Hanoi Seeks Deeper Trade, Tourism Ties with French Businesses Amid Investment Policy Shift

Hanoi seeks to expand trade, tourism ties with French businesses Both sides agreed to continue promoting regular exchanges and practical cooperation within their respective areas of responsibility, contributing to closer ties between the two legislatures and further strengthening the Vietnam-France Comprehensive Strategic Partnership. At a meeting with Martin Briens, Secretary-General of the French Ministry for Europe and Foreign Affairs, in Hanoi on July 8, Foreign Minister Le Hoai Trung highlighted the positive developments in bilateral ties since the two countries elevated their relationship. He noted that Vietnam–France cooperation has generated tangible benefits for both peoples while contributing to peace, stability, dialogue, and cooperation in the world. Nguyen Kim Son, Deputy Head of the Communist Party of Vietnam (CPV) Central Committee’s Commission for Policies and Strategies, briefed the French side on Vietnam's development process, its socialist-oriented market economy, and the Commission’s role in advising the Party leadership on major socio-economic policies, institutional reform and national development strategies. Vietnam must pivot hard from tax breaks to cost-based support. Incentives will target infrastructure, workforce training, research and development, and innovation, which directly lower investment costs and lift operational efficiency, a formula already being copied by countries competing for quality FDI, according to HSBC. Success will increasingly be measured by whether foreign investment brings technology, develops local talent, establishes research and development (R&D) capability, and integrates Vietnamese enterprises more deeply into global value chains. According to the National Statistics Office (NSO) under the Ministry of Finance, total retail sales of goods and consumer service revenue in July were estimated at 669.1 trillion VND (over 25.45 billion USD), up 0.9% from June and 14.5% year-on-year. Industrial production expanded steadily as newly commissioned production facilities came into operation and businesses continued to scale up manufacturing. The resolution on renewing Vietnam’s development model goes beyond the goal of rapid and sustainable economic growth. It establishes a comprehensive development model designed to unlock new growth space, mobilise resources more effectively, strengthen national competitiveness, and help Vietnam achieve its goal of becoming a developed, high-income country by 2045. According to the National Statistics Office (NSO) under the Ministry of Finance, inflation remained under control, with the consumer price index (CPI) edging down 0.1% in July from the previous month. Average CPI in the January–July period rose an estimated 4.39% year-on-year, staying within the yearly target. The programme will be funded by state-owned commercial banks, which have pledged to provide concessional loans to help SMEs gain better access to capital to expand production and business activities, and support economic growth. The Government has extended the exemption of agricultural land use tax until December 31, 2030 while allowing businesses and individuals to defer payments of VAT, corporate income tax and personal income tax during 2026. China is the world's largest fruit market and Vietnam's biggest export destination for fruits and vegetables. Rising import demand in recent years has created significant opportunities for Vietnamese producers. Copyright, VietnamPlus, Vietnam News Agency (VNA) Editor-in-chief, Mr. Tran Tien Duan.