Vietnam’s manufacturing industry has undergone tremendous changes in the past few decades, gradually transforming from an economy dominated by agriculture to an important manufacturing base in Asia. As of 2023, manufacturing has become the backbone of Vietnam’s economy, accounting for more than 25% of the gross domestic product (GDP). This rapid development is due to Vietnam’s open policy, abundant labor resources and strategic geographical location. The main manufacturing sectors include electronics, textiles and clothing, food processing and machinery manufacturing. It is particularly worth mentioning that Vietnam has become an important hub for global electronics manufacturing, attracting many internationally renowned companies such as Samsung, LG and Intel to set up production bases here.

In the process of promoting the development of manufacturing, tax policies play a vital role. The Vietnamese government has effectively promoted the growth and transformation of the manufacturing industry by implementing a series of preferential tax policies. These policies are mainly reflected in three aspects: first, by providing preferential tax rates and tax exemption periods, foreign direct investment is attracted to inject funds and technology into the manufacturing industry; second, through targeted tax reductions, enterprises are encouraged to carry out technological innovation and industrial upgrading to improve the overall competitiveness of the manufacturing industry; finally, through regional tax incentives, the balanced development of the manufacturing industry across the country is promoted, driving the industrialization process of underdeveloped regions.

Tax policies not only directly affect the investment decisions and operating costs of enterprises, but also indirectly shape the overall structure and development direction of Vietnam’s manufacturing industry. For example, special preferences for high-tech manufacturing have promoted the optimization of industrial structure; while support for export-oriented manufacturing has strengthened Vietnam’s position in the global supply chain. In addition, tax policies also cooperate with other industrial policies, such as human resources development and infrastructure construction, to jointly build a comprehensive environment conducive to the development of the manufacturing industry.

Understanding Vietnam’s tax policies for the manufacturing industry is crucial for companies, investors and policymakers. For companies, making full use of these policies can optimize tax planning and reduce costs; for investors, these policies are an important factor in evaluating the investment environment; and for policymakers, constantly improving and adjusting tax policies is the key to promoting the sustainable and healthy development of the manufacturing industry.

In the following chapters, we will explore in detail Vietnam’s various tax policies and preferential measures for the manufacturing industry, providing readers with a comprehensive and in-depth analysis.

Income tax preferences for manufacturing enterprises

The Vietnamese government has provided a series of preferential corporate income tax policies to promote the development of the manufacturing industry. These policies mainly include preferential tax rates, tax exemption and tax reduction periods, and accelerated depreciation policies. These measures are aimed at reducing the tax burden of enterprises and encouraging investment and long-term development.

1. Preferential tax rates

The standard corporate income tax rate in Vietnam is 20%, but eligible manufacturing enterprises can enjoy lower preferential tax rates. Specifically, new investment manufacturing projects in areas with particularly difficult socio-economic conditions can enjoy a preferential tax rate of 10% for 15 years. For projects in areas with difficult socio-economic conditions, a preferential tax rate of 17% can be enjoyed for 10 years. In addition, for priority manufacturing fields such as high-tech industries and environmental protection equipment manufacturing, regardless of the investment location, a preferential tax rate of 10% can be enjoyed for up to 15 years.

2. Tax exemption and tax reduction periods

In addition to preferential tax rates, eligible manufacturing enterprises can also enjoy tax exemption and tax reduction periods. For new investment projects, they can usually enjoy two years of complete tax exemption, followed by a 50% tax reduction for the next four years. For projects located in areas with particularly difficult socio-economic conditions or in high-tech fields, the tax exemption period can be extended to four years, followed by a 50% tax reduction for the next nine years. It is worth noting that the tax exemption and tax reduction period start from the first year the enterprise starts to make a profit, and the longest period does not exceed the fourth year after the project starts operating.

3. Accelerated Depreciation Policy

To encourage manufacturing enterprises to update technology and upgrade equipment, Vietnam allows enterprises to adopt an accelerated depreciation policy. Under this policy, manufacturing enterprises can shorten the depreciation period of fixed assets to a minimum of 70% of the normal depreciation period. This means that enterprises can include equipment investment costs in expenses in a shorter period of time, thereby reducing taxable income and reducing early tax burdens. This policy is particularly beneficial to technology-intensive manufacturing industries such as electronics and machinery, helping them to update equipment faster and maintain technological advantages.

