The Next Wave of Startups (NWoS) Incubation Program 2026 was announced at the Founders’ Meetup #1 policy seminar in Ho Chi Minh City on July 31.

The event provided a comprehensive overview of Vietnam’s policies supporting startups and innovation, while offering practical guidance on how startups can effectively access resources across the innovation ecosystem.

According to Dinh Xuan Tu, acting director of the Technology Incubation Centre under the Department of Startups and Technology Enterprises at the Ministry of Science and Technology (MoST), developing a vibrant startup and innovation ecosystem, particularly technology spin-off enterprises, is increasingly important as science and technology, innovation, and digital transformation become key drivers of economic growth and national competitiveness.

“Under new resolutions and relevant directives, the Department of Startups and Technology Enterprises has led the formulation of key policies to foster innovation and technology enterprise development,” Tu said.

According to the MoST, Vietnam’s innovation startup ecosystem has made significant progress, with around 4,000 innovative startups, nearly 210 venture capital funds, close to 200 incubators, and approximately 1,000 enterprises certified as sci-tech businesses. In addition, more than 40 technology spin-offs have been established from research institutes, universities, and corporations.

However, from a public administration perspective, Tu noted that the number of technology spin-offs in Vietnam remains well below the country’s research and innovation potential.

“The commercialisation of research outcomes continues to face significant challenges. Limited access to capital, expert support, markets, and government support policies remains a major obstacle for many startups and technology spin-offs. These are also the issues that policymakers are working to address by refining mechanisms to create a more enabling environment for innovation and enterprise development in the years ahead,” he said.

Nguyen Dac Binh Minh, deputy director general of the National Academy for Advanced Techonogy and Innovation under the MoST, said Vietnam needs to foster a new entrepreneurial mindset, encouraging young people to seek employment after graduation and become founders and leaders of future technology enterprises and corporations.

According to Minh, the government is shifting from a regulatory mindset to a development-oriented, enabling approach that recognises businesses and innovation as key drivers of economic growth.

“Alongside the new legal framework, the government is introducing a range of policies to strengthen the innovation ecosystem. These include regulations on the National Venture Capital Fund, financial mechanisms for science, technology and innovation, public-private partnerships in sci-tech, technology market development, as well as policies to support startups and innovation networks,” Minh said.

Following its inaugural edition in 2025, the Next Wave of Startups initiative, launched by WorkFlow, the Open Innovation & Technopreneur Institute, and partners to support Vietnam’s and the region’s startup ecosystem, has entered a new phase with the launch of the NWoS Incubation Program 2026.

While the 2025 edition focused on identifying and selecting promising startups through a competition format, the 2026 programme marks a shift towards a comprehensive incubation model. The initiative is designed to support startups in refining their business models, expanding into new markets, and strengthening their long-term growth potential.

The 2025 NWoS offering attracted nearly 200 applications, bringing together almost 40 local and international experts and mentors, as well as more than 1,000 participants, including representatives from organisations, businesses, and international partners. These outcomes reflected the strong interest of the startup community while providing organisers with valuable insights into the evolving needs of Vietnamese startups as they move into their next stage of development.

As Vietnam’s innovation ecosystem continues to mature, an increasing number of startups have progressed beyond the ideation stage, with early products already in the market. They are now facing more complex challenges, including validating business models, acquiring enterprise customers, expanding into new markets, and preparing for fundraising rounds. In response, the programme has evolved into an incubation model focused on providing long-term, hands-on support, rather than limiting its role to identifying and selecting promising startups.

Private capital market shifts from growth-at-all-costs to patient capital As Vietnam’s private capital market matures, investors are shifting their focus from aggressive expansion to long-term, sustainable growth. At the VIPC Summit on May 28, Nguyen Thanh Thao, CEO of Thien Viet Securities (TVS) explained why ‘patient capital’ – capital focused on governance, operational resilience, and sustainable value – is becoming the new benchmark.

Capital concentrated in later-stage startups, leaving funding gaps for early ventures Capital remains available for Vietnam’s innovation economy, but it is becoming increasingly concentrated in later-stage companies, exposing critical funding and exit gaps that could constrain the next generation of startups.

The Ministry of Finance (MoF) has rolled out a series of tax, fee, and charge measures in 2026 to support businesses and individuals while promoting economic growth. Among the most significant measures is the extension of the 2 percentage-point reduction in VAT through the end of 2026.

In response to volatility in global energy markets, the MoF has also advised the government and the National Assembly to adopt a series of tax relief measures on petroleum products during 2026.

These included reductions in preferential import tariffs, environmental protection tax, VAT and special consumption tax (SCT) on petrol and oil products during appropriate periods, helping stabilise fuel supplies and curb rising energy prices.

