On June 30, the European Chamber of Commerce in Vietnam (EuroCham) released the Q2/2025 edition of the Business Confidence Index (BCI), revealing an evolving but still resilient outlook among European businesses operating in Vietnam. The index eased slightly to 61.1 points amidst global uncertainty, but the overarching message remains one of tempered optimism. Despite turbulence in international markets and temporary bottlenecks in domestic reforms, businesses maintain confidence in Vietnam’s long-term growth trajectory.

"European businesses in Vietnam remain confident in the investment climate," remarked EuroCham chairman Bruno Jaspaert. "Around three in every four (72 per cent) surveyed business leaders would recommend Vietnam as an investment destination – and this has been a consistent trend across recent BCI reports. That level of consistency speaks volumes."

Among the key factors influencing sentiment is the unresolved impact of US tariffs. Following the third round of Vietnam – US trade negotiations in June with no definitive outcomes, uncertainty over tariff adjustments continues to weigh on strategic planning, particularly for companies managing cross-border supply chains. Open-ended responses from this BCI survey repeatedly flagged these evolving cards as a concern – not yet a crisis, but a development worth monitoring closely.

While business leaders are increasingly alert to rising global trade instability, most are yet to feel major financial impacts on the ground. The geopolitical environment continues to evolve, but so far, the effects on European businesses in Vietnam remain limited.

Although concerns around sourcing strategies and supply chain resilience are rising, only 15 per cent of respondents reported net negative financial impacts – including penalties, cancelled orders, or price renegotiations. 70 per cent said they had experienced no measurable impact, and 5 per cent even reported net gains thus far.

One of the tools helping businesses maintain this resilience is the Certificate of Origin (C/O): a strategic asset that underpins preferential trade access and trust in increasingly complex global markets. More than just a formality for tariffs exemption, C/O serves as a core pillar of credibility, traceability, and compliance in modern trade. 56 per cent of BCI respondents reported submitting C/O documents on a monthly basis, especially among larger enterprises.

While the majority of businesses received their C/O within the standard 3-5 working days, 12 per cent experienced delays of over a week, potentially disrupting order fulfilment and increasing costs. On the other hand, a standout 5 per cent of businesses received C/O within 24 hours – a benchmark that reflects the growing efficiency of certain customs procedures.

Source: Vietnam Investmnet Review