These preferential corporate income tax policies provide significant tax savings opportunities for manufacturing companies. However, companies need to be aware that these preferential policies usually come with specific conditions and requirements, such as investment scale, technology level, job creation, etc. Therefore, when making investment decisions, companies should carefully evaluate their own situations to ensure that they can meet the preferential conditions and make full use of the benefits of these policies. At the same time, given that tax policies may change over time, companies should also pay close attention to policy updates and adjust strategies in a timely manner to maximize tax benefits.

VAT Preferential Treatment

The Vietnamese government supports the development of the manufacturing industry through a variety of VAT preferential policies, mainly including export tax rebate policies and preferential tax rates for specific manufacturing products. These measures are aimed at improving the international competitiveness of Vietnamese manufacturing products and stimulating the development of specific industries.

1. Export tax rebate policy

Export tax rebate is an important policy of Vietnam to support manufacturing exports. According to this policy, manufacturing enterprises can apply for tax rebate for the value-added tax contained in their export products. Specifically, if the products produced by the enterprise are exported directly or exported after commissioned processing, they can apply for a refund of the value-added tax paid during the production process. The tax rebate procedure usually includes the following steps: first, the enterprise needs to prepare relevant documents, such as export declarations, commercial invoices, etc.; then, submit a tax rebate application to the local tax authorities; finally, the tax authorities will review and refund the tax.

It is worth noting that Vietnam has strengthened the management of export tax rebates in recent years to prevent tax fraud. Enterprises need to ensure that all documents are true and complete and comply with relevant regulations to successfully obtain tax rebates. At the same time, Vietnam is also constantly optimizing the tax rebate process, such as promoting an electronic tax rebate system, to improve efficiency.

2. Preferential tax rates for certain manufacturing products

Vietnam implements preferential VAT rates for certain manufacturing products to support the development of specific industries. The standard VAT rate is 10%, but some products can enjoy a preferential rate of 5% or even be exempt from VAT. Specific preferential measures include:

5% preferential tax rate:Applicable to certain basic industrial products such as fertilizers, pesticides, certain medical devices, etc. This helps reduce the cost of these products and supports related industries such as agriculture and medical care.

Exemption from VAT:Certain manufacturing products are completely exempt from VAT, such as machinery and equipment used for scientific research and technological development, and certain agricultural means of production. This policy is aimed at promoting scientific and technological innovation and agricultural modernization.

Zero Rated:It mainly applies to exported goods. This means that exporting companies not only do not need to pay VAT, but can also apply for tax refunds on their inputs.

These VAT preferential policies provide significant cost advantages for manufacturing companies, especially export-oriented companies. However, companies need to pay attention to the specific application conditions and procedures of the policies. For example, some preferential policies may require companies to meet specific technical standards or investment scales. In addition, companies also need to establish a sound financial management system to ensure that these tax incentives can be accurately calculated and applied.

In general, Vietnam’s VAT preferential policies provide important support for manufacturing enterprises and help enhance their international competitiveness. Enterprises should fully understand these policies and incorporate them into their overall tax planning to maximize the benefits of tax incentives.

Import and export tax incentives

Vietnam has implemented a series of preferential import and export tax policies to promote the development of the manufacturing industry and improve international competitiveness. These policies mainly include tax exemptions on the import of raw materials and equipment, as well as tax incentives for the export of manufactured products. These measures are aimed at reducing the production costs of manufacturing enterprises, encouraging technological upgrading, and stimulating exports.

1. Import tax exemption for raw materials and equipment

Vietnam provides a number of tax exemption policies for raw materials and equipment imported by manufacturing enterprises. These policies mainly include:

Imported raw materials used to produce export products are exempt from import tax. Enterprises need to declare their annual raw material import plan to the customs in advance and ensure that these raw materials are used to produce export products.

Imported equipment, machinery and special transport vehicles formed by fixed assets enjoy the preferential treatment of exemption from import tax. This policy applies to new investment projects or expansion investment projects and aims to encourage enterprises to introduce advanced technology and equipment.

Imported equipment and materials used for scientific research and technological development are also exempt from import duties. This policy is aimed at supporting enterprises’ R&D activities and technological innovation.

Enterprises should note that these preferential policies usually come with specific conditions, such as investment scale, technology level, etc. At the same time, enterprises need to establish a sound import and export management system to ensure accurate declaration and use of these duty-free imported items.

