Managing Vietnam’s High Logistics Costs: What Businesses Need to Know

September 29, 2025

Rising Logistics Costs in Vietnam

Vietnam’s logistics industry is a key driver of trade and economic growth, but rising costs remain a pressing challenge. According to the Ministry of Industry and Trade, logistics expenses in Vietnam account for about 16.8% of GDP, compared to the global average of 10–11%. This figure is also higher than regional peers such as Singapore at 8.5% and Malaysia at 13%.

In agriculture, logistics costs can represent up to 20% of product prices, directly affecting the competitiveness of Vietnamese exports. The main cost drivers are storage, inland transport, and customs procedures, which continue to create pressure for businesses in both domestic and international supply chains.

How Businesses Are Responding

These figures underline a broader reality: businesses operating in Vietnam need to carefully manage logistics planning in order to remain competitive. Many companies are now turning to measures such as shipment consolidation, better route optimization, and closer coordination with supply chain partners to reduce expenses.

For logistics providers, this context highlights the importance of offering solutions tailored to real business needs. Companies like Movanza are working within this environment to support importers and exporters, ensuring that goods move reliably while keeping costs under control.

Looking Ahead

As Vietnam continues investing in infrastructure and digitalization, the expectation is that logistics costs will gradually align more closely with regional benchmarks. Until then, staying informed and making proactive adjustments in supply chain strategy will be essential for businesses aiming to grow and compete internationally.