Alongside these short-term measures, the MoF proposed amendments to several tax laws, which were adopted by the National Assembly on April 24 as Law No.09/2026/QH16.

The legislation raises the revenue threshold below which individual business operators are exempt from personal income tax, increases the VAT exemption threshold for household businesses and individual entrepreneurs, and extends the preferential SCT treatment for battery-powered vehicles carrying fewer than 24 passengers through the end of 2030.

The government has also issued regulations extending payment deadlines for VAT, corporate income tax, personal income tax and land rental fees in 2026, easing cash-flow pressures for businesses and household enterprises.

The coordinated implementation of tax and fee measures has received broad support from both the business community and the public, helping lower input costs, support production and business activities, create jobs, contain inflation and maintain macroeconomic stability.

According to data from the Tax Department under the Ministry of Finance, total tax reductions reached approximately $2.21 billion in the first six months of 2026.

Specifically, reducing the VAT rate from 10 per cent to 8 per cent allowed businesses to retain approximately $875.6 million. More importantly, operating cost pressures were substantially eased after the environmental protection tax on petrol and oil was reduced to zero per litre, providing support equivalent to approximately $1.07 billion.

In addition, the application of a zero per cent SCT on petrol reduced costs by a further $148 million, while the abolition of the business licence fee from the beginning of 2026 enabled small businesses and household enterprises to save approximately $116 million.

These figures underscore the effectiveness of the government’s policy approach, which contributed to GDP growth of 8.18 per cent in the first half of 2026.

They also reflect the government’s strategy of accepting lower short-term budget revenues to foster stronger long-term revenue generation.

Mac Quoc Anh, vice chairman and secretary general of the Hanoi Small and Medium-sized Enterprises (SMEs) Association, said Vietnam has introduced a series of tax measures in recent years to support SMEs, a key segment of the private sector that makes a significant contribution to economic growth and employment.

“Revised tax laws provide preferential tax rates for SMEs, particularly micro-enterprises and household businesses,” said Quoc Anh, “Tax exemptions, reductions, and payment deferrals have helped businesses maintain liquidity, secure cash flow for wages and raw materials, and support a return to growth.”

“They also encourage companies to invest in machinery, improve production processes, and move towards meeting environmental, social, and governance standards and advancing the green transition,” he added. “These are essential conditions for SMEs to scale up rapidly, develop sustainably, and integrate into global value chains.”

Bui Manh Toan, chairman and CEO of Vietnox JSC, said tax incentives are among the most important tools for helping SMEs accelerate growth while pursuing long-term sustainability.

“When tax burdens are reduced, businesses have greater resources to invest in production, technological innovation, product quality improvements, and market expansion,” he said. “However, tax and fee incentives should be complemented by broader support measures, including improved access to finance and stronger corporate governance capabilities. Such a comprehensive policy framework will help SMEs achieve stable and sustainable long-term growth.”

Tax incentives set to accelerate EV adoption and curb pollution Vietnam is moving to extend tax breaks for electric vehicles, aiming to accelerate adoption, cut emissions and support industry growth as the country pushes forward with its green transition agenda.

VCCI agrees with proposal to extend tax incentives for EVs The Vietnam Chamber of Commerce and Industry agrees with the Ministry of Finance’s proposal to extend the special consumption tax on motor vehicles under 24 seats powered by batteries.

Vietnam grants tax incentives for long-term fund investors Investors holding open-ended fund certificates for more than two years have become eligible for capital gains tax exemptions from July 1, while the tax on investment income from funds has been halved under Vietnam’s revised Personal Income Tax Law.

As Vietnam continues to accelerate the development of industrial facilities and infrastructure, particularly large-scale projects such as airports, industrial complexes, and logistics centres, the approach to design and project delivery is undergoing a significant transformation.

Whereas steel structures were once regarded primarily as a technical solution during construction, they have now evolved into a key element of the overall design process, influencing spatial planning, structural systems, and project execution strategies from the earliest stages.

In response to this trend, BMB Steel – a global steel structure contractor serving industrial, commercial and infrastructure projects – goes beyond providing steel structure solutions by working alongside project owners and design consultants from the outset of a project.

Na Duong II Thermal Power Plant Project

Early coordination among architectural, structural, and construction teams helps optimise space utilisation, shorten project schedules, and reduce design changes during construction.

Drawing on extensive experience delivering large-scale industrial and infrastructure projects, BMB Steel provides effective structural solutions that meet the demands of faster project delivery, future expansion, and long-term operational performance.

