Vietnam’s IT leader posts solid growth as overseas contracts recover and AI-driven services gain traction

As global tech spending shows early signs of stabilization, FPT Corporation has delivered a steady first-quarter performance—offering investors a timely signal that demand for outsourcing and digital transformation services is rebounding despite ongoing macro uncertainty.

In preliminary results for Q1 2026, the Vietnamese technology giant reported revenue of VND 12.4 trillion (up 9% year-on-year) and net profit after minority interests of VND 2.5 trillion (up 14%). Pre-tax profit rose even faster at 16%, broadly in line with market expectations and reinforcing FPT’s reputation as one of Southeast Asia’s most resilient tech exporters.

The company’s IT segment remained the primary growth engine, accounting for nearly 90% of total revenue and close to 60% of pre-tax profit. Overseas IT services—FPT’s core export business—grew more modestly, with revenue up 10% and profit up 6%, reflecting lingering effects from slower contract signings in mid-2025. However, a notable turnaround is emerging: newly signed orders reached VND 13.6 trillion, up 22% year-on-year, with March alone accelerating by an estimated 27%. This suggests that global clients are gradually resuming technology spending, even as geopolitical and economic risks persist.

Japan continues to anchor FPT’s international growth, with revenue from the market rising 19%, outperforming other regions. Europe posted a striking 44% surge, while the Americas saw modest growth of 4% and Asia-Pacific declined 10%, highlighting uneven recovery patterns across global markets. Meanwhile, digital transformation services—particularly in AI, data analytics, and cybersecurity—generated VND 4.2 trillion in revenue, up 18%, underscoring the company’s strategic pivot toward higher-value, future-facing technologies.

Domestically, FPT also delivered strong double-digit growth, with IT revenue rising 14% and pre-tax profit expanding fourfold. The improvement was driven by a higher contribution from software and services—segments with stronger margins—along with expanding demand from both private enterprises and the public sector. Beyond technology, FPT’s education and investment segments posted a 24% increase in pre-tax profit, supported by solid earnings from affiliated companies.

For global investors, FPT’s performance offers more than just a snapshot of one company—it reflects Vietnam’s broader emergence as a digital services hub in Southeast Asia, increasingly positioned alongside India and Eastern Europe in the global outsourcing landscape. The rebound in new orders, particularly in high-growth areas like AI and cybersecurity, suggests that the next phase of tech spending may favor agile, cost-efficient players like FPT.

The critical question now is whether this recovery can accelerate in the second half of 2026. If global enterprises continue to unlock budgets for digital transformation, FPT—and Vietnam’s tech sector more broadly—could be entering a new growth cycle that reshapes the competitive map of global IT services.

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Source: Vietnam Insider

The big story

Rise of hybrids

Need to know

Source: CNBC

Vietnam’s push into electric mobility just became more definitive.

At Vingroup’s 2026 annual shareholder meeting, billionaire Pham Nhat Vuong delivered a clear message to investors and the market. VinFast will not return to gasoline vehicles under any circumstances, even as some global automakers reconsider hybrid strategies.

For international observers, this signals one of the most aggressive all electric commitments by a major emerging market automaker.

A Firm Strategic Bet on Electric Vehicles

Responding to shareholder questions about whether VinFast might produce hybrid or gasoline cars, Vuong rejected the idea outright.

Instead, the company will:

• Continue developing new electric vehicle models
• Focus on extending driving range to address charging concerns
• Expand its global footprint across Asia and beyond

The stance comes at a time when parts of the global auto industry are slowing EV transitions and reintroducing hybrid options.

VinFast is taking the opposite approach.

High Growth, High Cost Transition

The company’s financials reflect the scale of its ambition.

• 2025 revenue reached over VND 90 trillion, up 139 percent year on year
• Net losses exceeded VND 97 trillion
• Accumulated losses have surpassed VND 170 trillion

Despite these losses, VinFast has become the largest car brand in Vietnam, capturing around 36 percent market share.

