The maritime transport economy and shipbuilding industry are among the most influential sectors in the Marine Economic Development Strategy of any maritime nation. Recognising this, the Party, Government, and relevant ministries have carried out numerous solutions and action plans in recent years to accelerate the development of Vietnam’s shipbuilding industry.
Great potential
At a workshop themed "Green transition in maritime and offshore wind energy – Development potential in Vietnam", on March 6, 2025, within the framework of the Vietship 2025, Dr Pham Hoai Chung, Chairman of the Members' Council of Shipbuilding Industry Corporation (SBIC), highlighted that the shipbuilding industry is a sector that creates market opportunities for various other industries in the national economy. Vietnam has nearly 90 shipbuilding enterprises and more than 400 facilities specialising in constructing inland waterway vessels.
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Dr Pham Hoai Chung, Chairman of the Members' Council of Shipbuilding Industry Corporation. |
Vietnam possesses a nationwide network of shipbuilding and repair facilities with diverse production capabilities, catering to domestic and international markets. State-owned enterprises such as SBIC and PVN, along with several foreign-invested shipyards, handle the majority of shipbuilding demands.
The country’s new shipbuilding capacity has reached approximately 3.5 million DWT annually (excluding Hyundai Vietnam Joint Venture). Despite these advantages, Vietnam's shipbuilding sector still lags behind major global shipbuilding nations, particularly in technology, production capacity, and competitiveness.
According to Dr Pham Hoai Chung, Vietnam's shipbuilding industry offers diverse, high-quality products, meeting domestic and international market demands. Vietnamese shipbuilding enterprises have successfully built large-capacity vessels, specialised ships, and high-tech ships.
Beyond the domestic market, Vietnamese shipbuilders have also integrated into the global market. However, the industry's export market share remains limited. Productivity and competitiveness are not yet high due to the lack of a supporting industry and the inability to fully master technical and technological design processes.
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Song Cam Shipbuilding Company is engaged in shipbuilding for export. |
The shipbuilding industry has been identified by the Party and the State as a key mechanical engineering sector, playing a crucial role in the country’s industrial development framework. Since its establishment in 1996, with the Vietnam Shipbuilding Industry Corporation (SBIC) as its core pillar, Vietnam's initial shipbuilding capacity was limited to vessels under 3,000 DWT.
After more than 20 years of development, Vietnam has successfully built various types of transport vessels, including bulk carriers up to 65,000 DWT, container ships (1,800 TEUs), floating storage units (FSO 150,000 DWT), car carriers (4,900 vehicles), oil tankers (104,000 DWT), and chemical tankers (13,000 DWT).
Under Decision No. 1224/QD-TTg, issued by the Prime Minister on July 26, 2013, the SBIC was restructured to retain only eight subsidiaries which are concentrated in three regions: the north (five companies), the central (one company) and the south (two companies) as well as shipyards including Nam Trieu, Ben Thuy, Nha Trang, 76, and Can Tho. Following the restructuring, the SBIC remains a major shipbuilding and repair complex, operating 25 slipways and dry docks, capable of launching vessels ranging from 5,000 to 80,000 DWT.
Green transition trends in shipbuilding
Experts assess that Vietnam's long coastline and strategic geographic location, situated at the heart of international maritime routes connecting the Pacific and Indian Oceans, provide favourable conditions for developing the maritime transport and shipbuilding industries, serving both domestic and export markets.
The Vietnamese Government has introduced multiple supportive policies to foster the growth of the shipbuilding industry. These include promoting international partnerships, encouraging infrastructure investment, and supporting technological modernisation.
Foreign investment in Vietnam’s shipbuilding industry is on the rise, especially from countries with advanced technology. This creates opportunities for knowledge exchange, technology transfer, and capacity building for domestic shipbuilding enterprises through collaboration and innovation.
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At Nam Trieu Shipyard, workers are assembling and connecting ship sections during the vessel construction process. |
As of December 2024, the number of registered seagoing vessels in Vietnam’s National Ship Registration Book reached 1,490 ships, with a total tonnage of approximately 11.367 million tonnes. The average age of Vietnam’s transport fleet is 17.4 years, highlighting the urgent need for a new generation of modern ships to replace the aging fleet.
The International Maritime Organisation (IMO) has mandated the transition to clean energy under COP26 regulations, serving as a key catalyst for the future growth of the shipbuilding industry.
Vietnam aims to restructure and expand its national fleet to 1,600–1,750 ships by 2030, with a total tonnage of 17–18 million tonnes to support maritime economic development. In particular, the shipping fleet is expected at about 1,200 ships with a total tonnage of about 13-14 million tonnes.
Vietnam's maritime sector is projected to require 4–5 million DWT of newly built and replacement vessels from now until 2030, covering new ship construction and fleet renewal.
The global shipbuilding industry has experienced strong growth in recent years, driven by trends toward modernisation, larger vessel tonnage, and increasing demand for green technology and clean fuel ships.
Vietnam’s shipbuilding industry benefits from favourable macroeconomic conditions and global market trends, providing opportunities for growth and development.
However, maritime and shipbuilding experts recognise that the industry has primarily expanded in scale rather than depth, with heavy reliance on assembly and subcontracting rather than high-value-added production. This limits the industry's ability to compete internationally in technology and innovation.
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A booth at Vietship 2025 |
In addition, most shipyards were built long ago with non-synchronised capacity and outdated technology. Limited investment capital has hindered technological upgrades, affecting competitiveness in the global market.
Vietnam lacks essential industries such as metallurgy and machinery manufacturing, forcing shipbuilders to import most key materials.
Vietnam is an attractive destination for global shipbuilding investments, with significant market potential. To strengthen competitiveness in the international economic integration process, experts agree on key priorities including leveraging global shifts from Europe and North America to Asia as well as existing advantages to boost the country’s shipbuilding industry. Shipbuilding is a capital-intensive heavy industry that requires infrastructure investment. Therefore, Government policies and supportive mechanisms from ministries are crucial to its growth.
Enterprises should actively partner with European shipbuilders for capital investment and technology transfer. The development of supporting industries is an important factor ensuring the rapid and sustainable development of the shipbuilding industry.
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Deputy Minister of Construction Nguyen Xuan Sang. |
According to Deputy Minister of Construction Nguyen Xuan Sang, Vietnam aims for 8% economic growth this year, requiring key industries such as maritime and shipbuilding to play a pivotal role.
To support this, Vietnam is implementing its COP26 commitment to net-zero emissions, while SBIC (Shipbuilding Industry Corporation) is undergoing a comprehensive restructuring as directed by the Party and Government. This initiative aims to eliminate debt burdens and revive Vietnam’s shipbuilding industry from within the SBIC.
