falling, product ranges are narrowing, and many customers, despite having placed orders, are delaying delivery ahead of market developments. Even import partners are uncertain about the situation, which is causing transaction timelines to stretch out.”

He added that while the US market is already facing difficulties, the European market continues to shrink, increasing the pressure on Vietnamese exporters. The situation is expected to deteriorate further in Q4 as orders continue to decline.

Dang Quoc Hung, chairman and CEO of Alliance Handicraft and Wooden Fine Art Corporation, warned that the export wood market will face even greater challenges in the near future.

“Maritime freight costs have been trending upward, especially on routes to Europe and the US. However, the greater concern lies in the countervailing tariffs. Some recent shipments to the US have already encountered tax-related hurdles, and this is expected to continue affecting orders in the upcoming months. As taxes increase, companies are forced to raise prices, which reduces competitiveness and directly hits sales,” Hung explained.

Hung also pointed out a shift in buyer expectations. “Previously, exporters typically absorbed all import taxes for shipments to the US, but now clients are pushing for shared cost responsibility. This forces businesses to raise prices, impacting customers and partners directly, some of whom have already raised concerns in recent weeks.”

Despite growing instability, the Vietnam Timber and Forest Products Association remains optimistic that the country can still achieve its 2025 wood and wood product export target of $18 billion. However, the industry’s heavy dependence on the US market poses significant risks. Any fluctuation in American consumer demand can immediately affect Vietnam’s export revenues. As a result, regulatory bodies are encouraging firms to diversify their markets and tap into new growth areas.

Echoing this sentiment, Manh from Vietnam Handicraft Exporters Association said, “In reality, this is incredibly difficult. No market can replace the US in the short term.”

Wood industry striving to regain growth momentum Having undergone numerous hardships, businesses in the wood industry are showing great resilience with a high level of adaption and flexibility to regain their growth momentum.

Wood industry eyes positive signals in early 2025 Figures from Foreign Trade Agency under Ministry of Industry and Trade show that Vietnam’s export value of wood and wood products in the first half of January reached $738.8 million, a 15.6 per cent jump on-year.

Wood exporters wary about surging tariff pressures Wood businesses are closely monitoring market developments to swiftly craft solutions in response to volatile tariff policies on a global scale.

In its audited report released on August 30, the airline posted air transport revenue of VND35.6 trillion ($1.35 billion) and a pre-tax profit of nearly VND1.6 trillion ($60.7 million), up 37 per cent on-year. Consolidated revenue reached VND35.84 trillion ($1.36 billion) with pre-tax profit exceeding VND1.65 trillion ($62.6 million), a 65 per cent increase.

Vietjet operated 79,000 flights with 14.4 million passengers for the first six months of the year. It paid over VND4.53 trillion ($171.8 million) in taxes and fees. The company’s financial indicators remain strong, with excellent liquidity and consolidated assets exceeding VND112 trillion (approximately $4.25 billion).

For the same period, Vietjet placed an order for an additional 20 A330neo aircraft with Airbus, raising its total order to 40, making it the airline with the largest A330neo order in the world.

At the 2025 Paris Air Show, Vietjet secured a historic order for 100 A321neo aircraft, along with 50 purchase options – the largest deal in the industry – positioning Vietjet among the top 10 airlines globally in terms of aircraft orders.

Additionally, Vietjet and Rolls-Royce have signed an agreement for 40 Trent 7000 engines to power 20 wide-body Airbus A330neo aircraft, bringing the total number of Trent 7000 engines ordered by Vietjet to 80.

Vietjet also kicked off the construction of its Aircraft Maintenance Technical Centre in Long Thanh International Airport earlier this year, featuring hangars 3 and 4 which will be capable of servicing 10 aircraft simultaneously by international standards. This is a key component of the 80 initiatives celebrating Vietnam’s 80^th National Day.

Furthermore, Vietjet has rolled out self-service ground operations at major airports to enhance service quality, optimise operations, and deliver an exceptional experience for passengers.

Vietjet has also been recognised by AirlineRatings as the ‘World’s Best Ultra Low-Cost Carrier’, while Forbes Vietnam has ranked Vietjet among the Top 5 revenue-generating enterprises for 2024 and in the Top 50 best-listed companies for 2025.

With a solid financial base, a focus on fleet modernisation, and key infrastructure projects underway, Vietjet is targeting sustainable growth and wider international expansion in the second half of 2025. These efforts are expected to attract investment and support Vietnam’s position as a regional aviation hub.

