Vietnam news in brief - June 17

Vietnam, Canada to boost defense ties

Vietnamese National Defense Minister Phan Van Giang and Canadian Ambassador to Vietnam Shawn Steil pledged to deepen bilateral defense ties at a meeting on June 17. They reaffirmed their commitments to the 2019 Memorandum of Understanding (MOU) and the 2024–2026 cooperation plan, which covers training, maritime security, the defense industry, UN peacekeeping, and war legacy remediation. Multilateral consultations will also be enhanced.

Vietnam parliament approves 2% VAT cut until end-2026

The National Assembly has approved a reduction in the VAT rate from 10% to 8% on select goods and services from July 1, 2025, to December 31, 2026. Key sectors excluded from the reduction include telecommunications, banking, insurance, securities, and real estate, as well as items subject to special consumption tax, since they are either VAT-exempt or not eligible under the new resolution.

Petrovietnam leads Vietnam in Fortune SEA 500

Petrovietnam, Vietnam’s state-owned energy giant, ranked 11th on the 2025 Fortune Southeast Asia 500 list. This places it ahead of all other Vietnamese companies and among the top five energy firms in the region. This marks Petrovietnam's first appearance on the list, highlighting its robust revenue, significant regional influence, and expanding role in global energy supply chains amidst evolving economic dynamics in Southeast Asia. This year, 76 Vietnamese companies made the list, with a combined revenue of over $161 billion and more than 1.1 million employees.

Vietnam’s pharmaceutical market projected to reach US$10 billion by 2026

Ho Chi Minh City will host the 23rd Vietnam Medipharm Expo from July 31 to August 2. The expo will feature 450 companies from 23 countries and 500 booths. Experts project that Vietnam’s pharmaceutical market will reach $10 billion by 2026, making it the second largest in Southeast Asia after Indonesia. This growth is driven by a growing population, rising incomes, and increasing demand for healthcare.

Vietjet expands wide-body fleet with new Rolls-Royce engine order

Vietjet ordered an additional 40 Trent 7000 engines from Rolls-Royce on June 16 to power 20 Airbus A330neo aircraft, bringing its total to 80. This agreement follows an earlier one signed at the 2024 Singapore Airshow. The airline also selected the TotalCare® maintenance program to support its strategy of expanding international long-haul routes and enhancing operational efficiency.

Thanh Hoa and Taiwan (China) increase tourism cooperation

The central Vietnamese province of Thanh Hoa hosted a tourism promotion event on June 16 to encourage travel between Vietnam and Taiwan. Taiwanese travel firms and media representatives explored local attractions and signed memoranda of understanding (MoUs) with Vietnamese partners. Both sides discussed product development, heritage preservation, and sustainable tourism. Thanh Hoa aims to increase its share of international tourists, which currently accounts for just 4.2%-4.7% of total arrivals to the province.

Vietnam to host Asian Schools Debating Championship 

For the first time, Vietnam will host the Asian Schools Debating Championship (ASDC) from June 15 to 18 at Phenikaa School in Hanoi. The event brings together 250 debaters and over 60 international judges from 11 countries, highlighting the growing popularity of academic debating in Vietnamese schools and showcasing the talent and potential of the nation’s young debaters on a regional stage.

World Cup 2026 TV rights in Vietnam priced at $14 million

FIFA’s partner is offering the broadcasting rights for the 2026 World Cup in Vietnam for $14 million (excluding tax). No local broadcaster has bid due to the high cost and tighter advertising budgets. To secure the rights and ensure public access to the world’s most-watched sporting event, experts suggest a coalition model among media outlets with potential support from the state or major firms.