Ho Chi Minh City Attracts ¥1 Trillion Logistics Project from TikTok

Key pointsRussian companies and investment funds are expressing intentions to expand investments in high technology, energy, and digital infrastructure in Vietnam. Notably, AFK Sistema plans long-term investments in information technology, AI, and smart cities. Additionally, Zarubezhneft is considering investments in renewable energy and offshore wind power. This is expected to further strengthen economic cooperation between the two countries.
Business impactJapanese companies should explore opportunities to leverage Russian technology and capital, particularly in joint projects in the energy and IT sectors.

Key pointsHo Chi Minh City has approved an investment of approximately $980 million (about ¥1 trillion) for the Swift Logistics project by Singapore's Tokgistic. This project is set to operate for 50 years and will engage in logistics, postal services, and market research. TikTok plans to expand its service offerings in Ho Chi Minh City as an international financial center.
Business impactFor Japanese companies, TikTok's entry presents new business opportunities. Particularly in the logistics sector, there is a growing need to establish efficient supply chains amid increasing competition.

Key pointsCan Tho City has decided to recover approximately 3.4 hectares of land from Thuy Son - HG Company due to improper land use. The land was acquired by the company in 2011 for establishing a luxury wood factory, but progress has been insufficient.
Business impactThe recovery of land serves as a reminder for Japanese companies about the importance of proper land use and project progress management. Compliance with land use regulations is particularly emphasized.

Key pointsThe Hanoi MIP Fair 2026 was held on September 9, 2026, in Hanoi, attracting over 500 international buyers. The city is focusing on promoting industrial growth through high-value industries and the adoption of digital technologies, aiming for a GRDP growth rate of over 11% in 2026. The industrial production index increased by 8.9% year-on-year as of July, with significant growth in electronics and plastic products.
Business impactThis event presents new business opportunities for Japanese companies, particularly with the shift towards high-value industries in Hanoi, potentially increasing opportunities for technological partnerships and product exports.

Key pointsIssuance of Chinese renminbi bonds has reached record levels, with international companies and foreign governments accelerating fundraising amid low interest rates. This may have indirect effects on the Vietnamese economy. Although specific issuance amounts have not been disclosed, changes in capital flows are being closely watched, particularly the potential increase in foreign capital inflows into Vietnam's stock market.
Business impactFor Japanese companies, the increase in renminbi-denominated funding will impact the financing environment of supply chains. New options may emerge for parts procurement and local subsidiaries' cash flow management, requiring careful attention.

Key pointsIn Vietnam, a recall has been announced for Chinese-made Cooluli refrigerators and Anthelios sunscreen. The U.S. Consumer Product Safety Commission (CPSC) is recalling 250,000 Cooluli refrigerators due to a fire hazard from a short circuit in the power switch, with 19 reports of smoke or fire incidents. Additionally, Anthelios sunscreen has been flagged for having actual SPF values lower than advertised, potentially impacting user health. These products were sold on Amazon and Cooluli's online store.
Business impactJapanese companies need to be cautious in handling recalled products. Particularly, businesses dealing with imports must quickly grasp recall information and implement notifications and responses to customers. Appropriate measures are necessary to ensure consumer safety.