Several projects undertaken by BMB Steel, particularly in the heavy industrial sector, reflect the evolving approach to collaboration among project stakeholders.

At the Na Duong II Thermal Power Plant in northern mountainous province of Lang Son, BMB Steel delivered approximately 3,800 tonnes of structural steel for the turbine building, coal storage facility, and auxiliary structures across a 7.4-hectare site.

The project required close coordination between design, fabrication, and construction to ensure seamless execution and overall schedule alignment. As a large-scale industrial facility, it required a high level of precision, as even minor deviations during design or construction could affect the entire project’s progress.

Building on its involvement in large-scale energy projects, BMB Steel also delivered approximately 5,000 tonnes of structural steel for the Quang Trach I Thermal Power Plant in Quang Binh province.

The project involved a substantial structural steel scope and required rigorous quality control throughout every stage, from fabrication to erection, while ensuring the timely delivery of one of Vietnam’s key national energy infrastructure projects.

Alongside its project delivery capabilities, BMB Steel has developed an integrated approach that combines design, fabrication, and construction.

Steel components are fabricated at the company’s manufacturing facilities under a standardised quality control process before being delivered to the construction site.

This approach helps minimise discrepancies between design and on-site execution while improving schedule control for large-scale projects.

BMB Steel’s steel structure fabrication plant with integrated quality control

The demanding schedules of today’s industrial and infrastructure developments are also raising expectations for steel structure contractors.

Their role now extends beyond construction alone, with companies such as BMB Steel becoming increasingly involved in optimising technical solutions from the earliest stages of a project, particularly for complex developments where efficient coordination and technical expertise are essential to successful project delivery.

Overall, the evolving approach to industrial and infrastructure development is increasingly blurring the boundaries between design and construction.

In this context, structural steel is no longer viewed solely as a technical solution during the construction phase but has become an integral part of project planning from the earliest stages of development.

Practical experience gained from projects such as the Na Duong II Thermal Power Plant and the Quang Trach I Thermal Power Plant highlights BMB Steel’s increasingly important role in the modern construction value chain, particularly in delivering large-scale industrial and infrastructure projects.

Minh Cuong mct JSC A steel structure and construction pioneer that builds in trust As a pioneer in Vietnamese pre-engineered steel building and industrial construction for 25 years, Minh Cuong Mechanics-Construction-Trading JSC is a prestigious high-tech provider of steel structure solutions for both foreign and local partners at home and abroad.

THACO raises the bar for steel industry THACO Industries has significantly intensified its investment in steel structures and Mechanical, Electrical, and Plumbing (MEP) systems, aiming to become the top general contractor in Vietnam.

ATAD Steel Structure Corporation honoured at Manufacturing Asia Awards ATAD Steel Structure Corporation was named the winner of the Vietnam Excellence Award – Steel at the Manufacturing Asia Awards 2025 on November 18 at the Marina Bay Sands Expo and Convention Centre in Singapore.

The global rice market experienced significant volatility in 2025 after India completely lifted its export restrictions, leading to a rapid increase in supply and putting downward pressure on global rice prices.

Meanwhile, Thailand recorded a sharp decline in rice exports, while Vietnam faced a double challenge from India’s price competition and tighter import policies in several overseas markets.

Entering 2026, the rice industry continues to operate in an intensely competitive environment.

Vietnam maintained strong rice export volumes in the first half of 2026, but export earnings declined amid intensifying global competition

According to the Ministry of Agriculture and Environment, Vietnam exported approximately 5.2 million tonnes of rice in the first six months of the year, generating $2.38 billion in export revenue, up 9.9 per cent in volume but down 2.5 per cent in value from a year earlier.

The figures highlight a familiar reality for the rice industry: companies may increase sales volumes, but profitability does not necessarily improve in tandem because of lower selling prices, higher logistics and financing costs, and intense international competition.

Nevertheless, many companies are pursuing new strategies to increase value-added products.

For instance, Vietnam National Seed Group (NSC), whose two main businesses are seed production and rice exports, is expanding into markets including China and the United States while developing high-quality raw material areas to support exports to Japan.

According to the company’s management, its strategy has shifted away from simply increasing output toward developing premium rice varieties, applying advanced technology and building brand recognition to enhance product value.

For 2026, Vinaseed targets revenue of $114 million, up 24 per cent from the previous year, and pre-tax profit of $12.6 million, representing growth of 14 per cent, while still factoring in weather-related risks that could affect crop yields.

Similarly, Trung An High-Tech Farming JSC (TAR) continues to pursue a strategy focused on premium-quality and low-emission rice.

