Vietnam’s economy delivered a powerhouse performance in 2025, recording a full-year GDP growth of 8.02%.

The official figures, released by the General Statistics Office on January 5, confirm the nation as Southeast Asia’s fastest-growing economy and a critical "anchor" of stability in a fragmented global trade landscape.

The result marks the second-highest growth rate for the country in the 2011–2025 period, propelled by a dramatic surge in the fourth quarter when growth reached 8.46% year on year. This year-end acceleration allowed Vietnam to exceed its revised national targets despite a volatile global landscape characterized by shifting US trade policies and the implementation of reciprocal tariffs mid-year.

US$5,000 watershed

For global institutional investors, the most significant milestone is the rise in GDP per capita to US$5,026, up from US$4,700 in 2024. Crossing the US$5,000 mark is a structural turning point, officially transitioning Vietnam into the ranks of upper-middle-income economies.

With the national economy now valued at US$514 billion, the surge in per capita wealth signals the birth of a powerhouse domestic consumer market, moving the nation from a low-cost production base into a tier-one destination for retail and financial services.

Manufacturing remained the primary engine of growth, with the processing and industrial sector expanding by 9.97%, its strongest pace since 2019. This performance suggests that the “China plus one” supply-chain migration has reached a permanent structural phase, as Vietnam absorbs a larger share of global electronics and semiconductor production.

The services sector followed closely with an 8.62% increase, fuelled by a landmark year for international tourism and a 12% surge in retail sales. Simultaneously, the agriculture, forestry and fishery sectors demonstrated remarkable resilience, providing a stable economic foundation with 3.84% growth, despite being battered by severe weather events in the latter half of the year.

Strategic momentum for 2026

Vietnam is entering 2026 with a massive infrastructure tailwind following the simultaneous launch and inauguration of 234 key national projects on December 19 2025, a milestone event involving over US$130 billion in capital that aims to sustain its growth trajectory,  However, the government has now set an even bolder path.

For 2026, the Vietnamese National Assembly has approved a total social investment target of nearly US$189 billion to drive a double-digit growth target and a total digital overhaul of the state apparatus.

As global manufacturing continues its southward shift, the 2025 data solidifies Vietnam’s position, not just as an alternative production site, but as an indispensable anchor of the global economic order.