2. Export tax incentives for manufactured products

Vietnam also provides a number of tax incentives for the export products of manufacturing enterprises:

• Most manufactured goods are exempt from export taxes. This policy is aimed at improving the international competitiveness of Vietnamese-made products.
• Certain special products, such as those processed from natural resources or minerals, may still be subject to export taxes, but the rates are usually lower.
• Export processing enterprises enjoy special tax treatment. Such enterprises are exempt from import and export taxes on both imported raw materials and exported finished products, but they need to meet certain conditions, such as independent customs supervision areas.
• Vietnam has also implemented an export incentive policy to provide additional financial support for certain strategic export products.

These export tax incentives have greatly reduced the tax burden on manufacturing companies and helped improve the price competitiveness of their products in the international market. However, companies need to be aware that as Vietnam integrates into the global trade system, certain incentives may be adjusted over time to comply with international trade rules.

In general, Vietnam’s import and export tax incentives provide significant cost advantages for manufacturing companies. Companies should fully understand these policies and incorporate them into overall operations and financial planning to maximize the benefits of tax incentives. At the same time, companies also need to pay close attention to policy changes and adjust strategies in a timely manner to continue to enjoy these incentives.

Regional Tax Incentives

Vietnam has implemented a series of regional tax incentives to promote balanced regional development and attract investment to specific regions. These policies mainly include special policies for special economic zones and industrial parks, as well as preferential measures for underdeveloped regions. These regional incentives provide additional tax incentives for manufacturing companies.

1. Special policies for special economic zones and industrial parks

Vietnam has established a number of special economic zones and industrial parks, providing preferential tax policies for settled enterprises:

• Corporate income tax incentives: Enterprises in many special economic zones and key industrial parks can enjoy a preferential tax rate of 10% for up to 15 years. Certain special projects can enjoy even longer preferential periods.
• Tax exemption and tax reduction period: New investment projects usually enjoy a 4-year tax exemption and a subsequent 9-year 50% tax reduction policy.
• Import and export tax concessions: Enterprises in certain special economic zones can enjoy additional import and export tax exemptions.
• Land-use tax and rent exemptions: Most SEZs and industrial parks offer land-use tax exemptions and rent concessions for periods of 15 years or longer.
• One-stop service: Many special zones and parks have set up one-stop service centers to simplify administrative procedures and improve efficiency.

These policies have made special economic zones and industrial parks hot spots for attracting manufacturing investment.

2. Preferential measures for underdeveloped regions

• To promote economic development in underdeveloped regions, Vietnam provides additional tax incentives for investments in these regions:
• Lower corporate income tax rate: Investment projects in areas with particularly difficult socio-economic conditions can enjoy a preferential tax rate of 10% for up to 30 years.
• Longer tax exemption and reduction periods: Projects in these areas can enjoy a tax exemption period of up to 6 years and a 50% tax reduction period of 13 years.
• Accelerated depreciation: Allows companies to accelerate the depreciation of fixed assets, up to twice the normal depreciation rate.
• Additional VAT benefits: Certain products from certain less developed regions may enjoy VAT reductions.
• Human Resources Policy: To attract talent to underdeveloped areas, individual income tax reductions and other benefits are provided.

These measures are aimed at attracting investment to underdeveloped regions and promoting the industrialization and modernization of these regions.

Regional tax incentives provide manufacturing companies with additional considerations when choosing investment locations. When making investment decisions, companies should fully evaluate the long-term benefits of these incentives, while also considering other factors such as infrastructure and human resources. In addition, companies should also be aware that these incentives may be adjusted over time and with economic development conditions, so they should keep an eye on policy changes.

Tax support for specific manufacturing sectors

To promote industrial upgrading and sustainable development, the Vietnamese government has provided targeted tax support policies for specific manufacturing sectors. These policies are mainly focused on high-tech manufacturing, pillar industries, and environmental protection and energy-saving industries. Through these policies, Vietnam aims to improve the technological level of its manufacturing industry, strengthen its economic foundation, and promote green development.

1. High-tech manufacturing

Vietnam attaches great importance to the development of high-tech manufacturing industry and provides a number of preferential policies for it:

• Corporate income tax incentives: High-tech enterprises can enjoy a preferential tax rate of 10% for up to 15 years, which can be extended to 30 years for certain special projects.
• Tax exemption period: New high-tech projects can enjoy a tax exemption period of up to 4 years, followed by a 50% tax reduction for 9 years.
• R&D support: High-tech enterprises can enjoy a 300% pre-tax additional deduction for their R&D expenses.
• Import tax exemption: Imported equipment and raw materials used in high-tech production are exempt from import taxes.
• Talent policy: Provide personal income tax incentives for foreign experts introduced by high-tech enterprises.

