Johan Ndisi is Sweden’s Ambassador to Vietnam. Photo: Kristian Pohl/Government Offices of Sweden and Adobe Stock.

“This year, the target is 8 percent growth, and double-digit growth from next year onwards. The goal is to become an upper-middle-income country by 2030 and a high-income country by 2045,” says Johan Ndisi, Sweden’s Ambassador to Vietnam.  

According to Johan Ndisi, the Swedish engagement and support during the Vietnam War created a positive image of Sweden that Swedish companies can still benefit from today:  

“Sweden was the first Western country to establish diplomatic relations and we were the largest aid donor during the 1970s and 1980s, continuing up until 2013. This has contributed to an incredibly strong brand here, which we need to continue building on.” 

“Significant opportunities”

More than 70 Swedish companies across various sectors are currently established in the country – from ABB and AstraZeneca to Autoliv and H&M.  

“We’re seeing strong interest from even more companies looking to shift production to Vietnam or increase their sourcing from here,” says Oscar Staffas Edström, Head of Trade at the Embassy.  

In relation to GDP, Vietnam’s foreign trade is the third largest in the world after Singapore and Hong Kong. Sweden’s, so far, modest exports mainly consist of machinery and equipment for the manufacturing industry, as well as medical technology and pharmaceuticals. At the same time, many Swedish companies produce in Vietnam for the global market, which means these activities are not fully reflected in bilateral trade statistics.  

“There are significant opportunities in a country that’s growing and investing heavily in infrastructure, digitalisation, and the energy transition. We’re talking about mega-projects in hydropower, nuclear energy, electricity grids, 5G, airports, ports, highways, and railways. These are all areas where Swedish companies have advanced expertise and technology,” says Oscar Staffas Edström. 

Strong free trade nation

Financing is facilitated by the country’s public debt being around 36 percent of GDP. And for manufacturing companies, Vietnam offers a strong production base with modern industries and a young, well-educated population. Samsung, for example, manufactures its phones in the country. An additional key advantage is that Vietnam has one of the highest numbers of free trade agreements globally – including one with the EU.