Vietjet announces new managing director Vietjet Aviation JSC has announced the appointment of Nguyen Thanh Son as the company’s managing director, succeeding Dinh Viet Phuong, leading the new age carrier in the next era of development.

Vietjet outperforms targets, wins Long Thanh project bid Vietjet’s Q2 business results have surpassed expectations while marking significant milestones with substantial aircraft orders, the expansion of ground self-service operations, and winning project bids at Long Thanh International Airport.

Vietjet starts work on aircraft maintenance facility in Long Thanh Vietjet has started construction of an Aircraft Maintenance Technical Centre at Long Thanh International Airport in the southern province of Dong Nai.

Running from August 28 to September 5, the exhibition highlights Vietnam’s achievements across multiple sectors. At its 200-square-metre booth, THACO is presenting products ranging from autonomous robots and ship-to-shore cranes to auto parts and components for export. The company has also unveiled an urban train carriage model, manufactured at the THACO Chu Lai Industrial Park, for the first time.

The carriage measures 10 metres in length, 2.95 metres in width, and 3.9 metres in height, with a weight of 10 tonnes excluding bogies. Designed with 26 seats and 124 standing places, it can carry up to 150 passengers.

The train body frame is made from high-strength steel and aluminium alloy. It is manufactured on a modern production line under a closed-loop process that covers fabrication, welding, surface treatment, and finishing paint, meeting international standards EN 12663-1, EN 14067-1, and EN 14067-4 for durability, safety, and aesthetics. This strategic step paves the way for THACO to enter the railway sector, the country’s spearhead infrastructure sector.

THACO also introduced the AI navigation assistant robot TIAR-01 at the event, featuring a modern design, omnidirectional movement, and an automatic SLAM navigation system. TIAR-01 boasts smart features, such as guiding and supporting visitors, looking up information, updating news quickly, interacting for entertainment, and monitoring environmental conditions.

In parallel to this, the autonomous mobile robot AMR for transporting luggage is also equipped with SLAM navigation technology. It features flexible movement, obstacle avoidance, and real-time route calculation. Powered by a lithium battery, it operates for 6–8 hours. The robot is equipped with a 2D LIDAR sensor, bumper, 3D camera, and an emergency stop button to ensure maximum safety.

In the field of heavy machinery, THACO displayed the ship-to-shore (STS) crane model – equipment for loading and unloading container ships at international seaports. The STS cranes are 900 tonnes in weight, with a lifting capacity of 50 tonnes, a 40-metre reach, a lifting speed of 50m/minute, a hoisting speed empty of 120m/minute, and trolley speed of 150m/minute, ensuring high loading and unloading productivity.

THACO also introduced a model of the Chu Lai seaport, part of THILOGI’s integrated logistics hub combining road, seaport, and maritime transport. Positioned as a key gateway for the central region, the port facilitates trade flows linking southern Laos, northern Cambodia, and Vietnam’s Central Highlands with major markets including China, South Korea, Japan, and India.

Among the standout exhibits was a model of the KIA K3 passenger car, built with parts and components manufactured by THACO Industries, including the body frame, interior and exterior elements, power systems, electrical equipment, and refrigeration units. Mechanical components for export, produced on advanced lines imported from Germany, Japan, Switzerland, and South Korea, are already being supplied to markets such as the United States, Australia, Japan, and Finland – strengthening the reputation of Vietnamese engineering internationally.

The TACO booth has been regarded as one of the exhibition’s highlights, showcasing the company’s latest products while demonstrating its strategy of sustainable development, increased localisation, and investment in advanced technology.

The exhibition further offered a platform for THACO to present nearly 30 years of accumulated technical and technological achievements. The products on display are designed for practical use, reflecting the group’s commitment to real work and real value.

THACO lays out plans for $1 billion industrial park Truong Hai Auto Corporation (THACO) is planning to begin the construction of a mechanical industrial park in the southern province of Binh Duong worth over $1 billion in September.

THACO Group to invest over $1 billion in Binh Duong industrial park THACO Group will build a 786-hectare industrial park in Binh Duong at a cost of over $1 billion, with construction scheduled to start in September.