These policies are aimed at attracting investment in high-tech manufacturing and improving Vietnam’s position in the global value chain.

2. Pillar Industries

The Vietnamese government has identified some pillar industries and provides them with special tax support:

• Automobile manufacturing industry: Enjoy preferential corporate income tax rates and import tax exemptions to support the development of the local automobile industry.
• Electronics and semiconductor industries: Provide R&D tax credits and equipment import tax exemptions to promote industrial upgrading.
• Textile and garment industry: Provide additional tax incentives to companies using local raw materials to support the localization of the industrial chain.
• Machinery manufacturing industry: Provide tax incentives related to technological upgrading, such as accelerated depreciation policies.

These measures are aimed at strengthening Vietnam’s industrial base and improving industrial competitiveness.

3. Environmental protection and energy-saving industry

To promote sustainable development, Vietnam provides special support to environmental protection and energy-saving industries:

• Corporate income tax incentives: Environmental protection projects can enjoy a preferential tax rate of 10% for a maximum period of 15 years.
• Tax exemption period: New environmental protection projects can enjoy 4 years of tax exemption and 9 years of half-tax reduction.
• VAT concessions: Certain environmental protection equipment and services are eligible for a preferential VAT rate of 5%.
• Import tax exemption: Imported equipment and technology used in environmental protection projects are exempt from import taxes.
• Accelerated depreciation: Environmental protection equipment is allowed to be depreciated at an accelerated rate of up to twice the normal depreciation rate.

These policies are aimed at encouraging enterprises to adopt clean production technologies and develop environmentally friendly industries.

Through these targeted tax support policies, Vietnam not only provides substantial financial benefits for specific manufacturing sectors, but also clearly conveys the country’s industrial development direction. When formulating investment strategies, companies should fully consider the long-term benefits of these policies. At the same time, it is also necessary to note that these policies may change with economic development and industrial policy adjustments, so it is necessary to maintain continuous attention to policy trends.

Tax incentives for R&D and technological innovation

The Vietnamese government attaches great importance to the R&D and technological innovation of manufacturing enterprises, and encourages enterprises to invest and develop in this field through a number of tax incentives. The following are the main tax incentives of the Vietnamese government for R&D expense deductions and technology transfer.

1. Additional deduction for R&D expenses

In order to encourage manufacturing companies to increase their R&D investment, the Vietnamese government has introduced a policy of additional deductions for R&D expenses. According to the policy, companies can use 125% to 150% of R&D-related expenses as deductible pre-tax costs when calculating taxable income. This policy is particularly suitable for high-tech companies, innovation-driven manufacturing industries, and projects related to national priority development areas. This means that companies can not only deduct the actual R&D expenses in full, but also enjoy additional deduction ratios, thereby significantly reducing taxable income. This policy design is intended to encourage companies to increase their investment in R&D, promote technological innovation, and enhance their core competitiveness.

2. Tax incentives for technology transfer

In terms of technology transfer, the Vietnamese government also provides generous tax incentives. In order to promote the introduction and application of advanced technologies, Vietnam grants tax exemptions to qualified technology transfer projects. Specifically, if the technology projects introduced by enterprises are identified as advanced technologies encouraged by the state, the enterprises can enjoy corporate income tax exemptions on the technology transfer income. In addition, the relevant expenses incurred by enterprises in the process of technology transfer can also be deducted to a certain extent. This policy will not only help promote the technological upgrading of Vietnam’s manufacturing industry, but also promote technical exchanges and cooperation between multinational companies and local companies, thereby enhancing the innovation ability and international competitiveness of Vietnam’s overall manufacturing industry.

Through these tax incentive policies, the Vietnamese government hopes to further strengthen the R&D and technological innovation capabilities of the manufacturing industry, laying a solid foundation for industrial upgrading and sustainable economic development. These policies can not only help companies reduce their tax burden, but also guide them to increase R&D investment and technological transformation, injecting new impetus into the long-term development of Vietnam’s manufacturing industry.