This highlights a familiar pattern in the EV industry, where rapid expansion and heavy upfront investment often precede profitability.

Global Expansion Targets

VinFast is aiming for significant scale in 2026:

• Deliver 300,000 electric cars globally
• Sell between 1 and 1.5 million electric motorbikes
• Expand into Southeast Asia and India

The company is positioning itself not just as a domestic leader, but as a regional EV player.

Flexible Battery Strategy

Rather than fully vertically integrating battery production, VinFast is adopting a hybrid approach.

The company plans to:

• Source batteries from external suppliers
• Partner with technology firms
• Maintain partial in house production

This strategy is designed to reduce capital intensity while maintaining flexibility and cost competitiveness.

Beyond Cars: Building an EV Ecosystem

Its sister company Green SM, an electric ride hailing platform, has already become the market leader in Vietnam’s four wheel ride hailing segment.

• Holds over 50 percent market share by transaction value
• Expanding into services such as delivery and logistics
• Preparing for a potential IPO in the near future

Together, these moves suggest a broader ecosystem play, integrating vehicles, services, and infrastructure.

Why This Matters

VinFast’s refusal to return to gasoline vehicles sets it apart from many global competitors.

For investors and industry watchers, it raises key questions:

• Can a pure EV strategy succeed in emerging markets
• How quickly can profitability follow scale
• Will Vietnam become a serious player in the global EV supply chain

Bottom Line

VinFast is making a clear, high risk bet on an all electric future.

By ruling out any return to gasoline vehicles, Pham Nhat Vuong is signaling long term commitment over short term flexibility. The outcome will shape not only the company’s trajectory, but also Vietnam’s position in the global auto industry.

Source: Vietnam Insider

Vietnam is preparing to develop one of its most ambitious infrastructure projects to date, a nearly $8 billion “smart and green” international airport designed to meet top tier global standards.

The proposed Gia Binh International Airport is expected to redefine how airports are built and operated in Vietnam, with a focus on sustainability, technology, and passenger experience. If completed as planned, it aims to rank among the world’s top 10 five star airports.

A Next Generation Airport Concept

Unlike traditional airport expansions, Gia Binh is being designed as a fully integrated aviation ecosystem.

Key features include:

• Total investment of about VND 196 trillion, roughly $8 billion
• Land area of nearly 1,900 hectares
• ICAO 4F standard, capable of handling the largest wide body aircraft
• Four runways designed for independent operations

The project is positioned not just as an airport, but as a long term aviation hub for northern Vietnam.

Capacity and Scale

The scale of the project reflects Vietnam’s rapidly growing air travel demand.

Planned capacity includes:

• 30 million passengers per year by 2030
• 50 million passengers per year by 2050
• Cargo handling capacity of up to 2.5 million tons annually

The airport will also include a major aircraft maintenance and overhaul center, positioning it as a regional hub for aviation services in Asia Pacific.

Built as a “Green and Smart” System

A defining feature of Gia Binh is its integrated design approach.

The airport will combine:

• Smart technologies for operations and passenger flow
• Sustainable infrastructure aligned with environmental goals
• Multi modal transport connections linking road, rail, and urban transit
• Commercial, logistics, and service zones within a unified masterplan

The goal is to create a seamless travel experience while reducing environmental impact.

Strategic Role for Northern Vietnam

The project is expected to play a critical role in reshaping the region’s infrastructure landscape.

• It will help ease congestion at Noi Bai Airport, which is nearing capacity
• It will support economic growth in the greater Hanoi region
• It is planned as a dual use facility, serving both civilian and strategic purposes

Notably, the airport is also expected to support major international events, including APEC 2027.

Why This Matters

Vietnam’s aviation sector is entering a new phase of expansion, driven by:

• Rapid growth in passenger demand
• Increasing international connectivity
• Rising importance of logistics and cargo transport

Large scale projects like Gia Binh signal a shift toward long term, high capacity infrastructure planning rather than incremental upgrades.

