Ho Chi Minh City: Industry and trade drive growth momentum

Throughout this process, industry and trade have consistently played a core role, serving as key growth drivers and shaping the city’s position as the economic locomotive of the national economy.

Affirming its role as the country’s economic engine

Following national reunification, Ho Chi Minh City entered a phase of restoring production, stabilizing people’s livelihoods and rebuilding its urban economy. Despite numerous challenges, the city quickly revived industrial production facilities, commercial networks and service sectors, gradually laying the foundation for the development of a modern industrial and commercial center. It was also among the first localities to experiment with flexible economic management mechanisms, creating an important premise for later reforms.

A major turning point in the city’s economic development was closely linked to the Doi Moi reform process initiated at the 6th National Party Congress. From this point, Ho Chi Minh City became a pioneer in economic transition, foreign investment attraction and private sector development. Notably, the establishment and expansion of export processing zones and industrial parks provided a strong boost to industrial production, promoted exports and helped position the city as Vietnam’s largest center for manufacturing, trade and international commerce.

With infrastructure increasingly strengthened, Ho Chi Minh City has maintained its role as the country’s economic engine. For many years, the city’s GRDP has accounted for around 22 - 23% of national GDP, while total budget revenue has contributed 25–27% of the country’s total.

Since 2000, the city’s economy has sustained high and stable growth. During the 2001–2010 period, GRDP grew at an average of 11 - 12% per year, while in the 2011 - 2019 period it maintained growth of about 7 - 8% annually, higher than the national average.

Rapid urbanization and economic restructuring in recent years have gradually improved growth quality. The service sector now accounts for more than 60% of GRDP, while industry and construction make up around 30%.

Another important hallmark of Ho Chi Minh City’s economy is its pioneering role in international economic integration. The city has consistently led the country in attracting foreign direct investment, with cumulative FDI reaching tens of billions of USD. Many multinational corporations have chosen the city as their production and business base in Vietnam, contributing to enhanced industrial capacity, technology transfer and expanded export markets.

2026 set for strong acceleration from a solid foundation

Entering a new development phase, the city’s economy in 2025 continued to achieve positive results, reaffirming its role as the country’s largest industrial, commercial and service center. GRDP growth was estimated at 7.53 - 8.03%, with the economic scale reaching approximately VND 3.03 quadrillion. GRDP per capita stood at USD 8,700–8,800, with more than 500,000 enterprises in operation.

Industry remained a key driver, with the industrial production index (IIP) increasing by about 8.9%. Trade and services recorded strong growth, with total retail sales reaching around VND 1.94 quadrillion, up 15 - 16%. Total import-export turnover continued to account for 15 - 18% of the national figure, with exports valued at USD 95–96 billion and imports at around USD 98 billion. State budget revenue reached approximately VND 785 trillion, while the digital economy contributed 13 - 14% of GRDP, emerging as a new growth driver.

In 2026, Ho Chi Minh City targets higher economic growth, aiming for rapid yet sustainable expansion in tandem with growth model transformation and improved competitiveness. According to the city’s socio-economic development orientation, GRDP growth for 2026 is targeted at over 10%, reflecting strong determination to regain high growth momentum following the recovery period.

In the first months of 2026, the city’s economy has already shown positive signals. GRDP in the first quarter is estimated to have increased by about 8.27% year-on-year, marking the highest growth rate in the past five years and creating a solid foundation for achieving the annual target.

At the same time, total state budget revenue in the first quarter is estimated at approximately VND 242.8 trillion, exceeding 30% of the annual target, demonstrating stable revenue performance and its role as a pillar of the city’s economy. In the trade and services sector, total retail sales of goods and consumer service revenue in the first quarter reached an estimated VND 474.556 trillion, up more than 13% year-on-year, reflecting a strong recovery in the domestic market.

Notably, Ho Chi Minh City is prioritizing the development of the digital economy and innovation in the coming period. According to the municipal People’s Committee’s plan, the digital economy is expected to account for at least 30% of GRDP in 2026, gradually becoming a primary driver of growth in the modern urban economy.