Hai Phong Industry: From rapid to sustainable growth

Hai Phong has been a bright spot in industry for many years, but international fluctuations and internal limitations are requiring industry to move from "rapid growth" to "steady growth".

Positive growth but below expectations

According to the October 2025 report of the Hai Phong Department of Industry and Trade, the industrial production index (IIP) increased by 12.78% over the same period, lower than the 20% increase in the scenario. In the first 10 months, the IIP increased by 15.02%, almost reaching the target of 16.8% but still lacking a breakthrough. Growth was uneven as the processing and manufacturing industry increased by 16.61% but mining decreased by 20.64%, electricity and gas production and distribution decreased by 4.58%.

Hai Phong City considers growth quality and supporting industry capacity as the foundation for long-term breakthroughs.

International impacts are a major bottleneck. The fluctuation of tariffs on Vietnamese goods and goods transiting through Vietnam has forced many FDI enterprises in Hai Phong City, the main contributors to the industry, to adjust their production plans and delay export schedules. Decreased global consumer demand and rising logistics costs continue to put pressure on key export industries.

In the country, although new industrial projects have been put into operation, they are still in the early stages, so their contribution to growth is not significant. Although heavily invested in industrial park and cluster infrastructure, it still needs time to synchronize with logistics, ancillary services, and especially highly skilled human resources.

Assessing the growth trend of Hai Phong, Mr. Chu Viet Cuong, Acting Director of the Center for Industrial Development Support, Ministry of Industry and Trade, emphasized: "The fluctuating world economy forces Vietnamese localities and enterprises to upgrade production capacity, reduce market dependence, and especially strongly develop supporting industries. Supporting industries are not just "support", but are the foundation for national industry to develop independently and autonomously."

Mr. Chu Viet Cuong, Acting Director of the Center for Industrial Development Support (Ministry of Industry and Trade) propagates policies to support businesses in Hai Phong

Mr. Chu Viet Cuong also highlighted new points in Decree 205/2025/ND-CP amending Decree 111/2015/ND-CP, with a series of strong incentives for enterprises producing components, spare parts, and materials in the priority list: Support up to 70% of training - testing - technology transfer costs, support for investment in machinery, software, inventions, tax incentives, land and access to the National Technology Innovation Fund.

According to Mr. Chu Viet Cuong, this is an important "policy weapon" for Hai Phong enterprises to increase their internal strength, increase their resilience and participate deeply in the global supply chain.

Enterprises need to proactively approach policies and invest in technology.

Recently, at the conference "Propaganda and dissemination of legal policies on supporting industry", more than 120 enterprises in Hai Phong City raised many problems regarding preferential procedures, access to capital, registration of priority supporting industry products...

Mr. Le Ngoc Lan, Deputy Director of Hai Phong Department of Industry and Trade, said that businesses must be more proactive in approaching policies and investing in technology.

Mr. Le Ngoc Lan, Deputy Director of the Hai Phong Department of Industry and Trade, frankly stated: “The localization rate of Hai Phong has improved, textile and footwear products reach 45-50%, mechanical engineering over 30%. But to improve competitiveness, businesses must be more proactive in approaching policies, investing in technology and standardizing processes.”

Mr. Le Ngoc Lan also said that although Hai Phong has issued a program to develop supporting industries until 2025, with a vision to 2030, with a budget of more than 1.9 billion VND, the implementation efficiency is still limited; businesses lack information and lack a specialized department to exploit policies.

A survey by JETRO once showed that Vietnamese enterprises only meet about 10% of domestic support industry demand, a figure that shows great potential but also exposes limitations in technology, productivity and connectivity.

Mr. Nguyen Quoc Huy, Head of Industrial Management Department, Hai Phong Department of Industry and Trade, introduced preferential policies for supporting industry enterprises.

Mr. Nguyen Quoc Huy, Head of the Industrial Management Department, Hai Phong Department of Industry and Trade, said that to achieve the goal of supporting industrial products meeting over 70% of the city's needs by 2030, Hai Phong must strongly develop local supporting industrial enterprises; connect more deeply with FDI corporations; and shift from growth based on production quantity to growth based on technology, productivity and added value.

“Key industrial projects, new infrastructure and synchronized industrial zones and clusters will create new growth space. However, businesses must proactively propose appropriate tasks to avoid wasting budget resources and ensure policies reach the right addresses,” Mr. Huy emphasized.

Regarding businesses that need transparency and simplified procedures, Mr. Cao Chi Cuoi, Chairman of the Board of Directors of CNC Gia Nghia Production and Trade Joint Stock Company (Hai Phong) shared: The procedures for registering priority supporting industrial products are still complicated, there is a lack of guidance on legal documents, preferential capital sources have not reached the right small and medium-sized enterprises, and there is a lack of information on input standards of FDI corporations.

Enterprises in Hai Phong expressed difficulties and wished to receive support from the Ministry of Industry and Trade and the Hai Phong Department of Industry and Trade, especially for small and medium enterprises.

“Enterprises hope that the Ministry of Industry and Trade and the Hai Phong Department of Industry and Trade will expand one-on-one consultation, provide standard documents, increase supply-demand connections and build an “open database” on technical standards of FDI enterprises in Hai Phong,” said Mr. Cao Chi Cuoi.

The fact that IIP has not reached the growth scenario is not a bad sign. This is a reminder that Hai Phong must strengthen the sustainability of growth, not depend on expanding FDI output but create a strong supporting industrial foundation, increase the capacity of self-sufficiency in the supply chain. When the infrastructure is synchronized, supporting industry develops in the right direction and the growth target shifts from "quantity" to "quality", Hai Phong can completely continue to affirm its position as the leading industrial - logistics center in the country.

According to the leader of the Hai Phong Department of Industry and Trade, the key solution for Hai Phong to grow sustainably and strongly develop high-quality supporting industries in the coming time is to focus on electronic components, industrial equipment, auto parts, and areas where Hai Phong has advantages in accessing FDI. Increase the capacity of domestic enterprises; prioritize production management training, digital transformation consulting, testing - inspection, R&D; take advantage of the 70% support policy from Decree 205/2025. Improve logistics infrastructure and industrial parks; accelerate the development of the logistics ecosystem - seaports - cold storage - ancillary services to reduce costs and increase competitiveness. Diversify export markets; reduce dependence on the US - EU; take advantage of CPTPP, EVFTA, RCEP to expand to Japan, Canada, Australia, the Middle East, and South Asia.

Source: https://congthuong.vn/cong-nghiep-hai-phong-tu-tang-truong-nhanh-den-ben-vung-430847.html