Chinese investors still moving to Vietnam, free of US tariffs for now, as Trump 2.0 looms

Cargo ships ply the Saigon River deep into the night, delivering materials to factory hubs near Ho Chi Minh City, Vietnam’s main financial centre.

The container vessels chug past newly built blocks of flats and glittery riverside bars teeming with market researchers, consultants and corporate lawyers abuzz about the growing number of foreign manufacturers who are hot on Vietnam. Above the river, plane after plane prepares to land at the city’s crowded airport on a normal Friday night.

Much of that activity services Chinese manufacturers looking to establish or expand bases in Vietnam. Their numbers have boomed since 2018, when Donald Trump first raised tariffs on Chinese imports.

“Vietnam is still benefiting from Trump 1.0, but we don’t know for how long,” said Winnie Lam, a business consultant based in Ho Chi Minh City, referring to Trump’s first term as United States president – from 2017 to 2021 – and the uncertainty about how his second term will affect world trade.

Jack Nguyen, CEO of ­professional services firm InCorp, said he helps one or two Chinese companies set up in Vietnam every week.