Vietnam 20240509: Tumult, Dearth, Roadtrip

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Headlines:

Vietnam Sticks to "Three Nos" Policy

Logistics Firms Defy Odds and Thrive

Iconic Markets Lose Luster as Shoppers Go Digital

Vietnam, Thailand Eye Green Collab

Another Party Bigwig Falls in Graft Crackdown

Mekong Restoration Push Gains Steam

Cambodia Brushes Off Vietnam's Canal Concerns

Vietnamese Airlines Soar Despite Turbulence

Electric Supply to Rise With Surging Demand

Affordable Housing Supply Runs Dry

Global Ties: US, FR, NP, DZ

Dong's Dip No Cause for Alarm

Vietnam Opens Roads to Foreign Wheels

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Vietnam Sticks to "Three Nos" Policy

A decade after the 2014 oil rig crisis in its backyard, Vietnam is holding fast to its "Three Nos" policy: no military alliances, no siding with one country against another, and no foreign military bases. Despite all-to-frequent Chinese maritime incursions, Vietnam has played it cool in the South China Sea lately. While boosting maritime security ties with the US and its pals, Vietnam has been careful to reassure that these moves aren't about boxing in China. The commitment to the policy comes from both external and internal factors, including wariness of great power showdowns and the victory of General Secretary Nguyen Phu Trong, who pitched the idea of "bamboo diplomacy" to balance relations with the big players.

Read more: Fulcrum

Logistics Firms Defy Odds and Thrive

The logistics industry is on a tear, growing 14-16% annually and hitting $40-42 billion, despite sky-high costs and patchy infrastructure. Homegrown firms, though small, are punching above their weight, says VietAviation Logistics CEO Duong Quang Duy. While foreign players dominate, Vietnamese companies are holding their own with competitive rates and unique offerings. VietAviation, for example, is touting express delivery and logistics freight rates 15% lower than global rivals. Vietnam also has the chops to set up international transshipment ports, with the Cai Mep-Thi Vai complex ready to handle big ships. The country could snag a chunk of the projected demand for 12.8 million TEU of transshipped container goods via East Sea ports by 2030.

Read more: The Investor (Domestic Firms), Vietnam News (Transshipment Potential)

Iconic Markets Lose Luster as Shoppers Go Digital

Once-thriving traditional markets, the pulse of commerce and community, are fighting for survival as shoppers flock to online platforms. The allure of e-commerce's convenience and cutthroat prices has flipped shopping habits, leaving these age-old markets in the lurch. Hanoi's storied Dong Xuan and Hom markets are prime examples, with once-packed aisles now deserted and vendors left twiddling their thumbs. Small businesses, saddled with fixed costs, can't touch the rock-bottom prices of online sellers. A basic tee at Dong Xuan can cost up to 60% more than its digital twin, driving bargain-hunters away and forcing businesses to adapt or die.

Read more: VN Economy

Vietnam, Thailand Eye Green Collab

Vietnam and Thailand are looking to expand cooperation into green economy, circular economy, and renewable energy. Le Huu Phuc, head honcho at the Vietnam Trade Office in Thailand, sees demand for cooperation between the two countries soaring as they chase climate change goals, especially hitting net-zero emissions. The Trade Office is all-in on connecting enterprises in these fields, calling it an inevitable trend. Phuc stresses there's plenty of room to grow bilateral cooperation as both nations develop these emerging sectors.

Read more: Nation Thailand

Another Party Bigwig Falls in Graft Crackdown

The Communist Party is in the hot seat as yet another high-ranking official, Vuong Dinh Hue, steps down amid a massive corruption probe. Hue, the National Assembly chairman, resigned over vague "violations" of party rules, joining a growing list of ousted officials, including two presidents in two years. Party leader Nguyen Phu Trong's sweeping anti-graft campaign, launched in 2016, has taken down thousands of government and business leaders. Experts say Vietnam is in uncharted political waters, with the party's reputation and legitimacy taking a hit.

Read more: DW