Bottom Line

Gia Binh International Airport represents a bold attempt to position Vietnam among the world’s leading aviation hubs.

If executed successfully, it will not only expand capacity but also redefine standards for sustainability, technology, and passenger experience in the region.

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Source: Vietnam Insider

South Korea is doubling down on Vietnam as a strategic investment destination, with senior officials highlighting a new wave of interest from major Korean corporations in high value industries.

The message, delivered during high level talks in Hanoi, points to a clear shift in the bilateral relationship. Vietnam is no longer seen only as a manufacturing base. It is increasingly viewed as a partner in advanced technology, innovation, and long term industrial development.

Where Korean Investors Are Looking

According to South Korea’s Deputy Prime Minister Bae Kyung Hoon, large Korean firms are actively evaluating opportunities across several priority sectors in Vietnam.

Key areas of interest include:

• Semiconductor manufacturing
• High tech electronics production
• Artificial intelligence and software development
• Big data and digital infrastructure
• Biotechnology
• Smart city development
• Large scale infrastructure projects

These sectors align closely with Vietnam’s national development strategy, which aims to move up the value chain and reduce reliance on low cost manufacturing.

Why Vietnam Is Attracting Attention

Vietnam’s appeal to Korean investors is driven by several structural advantages:

• A young and increasingly skilled workforce
• Competitive production costs
• Strategic location within regional supply chains
• Strong government support for technology driven growth

Officials from both countries emphasized that human capital will be a central pillar of future cooperation, particularly in emerging fields such as AI and semiconductors.

From Policy to Projects

A key example is the Vietnam Korea Institute of Science and Technology, which has been highlighted as a model for:

• Joint research and innovation
• Technology transfer
• Workforce training in advanced industries

South Korea has pledged continued support for expanding this platform, with the goal of linking research institutions more closely to private sector investment.

Expanding Beyond Industry

Cooperation is also widening into other areas:

• Agriculture and food technology
• Education and workforce development
• Official development assistance projects

This reflects a more comprehensive partnership that goes beyond traditional trade and investment.

Strategic Context

The discussions took place during a state level visit by South Korea’s president, underlining the importance both governments place on the relationship.

Vietnam and South Korea already maintain a Comprehensive Strategic Partnership. The latest developments suggest an effort to deepen that framework with a stronger focus on technology and innovation.

Bottom Line

South Korean companies are increasingly targeting Vietnam’s next generation industries, not just its factories.

For investors, this signals growing confidence in Vietnam’s transition toward a higher value, technology driven economy.

Source: Vietnam Insider

Vietnam is set to break ground on a $2.2 billion mega project in Ho Chi Minh City, led by billionaire Pham Nhat Vuong, as part of a broader wave of major infrastructure and real estate launches tied to a national milestone.

The project, scheduled to begin construction around April 30, marks one of the most significant urban developments currently planned in the country’s largest and wealthiest city.

A Mega Urban Project With Education at Its Core

At the center of the announcement is the Berjaya International University Urban Area, a large scale mixed use development spanning nearly 880 hectares in the northwest of Ho Chi Minh City.

Key features include:

• Total investment of حوالي VND 59 trillion, equivalent to about $2.2 billion
• Planned population of approximately 135,000 residents
• Capacity for around 60,000 students

The project is designed as a hybrid urban and education hub, combining residential zones with academic and research infrastructure.

What Will Be Built

• Low rise villas and townhouses
• Mid rise and high rise apartment complexes
• Social housing and resettlement units
• Educational institutions and research facilities
• Hospitals, commercial centers, and public services

The goal is to create a self contained district that reduces pressure on the city center while supporting long term economic growth.

Strategic Importance for Ho Chi Minh City

The development aligns with broader urban planning priorities:

• Expanding growth toward outer districts
• Reducing congestion in central areas
• Building knowledge and innovation clusters
• Creating jobs and attracting investment

Officials view the project as a future anchor for an education and research corridor in northern Ho Chi Minh City.

