Starting a Logistics Business in Vietnam in 2024-25: Process, Benefits & Requirements

Do you want to start your logistics business in Vietnam in 2024-25? Contact OnDemand International for incorporation. To know more about this, read our complete article.


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    Logistics Business in Vietnam

    Vietnam’s strategic location and robust economic growth make it an attractive destination for logistics businesses. With the country emerging as a manufacturing hub in Southeast Asia, the demand for logistics services is on the rise. This article outlines the essential steps and considerations for starting a logistics business in Vietnam.

    Process for Starting a Logistics Business in Vietnam

    1. Market Research: Conduct thorough market research to understand the logistics sector, including demand, competition, and regulatory environment.
    2. Business Plan: Develop a comprehensive business plan outlining your services, target market, financial projections, and marketing strategies.
    3. Company Registration: Register your business with the Department of Planning and Investment (DPI) in Vietnam. This includes choosing a company name, obtaining a business registration certificate, and registering for taxes.
    4. Investment License: If you’re a foreign investor, obtain an Investment Registration Certificate (IRC) and an Enterprise Registration Certificate (ERC).
    5. Location and Infrastructure: Secure a suitable location for your business operations, such as warehouses and office space. Invest in necessary infrastructure and technology.
    6. Staffing: Hire skilled staff familiar with the logistics industry. Ensure compliance with labor laws and provide necessary training.
    7. Licensing and Permits: Obtain all required licenses and permits, including a transport business license and permits for specific types of logistics services.
    8. Network and Partnerships: Establish partnerships with local and international logistics companies, suppliers, and clients to build a strong network.

    Benefits for Establishing a Logistics Business in Vietnam

    1. Strategic Location: Vietnam’s proximity to major global trade routes enhances its logistics potential.
    2. Growing Economy: Vietnam’s rapidly growing economy and increasing foreign investment provide numerous business opportunities.
    3. Trade Agreements: Various free trade agreements (FTAs) reduce tariffs and barriers, making Vietnam an attractive hub for international trade.
    4. Government Support: The Vietnamese government offers incentives and support for foreign investors in the logistics sector.
    5. Cost Efficiency: Competitive labor costs and affordable real estate make Vietnam a cost-effective location for logistics operations.

    Requirements to Incorporate a Logistics Business in Vietnam

    1. Capital: Ensure adequate capital for initial setup and operational expenses. Foreign investors need a minimum capital requirement.
    2. Local Presence: Establish a physical presence in Vietnam, including an office and warehouse facilities.
    3. Compliance: Adhere to local laws and regulations, including business registration, tax compliance, and labor laws.
    4. Technology: Invest in modern logistics technology, such as transportation management systems (TMS) and warehouse management systems (WMS).
    5. Professional Team: Hire experienced professionals with expertise in logistics, supply chain management, and local market knowledge.

    Documents Required to Register a Logistics Business in Vietnam

    1. Business Registration Certificate: Proof of company registration with the DPI.
    2. Investment Registration Certificate (IRC): Required for foreign investors.
    3. Enterprise Registration Certificate (ERC): Official registration document for the enterprise.
    4. Transport Business License: Necessary for operating transport services.
    5. Lease Agreement: Proof of office and warehouse lease.
    6. Employee Contracts: Contracts for all hired staff, complying with local labor laws.
    7. Insurance Policies: Documentation of insurance coverage for operations, assets, and employees.
    8. Financial Statements: Initial financial statements and proof of sufficient capital.


    Starting a logistics business in Vietnam offers numerous opportunities due to its strategic location, economic growth, and supportive government policies. By following the outlined process, understanding the benefits, meeting the requirements, and preparing the necessary documents, you can successfully establish and grow your logistics business in this dynamic market. Contact OnDemand International to set up your logistics business in Vietnam.

    Frequently Asked Questions

    What is the minimum capital required for a logistics business in Vietnam?

    The minimum capital requirement varies depending on the type of logistics services offered. For foreign investors, it typically ranges from USD 10,000 to USD 50,000.

    Do I need a local partner to start a logistics business in Vietnam?

    No, foreign investors can wholly own a logistics business in Vietnam. However, partnering with a local company can provide market insights and facilitate smoother operations.

    How long does it take to register a logistics business in Vietnam? 

    The registration process usually takes between 30 to 60 days, depending on the completeness of your application and the type of business.

    What are the key challenges in the logistics sector in Vietnam? 

    Key challenges include regulatory compliance, infrastructure limitations, and competition from established players. However, these can be mitigated with thorough planning and local partnerships.

    Can I offer both domestic and international logistics services? 

    Yes, you can offer both domestic and international logistics services, provided you obtain the necessary licenses and comply with relevant regulations.