Italy deepens Vietnam ties as SACE backs Gelex and THACO’s growth plans SACE, the Italian insurance and finance group fully owned by the Italian Ministry of Economy and Finance, together with HSBC and LBBW, has finalised two medium-long term loans totalling $139 million, guaranteed by SACE, for Gelex Group and THACO AGRI, two of Vietnam’s leading industrial players.

Amid geopolitical and global trade fluctuations, strategic minerals such as tungsten are increasingly asserting their vital role for high-tech industries.

The price of APT, the main raw material for tungsten production, is currently fluctuating around $630/MTU, which is nearly double the estimated average price of MSR in 2024 ($318/MTU) and the highest in more than 13 years.

According to securities firm VietCap, this stems from the fact that China has imposed export controls since February, causing exports to fall by about 17 per cent as of July. At the same time, the US imposed a 25 per cent tariff on some Chinese tungsten products and banned the Department of Defence from purchasing tungsten from countries such as China, Russia, Iran, and North Korea.

This forced US, EU, and Japanese businesses to locate alternative sources of supply from other countries, including Vietnam. Vietnam currently ranks second in the world in tungsten production with about 3,400 tonnes in 2024, accounting for nearly 22 per cent of US imports.

To seize the opportunities, MSR announced the “Back to Basics” strategy in the past year, focusing on operational optimisation, cost efficiency, and sustainable development to ensure strong margins at the mine and processing plant. MSR is pursuing the delivery of products in line with the world’s most stringent technical and environmental standards, prompting the company to increase the product value and promote tungsten recycling.

Improved business performance

In the first half of 2025, MSR generated revenue of nearly VND3 trillion ($114.67 million), up 20 per cent on-year. In the second quarter, the company achieved a revenue of VND1.6 trillion ($61.2 million), up nearly 28 per cent on-year. Its after-tax profit reached VND6 billion ($229,000), an improvement of VND400 billion ($15.3 million) from the same period last year. Its earnings before interest, taxes, depreciation, and amortisation (EBITDA) increased strongly to 35 per cent in the second quarter of 2025, compared with 12 per cent from a year ago.

The figures reflect the dual benefits of MSR, as the company not only benefits from the rising selling prices of APT, bismuth, and fluorspar, but also receives support from the HC Starck deconsolidation. Thus, the company can ease financial pressure while channelling its resources into strategic products.

According to VietCap, MSR is expected to contribute around 6.5 per cent of Masan Group’s operating profit in 2025. This is a notable transformation compared to previous years, when mining was considered “non-core” and recorded losses.

Golden period for mining industry

Not only benefitting from global trends, MSR stands to enjoy opportunities from local policies. In 2023, the government approved the master plan on exploration, exploitation, processing, and use of mineral resources until 2030, with a vision to 2050, with a priority on sustainable extraction and deep processing over raw exports.

In parallel, the revised Law on Geology and Mineral Resources, which took effect on July 1, aims to enhance transparency, improve the efficiency of state management, and encourage capable enterprises to participate more deeply in global supply chains.

Against this backdrop, with the Nui Phao mine and its “Back to Basics” strategy, MSR is poised to seize the best opportunities to climb the global supply chain.

Moreover, there is a rising demand for strategic minerals in the era of green technologies, creating more opportunities for MSR. The company could affirm its role in the global supply chain as a reliable alternative supplier outside China while pursuing sustainable development through higher value-added products, operational efficiency, and recycling expansion. More importantly, MSR not only makes a positive contribution to Masan Group’s consolidated earnings but also helps elevate Vietnam’s position on the global high-tech minerals map.

That said, MSR must maintain capital efficiency, optimise costs, and manage market risks amid commodity price volatility and increasingly stringent environmental requirements. This is the key factor for the company to both seize opportunities and ensure sustainable development.

The booming demand from high-tech industries, coupled with tighter global supply, is creating a “golden opportunity” for MSR. With the Nui Phao mine and a comprehensive operational strategy, MSR is entering a new growth phase.

MHT advances its ‘Back to Basics’ strategy Masan High-Tech Materials (MHT) has reaffirmed its commitment to delivering value through the execution of its ‘Back-to-Basics’ strategy.

Masan poised to lead Vietnam’s evolving consumer market Rising disposable incomes and evolving consumption patterns in Vietnam present multi-billion dollar growth potential for businesses operating closed-loop retail ecosystems.

Masan hits over 50 per cent of 2025 profit target Masan Group Corporation released its unaudited management accounts for the second quarter and first half of 2025 on July 28, highlighting a steady performance across its business segments and achieving over 50 per cent of its full-year profit target.

