What Should Vietnamese Businesses Do to Harness The US Shift to Vietnam?

“Vietnam and the U.S. agreed to upgrade their relationship from a Comprehensive Partnership to a Comprehensive Strategic Partnership for peace, cooperation, and sustainable development in September 2024. As of August 20, 2024, according to the Ministry of Planning and Investment, the U.S. ranked 11th among foreign investors in Vietnam with 1,286 projects and registered capital of nearly $12 billion. Apple has relocated 11 factories producing audio-visual devices to Vietnam; Intel has expanded its chip testing facility in Ho Chi Minh City, while Boeing, Google, and Walmart are planning to establish production facilities in the country. Additionally, major corporations such as Foxconn, Luxshare, Pegatron, and Wistron are scaling up their existing production bases in Vietnam.”

Such headlines have become increasingly common from 2018 to 2023, particularly after the U.S.-China trade war and the COVID-19 pandemic. The unprecedented surge in U.S. enterprises entering Vietnam signifies a shift in investment flows toward Vietnam and ASEAN countries. Factors like supportive foreign investment policies, strategic geographic location, stable economic growth, an open culture, and a highly skilled workforce are among the many reasons Vietnam is emerging as a key link in the global supply chain.

What Should Vietnamese Businesses, Especially in Manufacturing, Do to Seize This Golden Opportunity?

 

Develop Medium-Term Plans and Rapidly Adapt to Global Trends
Recent global upheavals are reshaping the international order. The rise of de-globalization, increasing protectionist policies, and new supply chain standards and regulations demand that Vietnamese businesses adapt. To meet the growing demands of foreign partners, Vietnam’s supporting industries are enhancing their capabilities to produce high-tech, precision products, thereby increasing value and catering to both domestic and export markets.

Pioneering the application of technology and continuous improvement is considered a key factor for sustainable competitive advantage. Over the years, to meet customers' increasing standards and target exports to developed markets, CNCTech has adhered to and met international standards such as ISO 9001, ISO 14001, RBA, UL, and TAPA. We have accelerated the adoption of technology, development of new products, and production optimization, focusing on areas such as CNC machining, high-precision casting, surface treatment, and automation. CNCTech has also partnered with Sky Light and MK to establish Pavana Technology Company, aiming to become Vietnam’s leading ODM smart camera manufacturer. Collaborations with Japanese firms to develop intelligent manufacturing management systems using machine learning further allow scalable applications for vertical industries, connecting Vietnamese manufacturers to elevate their positions in the global value chain.

 

Invest in Logistics and Infrastructure to Welcome “Big Eagles”
In the past three years, besides elevating its brand and providing high-quality products, CNCTech has consistently invested in large-scale, well-structured projects to position itself as Vietnam’s leading high-tech industrial manufacturer. In Q3 and Q4 of 2023, CNCTech intensified its collaboration with international partners to execute major projects like the Nam Binh Xuyen Industrial Park, the infrastructure development project in Hop Thinh Industrial Cluster (Tam Duong District), the Bac Giang International Logistics Center, and became the first Vietnamese enterprise to invest in Thang Long Industrial Park 2 (Hung Yen) under Sumitomo, Japan.

 

Prepare High-Quality Human Resources Capable of Adapting to U.S. Work Culture
Vietnam’s young and dynamic population is a significant advantage. A creative, energetic workforce proficient in English and other languages makes them highly effective in international business environments. Additionally, training in soft skills like teamwork and problem-solving, combined with inherent diligence and responsibility, helps them adapt well to foreign work cultures, particularly that of the U.S.

Unlike Vietnamese work culture, American businesses are direct in expressing their needs, openly share feedback, and expect suppliers to provide real-time updates on production progress and challenges. A strong work ethic is highly valued across all levels. Americans respect punctuality and professionalism, setting clear and detailed goals while preferring swift and effective problem-solving. Despite the significant time zone difference, addressing client needs promptly can win their loyalty.

 

 

Along with the trend of shifting production centers to Vietnam, the United States is a potential market that CNCTech is investing in and developing. On average, we welcome 10-15 companies from the U.S. each month to visit our factory, as well as dozens of companies connecting through marketing platforms such as our website, exhibitions, and hotlines. At CNCTech Group, the term 'Customer Obsession' is often mentioned. Obsession means placing the customer at the heart of everything, always standing in their shoes to take care of them and provide the best experience. Our workforce, from senior leadership to staff performing simple tasks, always strives to ensure customer satisfaction. It’s not about grand gestures or huge efforts; it’s as simple as the security guard greeting visitors with a bright smile and saying, 'Hello, Welcome to CNCTech,' or the driver’s cheerful 'Goodbye, See you later.' Our team is always ready to work late into the night to support and process orders, with our foreign-language proficient, passionate business staff handling the time zone difference, as the U.S. is 12-14 hours behind Vietnam. And of course, we can't forget the flexible responses of our highly skilled production team, who are dedicated and love their work, always willing to challenge themselves with new products in short timeframes to meet global standards.

We are confident and proud to serve and accompany our customers, leading the way in welcoming the manufacturing expansion wave in Vietnam!

Contact Us Today!

For more information or to request a quote, please reach out to us:
•    Email: hello@cnctech.vn
•    Phone: (+84) 868 209 111
•    Website: www.cnctech.com.vn

CNCTech – Precision Machining Solutions for a Global Market!