Ownership and Investment Structure

The project is being developed by Berjaya Vietnam International University Urban Development JSC, a subsidiary now largely controlled by Vinhomes, the real estate arm of Vingroup.

The project’s ownership has evolved over time:

• Originally backed by Malaysia’s Berjaya Group
• Majority stake later transferred to Vietnamese investors
• Currently dominated by Vinhomes with a controlling interest

This reflects a broader trend of domestic firms taking the lead in large scale urban development projects.

Part of a Larger Investment Wave

The groundbreaking is one of four major projects approved to launch during the April 30 holiday period, with a combined investment of roughly VND 142 trillion.

This coordinated rollout signals strong momentum in Vietnam’s real estate and infrastructure sectors, particularly in Ho Chi Minh City.

Bottom Line

The $2.2 billion project is more than a real estate development. It represents a shift toward integrated urban planning centered on education, innovation, and long term sustainability.

For investors and observers, it highlights how Vietnam’s largest city is positioning itself for the next phase of growth, with large scale, mixed use developments playing a central role.

Source: Vietnam Insider

A shocking case in southern Vietnam has ended with prison sentences for five individuals after a violent “exorcism” ritual led to the deaths of a father and his young son.

The trial, held in Tay Ninh province, underscores the severe legal consequences of actions driven by superstition when they result in loss of life.

What Happened

According to court findings, the incident began with a belief that a deceased relative had “possessed” a family member.

Acting on this belief, a group of relatives organized a ritual intended to “expel spirits.” The situation escalated into prolonged violence.

• Victims were restrained and covered with blankets
• Liquids were forced into their mouths
• Burning incense was applied to their bodies
• Repeated physical assaults were carried out over many hours

The abuse continued through the night and into the following day.

Both victims later died from a combination of suffocation, multiple injuries, burns, and trauma.

Court Verdict

The provincial court sentenced five defendants to prison terms ranging from 7 to 10 years on charges of murder.

One defendant received an additional sentence due to prior drug related offenses.

Two individuals identified as central instigators were not held criminally responsible after being diagnosed with severe mental illness.

The defendants’ families provided financial compensation to the victims’ relatives as part of civil liability.

Wider Impact

The case also affected multiple others present during the ritual.

Several individuals required hospitalization after being forced to participate for extended periods without food, rest, or communication.

Authorities described the actions as extremely dangerous, emphasizing that belief based practices cannot justify violence or harm.

Legal and Social Context

Vietnamese law treats acts that result in death with strict penalties, regardless of motive.

This case highlights:

• The risks associated with unregulated spiritual practices
• The potential for group dynamics to escalate harmful behavior
• The importance of public awareness around mental health and superstition

It also reflects broader efforts by authorities to address harmful practices rooted in misinformation or belief systems.

Bottom Line

What began as a misguided attempt at a spiritual ritual ended in tragedy and criminal conviction.

The case serves as a stark reminder that actions driven by belief still carry full legal responsibility when they cross into violence.

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Source: Vietnam Insider

Source: CNBC

IMF 2026 outlook highlights Vietnam’s rapid rise, with 7.1% growth and a reshaping Southeast Asia’s economic hierarchy

Vietnam is rapidly emerging as one of Asia’s most dynamic growth stories, with new IMF projections placing the country among the world’s top 35 economies and signaling a notable shift in Southeast Asia’s economic balance—an increasingly important signal for global investors tracking supply chains, consumption growth, and frontier market opportunities.

According to the latest April 2026 update from the International Monetary Fund, Vietnam is ranked 34th out of 215 economies globally and 14th in Asia by nominal GDP. Within Southeast Asia, the country now stands fourth, reinforcing its position as a rising economic powerhouse behind regional heavyweights like Indonesia and Singapore.