Human Resources Related Tax Policies

In the rapid development of Vietnam’s manufacturing industry, high-quality human resources have become an important factor in promoting corporate innovation and growth. In order to help companies better cultivate and introduce talents, the Vietnamese government has formulated a series of human resources-related tax policies to reduce the burden on companies in employee training and the employment of foreign experts.

1.Deduction of training expenses

The Vietnamese government encourages enterprises to increase investment in employee training to improve the skills of workers and the overall competitiveness of enterprises. To this end, the government allows enterprises to deduct the full amount of expenses spent on employee training before tax. This policy applies to all types of manufacturing enterprises, whether it is internal training or training courses provided by external professional institutions, they can enjoy the pre-tax deduction benefits. This policy not only helps enterprises reduce the pressure of training costs, but also encourages enterprises to continuously improve employee skills, adapt to market changes and technological advances, and thus enhance the market competitiveness of enterprises.

2. Tax Incentives for Foreign Experts

In order to attract international talents to participate in Vietnam’s economic construction, especially in the manufacturing sector, the Vietnamese government has provided special tax incentives for foreign experts. Specifically, qualified foreign experts can enjoy personal income tax exemptions, with the tax rate as low as 50% of the general tax rate. In addition, in some cases, the accommodation, transportation and other living expenses of foreign experts can also be regarded as tax-free income. These preferential policies have greatly reduced the cost of enterprises hiring foreign experts, attracted more international professionals to come to Vietnam to work, brought advanced technology and management experience to enterprises, and effectively promoted the internationalization and technological upgrading of Vietnam’s manufacturing industry.

Through these human resource-related tax policies, the Vietnamese government not only helps companies reduce human resource costs, but also plays an active role in promoting domestic talent training and the introduction of international talent. The implementation of these policies provides strong talent support for Vietnamese manufacturing companies in global competition, enabling them to maintain continuous innovation capabilities and development vitality in a changing market environment.

Special policies for small and medium-sized manufacturing enterprises

1. Simplifying tax procedures

In Vietnam, small and medium-sized manufacturing enterprises (SMEs) play an important role in the national economy. In order to support the development of these enterprises, the Vietnamese government has simplified tax procedures. These simplification measures include reducing the number of declarations, lowering audit requirements, and providing online declaration and payment platforms, allowing enterprises to manage tax affairs more efficiently. Through these simplified procedures, the government aims to reduce the administrative burden on SMEs, allowing them to invest more resources in production and innovation, thereby enhancing their market competitiveness.

2. Special preferential measures

In addition to simplified tax procedures, the Vietnamese government also provides a series of special preferential measures for small and medium-sized manufacturing enterprises. These measures may include lower corporate income tax rates, tax exemptions for start-ups, and additional deductions for research and development activities. These preferential measures are intended to encourage SMEs to invest in new technologies and product development, helping them gain a foothold in a highly competitive market. In addition, certain regions or industries may also provide additional tax incentives. For example, SMEs established in special economic zones or backward areas may enjoy longer tax exemption periods or higher tax exemptions. These policies are designed to help small and medium-sized manufacturing enterprises grow and develop sustainably by providing flexible and targeted support.

These special policies and preferential measures provide a solid support foundation for small and medium-sized manufacturing enterprises in Vietnam, enabling them to maintain vitality and innovation in the global competitive environment. Enterprises should make full use of these policies to optimize tax management and enhance their competitive advantages.

Policy Implementation and Application Process

1. Application Qualifications and Procedures

In Vietnam, manufacturing enterprises must meet specific eligibility conditions and apply in accordance with prescribed procedures to enjoy various tax incentives. First, enterprises need to confirm whether they meet the applicable conditions of relevant preferential policies based on their industry category, investment scale and project location. For example, high-tech manufacturing enterprises and enterprises located in special economic zones or underdeveloped areas usually enjoy more preferential treatment. Eligible enterprises need to prepare detailed project plans, including investment budgets, expected benefits, technological innovation plans, etc. Then, enterprises need to submit application documents to the Vietnamese tax department or relevant government agencies, usually accompanied by enterprise registration certificates, financial statements and other necessary documents.

The application process may involve the review of multiple government departments, and enterprises need to work closely with local governments and investment promotion agencies to ensure the accuracy and completeness of all documents. During the review process, government departments will conduct a rigorous assessment of the company’s application, focusing on the feasibility of the project, compliance with environmental standards, the degree of technological innovation, and contribution to the local economy. The entire application process usually takes several months, and during this period, enterprises should maintain communication with relevant departments in order to supplement or revise the application materials in a timely manner.

