Assessing bilateral economic and investment relations, Müller, who is an OAV representative at the Asia-Pacific Committee of German Business (APA), noted that ties have expanded and deepened considerably in recent years. He said German businesses have recognised Viet Nam’s strong growth momentum and high economic targets, and are eager to engage in this upward trajectory.
In 2024, bilateral trade reached 18.8 billion EUR, making Viet Nam Germany’s most important trading partner in the Association of Southeast Asian Nations (ASEAN) and its sixth-largest partner in Asia. Notably, Viet Nam’s exports to Germany rose more sharply than German exports to Viet Nam, which Müller considered an early outcome of supply chain diversification.
Investment has also continued to rise, driven by the expansion of German firms in Asia to serve both Viet Nam’s dynamic domestic market and neighbouring growing markets. The expert stressed that the imminent ratification of the EU – Viet Nam Investment Protection Agreement (EVIPA) could provide fresh impetus by enhancing legal certainty for investors. Joint efforts by the two governments to strengthen political cooperation are also creating a more favourable environment for economic relations.
He highlighted Viet Nam’s efforts to improve its business and investment climate, noting that compared with many Asian markets, Viet Nam offers flexibility, reliability and political stability – the qualities highly valued by German enterprises.
However, challenges remain, including lengthy licensing procedures, a complex and at times opaque legal system, corruption, infrastructure limitations, shortages of skilled labourers, and the need to meet higher sustainability standards in supply chains.
Against the backdrop of global economic uncertainties, Müller underlined that both governments and businesses have a shared interest in intensifying bilateral cooperation to foster stability and predictability. He expressed his confidence that German investment in Viet Nam will continue to increase, and as Viet Nam advances up the economic value chain, opportunities will emerge for more high-tech cooperation and even reverse investment flows from Vietnamese companies to Germany.
According to the expert, Viet Nam presents strong opportunities for OAV members in sectors such as manufacturing (particularly automation), infrastructure and transport, renewable energy, supply operations, healthcare, human resource development, agriculture and food processing.
To further attract German and European investors, he recommended the Southeast Asian nation to continue to professionalise its macroeconomic framework, upgrade infrastructure and logistics networks beyond Ha Noi and Ho Chi Minh City, and develop a workforce capable of meeting higher value-added requirements.
Administrative reform is another priority, with the creation of a consistent, transparent regulatory environment and the comprehensive digitalisation of licensing processes seen as particularly pressing. He also suggested Viet Nam consider opening additional sectors, including strategic ones, to foreign investment.
Overall, Müller concluded, Viet Nam should gradually increase the domestic value-added share in its economy. This would both maximise domestic development potential and reduce exposure to increasingly unpredictable global trade amid rising geopolitical tensions. In this process, German enterprises can remain reliable and sustainable partners for Viet Nam.