What stands out most is Vietnam’s growth trajectory. With an estimated GDP expansion of 7.1%—one of the fastest in the region—the country continues to outperform many peers at a time when global growth remains uneven. This pace reflects strong export recovery, resilient domestic consumption, and sustained foreign direct investment inflows, particularly from multinational manufacturers diversifying away from China.

A more striking milestone comes from purchasing power parity (PPP) metrics. Vietnam’s economy has officially crossed the $2.03 trillion mark in PPP terms, allowing it to surpass Thailand—a symbolic and strategic shift that underscores Vietnam’s improving living standards and expanding domestic market scale. For global brands and institutional investors, PPP is often a more relevant indicator of real consumption potential than nominal GDP.

In the broader Asian ranking, Vietnam now sits 14th with a nominal GDP of approximately $527 billion, just behind Thailand and ahead of economies such as Malaysia and Philippines. The region continues to be dominated by giants like China, Japan, and India, but Vietnam’s upward momentum is increasingly difficult to ignore.

The implications extend far beyond rankings. Vietnam’s rise is reshaping supply chains, attracting capital flows, and reinforcing its role as a critical node in the “China+1” strategy adopted by global manufacturers. As geopolitical fragmentation continues to influence trade patterns, Vietnam’s combination of growth, stability, and integration into global markets positions it as a strategic alternative in Asia.

The key question now is not whether Vietnam will continue climbing—but how fast. If current momentum holds, the country could soon challenge the region’s top three economies, forcing investors to rethink Southeast Asia not as a supporting market, but as a central pillar of global growth.

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Source: Vietnam Insider

Nebula Energy tightens control over Ca Mep terminal, signaling rising foreign bets on Vietnam’s LNG-to-power market

VIETNAM INSIDER – As global energy markets pivot toward cleaner fuels and supply diversification, Vietnam is fast emerging as a strategic LNG gateway in Southeast Asia—now drawing deeper commitments from U.S. energy players seeking long-term positioning in Asia’s next growth market.

U.S.-based Nebula Energy has moved to take full control of the Ca Mep LNG terminal near Ho Chi Minh City, after its subsidiary AG&P LNG agreed to acquire the remaining stake from local firm Hai Linh Company. The deal lifts AG&P LNG’s ownership from 49% to 100%, although financial terms remain undisclosed and regulatory approvals are still pending.

The Ca Mep LNG terminal—one of only two operational LNG import facilities in Vietnam—is positioned to become a cornerstone of the country’s evolving gas-to-power ecosystem. With planned expansion capacity of up to 6 million tonnes per year, the facility is being integrated into Nebula Energy’s global LNG supply chain, reinforcing Vietnam’s role in regional energy flows.

Completed in 2025, the terminal is already equipped to supply stable LNG volumes to industrial and power generation clients across southern Vietnam. Its infrastructure includes three onshore storage tanks with a combined capacity of 220,000 cubic meters, along with distribution systems capable of reloading LNG onto smaller vessels and delivering compressed natural gas (CNG) and LNG via tanker trucks. Critically, the terminal is directly connected via pipeline to Vietnam’s largest gas-fired power complex, with total capacity reaching 3.9 gigawatts.

For Hai Linh, the divestment reflects a strategic pivot. The company plans to redeploy capital into its core petroleum business and the Hiep Phuoc power project, effectively handing over LNG infrastructure development to a specialized international operator. For Nebula Energy, however, full ownership unlocks operational control and accelerates expansion across downstream gas distribution networks.

The acquisition underscores a broader trend: Vietnam’s LNG-to-power model is rapidly gaining traction as the country seeks to balance energy security with decarbonization goals. With strong connectivity to industrial zones and major consumption hubs, Ca Mep is increasingly viewed as a critical node in Southeast Asia’s emerging LNG logistics map.

The bigger question now is whether this deal marks the beginning of a larger wave of foreign acquisitions in Vietnam’s energy infrastructure—or a race among global players to secure early dominance in one of Asia’s most promising power markets.

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Source: Vietnam Insider