2. Regulatory and Compliance Requirements

After obtaining tax incentives, enterprises must strictly comply with various regulatory requirements and compliance obligations in Vietnam. These requirements include submitting tax reports on time, truthfully reporting income and profits, and complying with labor laws and environmental regulations. In addition, enterprises must regularly submit operating status reports to the tax department and other relevant government agencies to ensure that their actual operations are consistent with the plans submitted when applying. If a company undergoes major changes during the period of enjoying tax incentives, such as adjustments to the business scope or project relocation, it must report to the relevant departments in a timely manner and may need to reapply for or adjust the tax incentives.

Regulatory authorities will regularly audit and inspect companies that enjoy tax incentives to ensure that their behavior complies with relevant laws and regulations. If a company is found to have made false declarations, abused tax incentives, or engaged in other violations, the government has the right to cancel the company’s tax incentives and recover the tax exemptions. In addition, the company may face fines or other legal liabilities. Therefore, when enjoying tax incentives, companies must maintain a high level of compliance awareness and ensure that all tax processing and financial records are accurate.

By understanding and complying with these policy implementation and application procedures, companies can effectively take advantage of Vietnam’s tax incentives, thereby reducing operating costs and improving market competitiveness.

Challenges and future trends

1. Limitations of existing policies

Although the Vietnamese government has actively supported the development of the manufacturing industry through a series of tax incentives, these policies still face some limitations in their implementation. First, the complexity and diversity of policies may cause difficulties for enterprises in applying for and enjoying the incentives. Tax policies vary from region to region and industry to industry, and enterprises need to spend a lot of time and resources to understand and follow these policies. In addition, some policies lack transparency, and enterprises may encounter information asymmetry or unclear policy explanations during the application process, which increases the compliance risk of enterprises.

Another significant limitation is the universality of the policy. While most tax incentives are designed to attract large manufacturing companies and foreign-funded enterprises, small and medium-sized enterprises and local enterprises may face more challenges in enjoying these incentives. For example, the cumbersome application procedures and strict compliance requirements make it difficult for some small and medium-sized enterprises to fully utilize the dividends brought by the policy. In addition, the implementation effect of some preferential policies may be limited due to differences in regional development levels, and underdeveloped regions may not be able to fully play the expected role of the policy.

2. Future Policy Development Direction

With the changes in the global economic situation and the continued development of Vietnam’s manufacturing industry, Vietnam’s tax policies also need to be continuously adjusted and optimized to better adapt to new challenges and opportunities. In the future, the Vietnamese government may further simplify the application procedures for tax incentives, improve the transparency and operability of policies, and reduce the compliance costs of enterprises. At the same time, the government may strengthen support for small and medium-sized enterprises and introduce more targeted tax incentives to help these enterprises gain a foothold in the fierce market competition.

In terms of the specific development direction of policies, Vietnam may pay more attention to the development of high-tech and environmental protection industries. With the global emphasis on sustainable development, the Vietnamese government may introduce more tax incentives to support green manufacturing and technological innovation. In addition, with the acceleration of regional economic integration, the Vietnamese government may strive for more policy space conducive to the development of the manufacturing industry in tax agreements and economic cooperation with other countries, creating a more favorable external environment for enterprises.

Conclusions and recommendations

The diversity and complexity of Vietnam’s manufacturing tax policies provide companies with abundant preferential opportunities, but also bring corresponding challenges. When enjoying these tax incentives, companies need to deeply understand the policy details and ensure compliance operations to minimize tax risks. At the same time, companies should actively pay attention to the changing trends of Vietnam’s tax policies and adjust their business strategies in a timely manner to seize new policy opportunities.

For enterprises operating or investing in the manufacturing industry in Vietnam, it is recommended to cooperate with professional tax advisors and legal experts to ensure accurate understanding and application of tax policies. In addition, enterprises should focus on communication with the government and industry associations to obtain the latest policy information and support. This will not only help optimize the tax planning of enterprises, but also enhance the competitiveness of enterprises in the Vietnamese market.

Overall, Vietnam’s tax policies for the manufacturing industry provide a good development environment for enterprises, but enterprises need to actively respond to challenges in policy implementation and prepare for possible policy changes in the future in order to maintain their advantages in the fierce market competition.