The company is participating in the development of around 20,000 hectares of raw material areas in the Long Xuyen Quadrangle, while restructuring its finances by working with banks to refinance outstanding loans and divesting stakes in several subsidiaries to reduce interest expenses.

Even so, Trung An’s earnings target remains modest. In 2026, the company aims to generate consolidated revenue of $140 million and after-tax profit of just $480,000, reflecting the structurally thin profit margins typical of the industry.

Despite stronger export performance, rice stocks have remained largely subdued on the stock market.

Currently, only ticker NSC continues to trade above par value, while TAR, LTG, AGM and FCS are all trading below par.

Ticker LTG of Loc Troi Group JSC has been placed under warning status and is subject to trading restrictions after the company failed to publish its audited financial statements for 2024 and 2025.

Valuations also remain depressed. TAR is trading at a price-to-book (P/B) ratio of around 0.21 times, while LTG has a P/B ratio of 0.24 times and a price-to-earnings (P/E) ratio of approximately 2.87 times. NSC is trading at a P/B ratio of 0.82 times and a P/E ratio of 5.66 times.

However, low valuations alone have not been sufficient to attract investors, who remain concerned about earnings prospects and the financial health of the companies.

Beyond the prolonged losses at An Giang Import-Export JSC (ticker AGM), Loc Troi Group has become a prime example of the challenges facing the industry. Once one of Vietnam’s leading rice exporters, the company has endured two years of financial, debt and corporate governance difficulties.

At its extraordinary general meeting of shareholders on May 11, the management said the company was implementing a restructuring programme, working with two lenders TPBank and MB to restructure outstanding loans, while securing a credit facility of around $60 million to supplement working capital.

Loc Troi aims to complete its audited financial statements in the third quarter of 2026 after appointing a new external auditor.

Meanwhile, Trung An is also addressing outstanding legal issues while restructuring its operations and capital structure.

The company believes its recovery prospects will improve in 2026, supported by its premium rice export business.

However, the management acknowledged that the restructuring process will require more time before its benefits are reflected in financial results.

Even companies with relatively stable operations continue to demonstrate the industry’s structurally thin margins.

Ho Chi Minh City Food JSC generated revenue of more than $13.1 million in 2025, but reported after-tax profit of only about $9,200.

For 2026, the company targets revenue of nearly $15.6 million, while its after-tax profit target is only $8,200. exchange rate fluctuations, interest rates, funding costs and credit policies are expected to remain key factors affecting business performance.

According to analysts, rice stocks are highly cyclical, with performance heavily influenced by global agricultural commodity prices, export policies, weather conditions and climate change. At the same time, the industry’s thin profit margins make it difficult for companies to deliver substantial earnings growth even when export volumes are strong.

Over the longer term, the sector’s growth prospects lie in the development of premium-quality rice, low-emission rice and stronger brand positioning in high-value export markets.

However, for rice stocks to become more attractive, investors will need to see meaningful improvements in profitability, cash flow and corporate governance, rather than relying solely on export volume growth.

Rice stocks not a cause for concern Despite growing complexities of disease and salt intrusion, Vietnam has enough rice for both exports and domestic consumption.

10 companies honoured for efforts to expand sustainable rice farming The Netherlands Development Organisation SNV in Vietnam, on May 19, organised the Award Ceremony for the Summer–Autumn Season of 2025 to recognise 10 companies demonstrating outstanding performance in partnering with smallholder farmers on sustainable rice farming practices.

Vietnam rice exports to recover on high-quality demand Following a decline at the beginning of the year, Vietnam’s rice exports are expected to recover thanks to increased import demand and a consumer trend favouring high-quality rice.

Rize raises $31 million to accelerate sustainable rice farming in Vietnam and Southeast Asia On July 16, Rize, Southeast Asia’s leading sustainable rice platform, announced the close of a $31 million Series B funding round, comprising $20 million in equity and $11 million in debt financing.

On July 10, VinFast announced that it had delivered 17,955 electric vehicles (EVs) to customers in Vietnam in June, bringing its total sales in the first six months of 2026 to 115,916 units, up 72 per cent compared to the same period in 2025. It also marked the first time a carmaker in Vietnam has surpassed the milestone of 100,000 vehicles sold within the first half of a calendar year.

The announcement came as Vietnam Automobile Manufacturers’ Association (VAMA) released its June sales report, highlighting notable shifts in the domestic automotive market.

According to VAMA, its member companies sold 31,104 vehicles in June, up 4 per cent from the previous month but down 2.7 per cent on-year. In the first six months of the year, total sales reached 149,761 units, representing a 15 per cent increase compared to the same period of 2025, reflecting the continued recovery of Vietnam’s automotive market.

