Vietnamese businesses reach international standards.

ANTD.VN - The successful listing on the US Nasdaq stock exchange not only opens up access to the world's largest capital market and a crucial direction for the development of VinFast electric vehicle company, but also encourages, inspires, and opens up many opportunities for Vietnamese brands to rise to the international level.

Vietnamese businesses reaching international standards (image 1)

VinFast is one of the pioneering Vietnamese brands that has reached global prominence.

From the "inspiring story" of VinFast

Shares of VinFast Manufacturing and Trading Company Limited (VFS) continue their upward trend following their debut on the Nasdaq Global Select Market in New York City on August 15th (Vietnam time). In the most recent trading session on August 28th (New York time), VFS reached a new high of $93 per share. Despite a subsequent correction, the Vietnamese electric car manufacturer's stock closed the session at $82.35 per share, up nearly 20% from the start of the day and almost four times its initial price of $22 per share. The total trading volume for VFS reached 12.62 million units with a total transaction value exceeding $1 billion.

At that price, VinFast's market capitalization reached $191 billion, closely trailing Toyota in second place and behind Tesla; far surpassing numerous other globally renowned car brands such as Porsche, Mercedes-Benz, and BMW. Along with the consecutive days of rising VFS shares on the Nasdaq exchange, on the Forbes ranking, billionaire Pham Nhat Vuong's wealth continued to increase by $10.2 billion to $66 billion, rising to 16th place on the list of the world's richest people.

According to analysts, VinFast's share price rose in line with the upward trend of the US stock market, as the Nasdaq Composite (IXIC) index surged 114 points to 13,705 on August 28th. Furthermore, VFS shares continued to rise despite a relatively low free float of 4.5 million units compared to the more than 2.3 billion shares of the Vietnamese electric vehicle company listed on the Nasdaq.

However, VinFast's Global CEO, Le Thi Thu Thuy, stated that a larger number of VFS shares than initially expected will be offered to the market within the next six months to a year. It is anticipated that approximately 3 million additional VFS shares will be offered in the initial offering, and around 30 million more in subsequent offerings.

Commenting on the listing of a Vietnamese brand's shares on a leading global stock market, Ms. Le Thi Thu Thuy stated that becoming a US-listed company is a significant milestone in VinFast's global development journey. This is not simply a stock market transaction, but also reflects strong belief in our vision and potential, as well as fulfilling our commitment to making smart, safe, and environmentally friendly electric vehicles more accessible to everyone. "VinFast's story will certainly inspire and provide other large businesses in Vietnam with the motivation and experience to follow VinFast's lead in bringing Vietnamese brands to the international stage," – this is the assessment of experts regarding the listing of the Vietnamese all-electric car manufacturer on the US stock exchange.

In fact, VinFast is not the first Vietnamese company to be listed on a US stock exchange. Prior to that, in 2006, Vietnam Construction and Investment Corporation (Cavico) had a "backdoor" listing on the Pink Sheets of the US stock market through a SPAC, followed by the OTC.BB exchange in 2008. Cavico officially listed on Nasdaq in September 2009. However, after only two years, Cavico's CAVO shares were delisted due to violations of disclosure requirements. Nevertheless, that was the beginning of Cavico's expansion into the global market. In 2021, Cavico signed a contract with Laos to exploit a nickel mine with reserves of up to 470,000 tons over a 20-year period. In 2022, Cavico implemented a project to build a mineral processing plant, with the nickel plant having a capacity of 70,000 - 100,000 tons/year, contributing to helping Vietnam become self-sufficient in the supply of batteries for electric vehicles.

Vietnamese brands have the potential to expand further in the global market.

Along with VinFast, several other Vietnamese businesses have also planned to list on foreign stock exchanges in recent years, including Vietjet Air. Currently, Vietjet Air (VJC) is being listed on both the UPCOM and HOSE exchanges. It's clear that a successful IPO in developed countries, especially in the US, is a desire of many Vietnamese businesses aiming for sustainable development and global expansion. Many experts share the view that listing in the US offers access to significant capital and increases the company's value in the global market. The key is for businesses to strive to meet the requirements and demonstrate the determination to achieve this goal. In fact, with relentless efforts, many Vietnamese businesses have been gradually establishing their position in the international market, bringing "Made in Vietnam" and "Make in Vietnam" products to consumers worldwide.

Among the most valuable Vietnamese brands, Vinamilk has contributed to transforming Vietnam from a country with virtually no dairy industry into a dairy exporter, bringing Vietnamese dairy products to more than 50 countries and territories. Vinamilk is among the top 50 largest dairy companies in the world and continues to expand its export market. Interestingly, despite being present in over 50 countries and territories, Vinamilk's signature brands, "Ông Thọ" and "Ngôi sao Phương Nam," have largely retained their original packaging, leaving a mark of Vietnamese identity on the world stage.

Not only has Viettel made mobile phones more affordable – a luxury service accessible only to 5% of Vietnam's population at the end of the 20th century – but it has also entered the markets of 17 countries and quickly made an impression by becoming one of the world's top 5 telecommunications equipment manufacturers, with annual revenue exceeding $10 billion, equivalent to 3% of Vietnam's GDP. Viettel's record growth is clear evidence of the determination of a Vietnamese brand to conquer not only the domestic market but also expand into the global market in the new era.

Hoa Phat Furniture – renamed The One Furniture since the beginning of 2022 – is a pioneering brand leading the Vietnamese furniture industry, creating "national" products associated with many generations of domestic consumers and achieving considerable success abroad. After nearly three decades of operation, the brand's reputation has been proven by the trust of numerous customers in demanding markets such as the US, Japan, South Korea, Singapore, and the Middle East.

VinFast's "inspiring story" goes beyond mere business; it has affirmed that Vietnamese brands can reach far into the global market, even in high-end consumer goods and segments. The increasing number of Vietnamese brands entering the global market demonstrates the right and timely steps taken in the process of globalization. This is also why Brand Finance assesses Vietnam as very proactive in building and developing a global national brand.

According to an assessment by this UK-based national brand valuation organization, despite the negative impacts of the Covid-19 pandemic and political conflicts around the world, the Vietnamese national brand is the fastest-growing national brand in the world in terms of value, with a 74% increase between 2019 and 2022. A report by Brand Finance shows that the value of the Vietnamese national brand increased by 29.1% in 2020 compared to 2019, reaching US$319 billion; in 2021, it increased by 21.6% compared to 2020, reaching US$388 billion; and in 2022, it increased by 11.1% compared to 2021, reaching US$431 billion. In Brand Finance's Top 100 Strongest National Brands in the World ranking, Vietnam's national brand consistently ranks in the upper half and has steadily improved its position over the years. In 2022, Vietnam's national brand was ranked 32nd out of 100.

More than 15 years ago, the Prime Minister decided to designate April 20th as Vietnam Brand Day (the first date being April 20th, 2008) with the aim of building an image of Vietnam as a country with high-quality and highly competitive products and services, creating a solid reputation in both domestic and international markets. Since then, many policies have been implemented to support Vietnamese brands. Vietnamese businesses have also actively sought and expanded into international markets and participated more deeply in global supply chains, with many Vietnamese businesses gradually asserting their position in the international market.

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