Vinarice, a member company of Vinaseed Group, in August received over $136,000 from the Netherlands Development Organisation (SNV) for producing low-emission rice across 21,000 hectares of rice fields, contributing to a reduction of 89,000 tonnes of CO2 during the 2024-2025 winter-spring crop season.

Previously, Vinarice made a mark with a record reduction of almost 3,900 tonnes of CO2 and received an award worth over $18,000. The entire area participating in the project of the company was also granted the Vietnam Green & Low-Emission Rice logo certified by the Vietnam Rice Industry Association.

An SNV representative stated that the achievements from two seasons of participating in the project recognised Vinaseed’s efforts in reducing greenhouse gas (GHG) emissions throughout the production chain and contributed to aim of cultivating one million hectares of high-quality, low-emission rice associated with green growth in the Mekong Delta by 2030.

“This is a step in line with the global goal to limit the earth’s temperature increase and paves the way for Vietnam to build a national rice brand and sell carbon credits by 2028,” an SNV representative said.

According to statistics from the Ministry of Agriculture and Environment (MoAE), the agricultural sector emitted approximately 92.5 million tonnes of CO2 equivalent last year, accounting for 17.6 per cent of the country’s total GHG emissions. Specifically, rice cultivation alone contributed to about 75-80 per cent of the total methane emissions in the entire agricultural sector.

Vietnam launched the one million hectare low-emission rice initiative in 2023 across five localities. Initial results have shown that the model has helped reduce production costs by 8.2-24.2 per cent thanks to saving on seeds, fertilisers, pesticide sprays, and irrigation water.

The MoAE estimated that this rice cultivation model helps increase productivity by up to 7 per cent, farmers’ income by 12-50 per cent, and profits by $160-340 per hectare compared to traditional farming practices. The new model also assists in reducing 2-12 tonnes of CO2 equivalent per hectare.

According to World Bank estimates, the Mekong Delta project could reduce 10 million tonnes of carbon per year and fetch carbon credits worth $100 million annually, at an estimated $10 per credit.

However, only a few firms have ventured into this area. In June, Trung An High-Tech Farming, in partnership with the Vietnam Rice Industry Association, exported its first 500-tonne batch of low-emission of rice to Japan at a selling price of $820 per tonne, nearly double the typical price.

Pham Thai Binh, director of Trung An Hi-Tech Farming, said that the company has entered into a joint venture with Murase Group from Japan to collaborate on cultivating various high-quality rice varieties in the Mekong Delta region. In 2024, both parties continued to enhance their cooperation in growing many varieties of rice that meet the low-emission rice standards according as per the project. The first export batch is part of 20,000 tonnes recognised under the same label.

“After the success of the first batch, Trung An plans to export a second batch of 3,000 tonnes to the Japanese market. We are also preparing to export to Australia,” Binh said.

Truong Duy Hai, deputy general director of A An Food JSC., assessed that low-emission rice will be a consumption trend that individuals in the higher-income bracket will gravitate towards. Recognising the potential of these products, since 2024, the company has expanded rice cultivation areas linked to low-emission rice production through participation in the SNV’s first project, covering over 600ha. As of July 2025, the cultivation area has been expanded to more than 3,500ha.

“By changing farmers’ perceptions towards high-quality, sustainable rice cultivation, we are able to easily access high-end export market segments that demand superior product quality such as Japan, and Europe, aiming to bring the Vietnamese rice brand to discerning consumers in these challenging markets,” Hai said.

Vietnam has brought about 180,000ha of rice under high-quality, low-emission cultivation, marking key progress in its one-million-hectare plan, according to the MoAE.

The achievement strengthens prospects for international cooperation, particularly with Japan, which has already partnered with Vietnam on 14 projects and issued over 35,000 carbon credits under the Joint Crediting Mechanism (JCM).

In the next phase, the two countries aim to advance low-carbon agriculture, focusing on alternate wetting and drying techniques in rice farming to cut emissions and generate high-quality carbon credits.

Assoc. Prof. Nguyen Dinh Tho, deputy director of the Institute of Strategy and Policy on Agriculture and Environment under the MoAE said, “Scaling up low-emission rice cultivation through the JCM will boost farmer incomes, strengthen climate resilience, and highlight Vietnam’s role in building a green agriculture sector.”