Against this backdrop, VinFast’s growth significantly outpaced the broader market. The company’s first-half sales alone were equivalent to approximately 77 per cent of the combined sales volume of all VAMA members during the same period, underscoring the rapidly expanding scale of Vietnam’s domestic EV manufacturer in the local market.

The momentum is also becoming increasingly evident in the passenger car segment, traditionally the most competitive area of the market. VAMA members recorded passenger vehicle sales of 100,321 units in the first six months, driven primarily by multipurpose vehicles and sport utility vehicles.

Meanwhile, VinFast’s growth has been supported by a broad product portfolio spanning multiple market segments. The VF3 led the lineup with 3,550 deliveries in June and cumulative sales of 23,781 units in the first half. The VF5 followed with 3,364 units delivered in June and 20,167 units sold during the first six months. The VF 6 and VF 7 also posted cumulative sales of 14,045 units and 6,849 units, respectively, further expanding the presence of EVs across mainstream market segments.

Against this backdrop, competition in Vietnam’s automotive market is expected to intensify further in the second half of the year. VinFast is preparing to launch the VF2 at the beginning of the third quarter with a starting price of approximately $7,200, while accepting early reservations from July 15-17 and continuing to offer direct price incentives. These moves are expected to increase competitive pressure on conventional internal combustion engine vehicles.

Nevertheless, the market’s transition towards electrification continues to face concerns among consumers, particularly regarding charging infrastructure, battery technology, inspection standards, as well as testing procedures and vehicle safety assurance.

Kazuhiro Takezawa, general director of Hioki Electric Vietnam said that since EVs and charging infrastructure began expanding rapidly, regulations and requirements related to battery safety and charging systems have received increasing attention in many countries, not only in Vietnam. This has become an important topic of close discussion between governments and businesses as part of the broader effort towards sustainable transportation and carbon neutrality.

Takezawa asserted that the Vietnamese market is moving fast, with the national charging network has expanded to more than 150,000 ports for cars and motorbikes across all 34 provinces. At the same time, draft national technical regulations, expected to come into effect this year, aim to enforce safety and interoperability in line with international standards.

“Although standards and regulations are still being further developed, inspection and maintenance activities for EVs and EV batteries have already been widely implemented in many advanced markets. Hioki’s EV maintenance and lithium-ion battery testing solutions are also being adopted across several leading EV and battery markets worldwide,” Takezawa said.

“Our solutions, including battery testers, power analysers, and insulation resistance testers, enable manufacturers, service centres, and fleet operators to assess battery health non-destructively, detect degradation early, and verify the power efficiency of charging systems before issues escalate into failures. Ultimately, the value of testing equipment lies in its ability to identify problems before they become incidents.”

According to Takezawa, as EVs become increasingly common and gradually evolve into a primary mode of transportation in major cities such as Hanoi and Ho Chi Minh City, demand for safety inspection, battery condition assessment, and system maintenance will continue to grow significantly.

“A battery failure event, whether during charging, discharge, or storage, carries safety risks but also serious reputational consequences for manufacturers, operators, and the broader EV ecosystem. As the regulatory environment becomes stricter, the need for certified, accurate testing equipment becomes even more critical. We see the tightening of standards in Vietnam not as a compliance burden, but as a positive development, one that raises the bar for the entire market and rewards those who invest in proper measurement and verification,” he said. “This will be a key factor in strengthening market confidence and accelerating the adoption of clean energy vehicles in the years ahead.”

Hioki Electric Vietnam believes Vietnam has strong potential to become one of the region’s key manufacturing hubs for batteries and electrification equipment, particularly as its industrial infrastructure, supply chain ecosystem, and technical capabilities continue to evolve in the coming years.

“Vietnam also holds reserves of manganese, rare earths, and aluminium, key inputs in battery cell production, which could, over time, support a more integrated domestic supply chain rather than one that relies predominantly on imported materials,” said Takezawa. “Vietnam’s trajectory as an electrification hub directly expands the relevance and demand for our battery testing and measurement solutions. Whether it is a cell manufacturer validating production quality, a charging infrastructure operator verifying safety compliance, or a renewable energy project integrating battery storage, each of these growth scenarios creates a clear and measurable need for what we do. We are not observing this trend from the outside, we are actively positioning our technical capabilities in Vietnam to grow alongside it.”

VinFast posts $920 million revenue in Q1 In the first quarter of 2026, VinFast recorded revenues of $920.7 million, an increase of 41.7 per cent from the same period last year.

Green SM enters Central Asia with all-electric ride-hailing launch in Kazakhstan Green SM has officially launched its all-electric ride-hailing service in Kazakhstan, marking the company’s first operational presence in the Central Asian market.