The average price of apartments in Ho Chi Minh City reached VND91 million ($3,565) per square meter in 2024, up 33% year-on-year, due to the high prices of new supply and the increase in prices of old projects.
Gamuda Land’s Eaton Park project in Thu Duc city, Ho Chi Minh City has a price of over VND100 million ($3,918) per sqm. Photo courtesy of Gamuda Land.
A report from property consultancy Savills showed that the HCMC real estate market closed 2024 with some positive signals, opening up a promising start for 2025 and beyond.
The primary supply increased by 10% year-on-year to nearly 11,900 units. The supply of grade-C apartments dropped significantly by 45% year-on-year from 2020, to about 1,300 units in 2024.
The primary supply of apartments priced below VND50 million ($1,959) per square meter decreased by 20% year-on-year, making up only 15% of the total primary supply.
Sales increased by 29% year-on-year to 8,000 transactions, led by grade-B apartments which accounted for 67%, followed by Grade C at 28, and Grade A at 5%.
Transactions of high-end apartments priced over VND80 million ($3,135) per sqm surged by 2,118% year-on-year, making up 76% of total transactions.
Le Hoang Chau, chairman of the Ho Chi Minh City Real Estate Association (HoREA), stated that the property market has overcome the most difficult period in 2024 and is transitioning into a recovery phase, with growth month-on-month, quarter-on-quarter and year-on-year.
However, the real estate business revenue in January 2025 in HCMC only reached VND22,932 billion ($898.4 million), a decrease of about 3.3% compared to December 2024, he noted.
“Our economy has not yet recovered as expected, as shown clearly by the General Statistics Office’s data. Therefore, it can be predicted that the real estate market in HCMC and across the country will still face many challenges in 2025, and will serve as a transitional year toward a new phase of healthier and more sustainable development starting in 2026.”
He assessed that in 2024, the HCMC real estate market continued to face the shortage of housing project supply, leading to a shortage of housing products. The most concerning issue is that since 2021, there have been no affordable commercial housing units priced under VND30 million ($1,175) per sqm in new residential projects, and there is a severe shortage of social housing.
On the other hand, the high-end housing segment from 2020 to 2023 consistently dominated the market, with about 70% of new housing units launched each year being high-end, and it is worrying that in 2024, for the first time, all projects launched belonged to the high-end segment.
“The market sees no affordable commercial and mid-range housing, leading to an unbalanced and unsustainable market development, like an inverted pyramid,” he stressed.
The HoREA chairman noted that housing prices have continuously increased over the past years and remain at very high levels, with high-end apartments in 2024 reaching up to VND90 million ($3,526) per sqm, exceeding the financial capacity of the majority of middle-income and low-income urban residents.
Over 10,000 apartments to be launched
According to Savills, in 2024, both supply and market sentiment improved, but prices remained high. Therefore, demand continues to shift to neighboring provinces with more affordable prices and better infrastructure development.
Giang Huynh, head of research & S22M at Savills HCMC, stated that the real estate market in the southern economic hub is currently facing a land shortage, and project development costs are high. This forces developers to choose product segments that ensure minimum profitability.
“Particularly, if land is located in strategic areas and near the city center, developers will prioritize the mid- to high-end segments to optimize financial outcomes. Supply and demand also have a significant impact, and the limited supply has pushed the prices of high-end products higher.
“In the short term, the HCMC market will still focus on mid- and high-end segments. If buyers are looking for affordable products, they will need to move to areas further from the city center. Market balance can only be established when supply is unlocked. However, this requires more land in the city center and suburban areas,” she commented.
In 2024, apartments priced at VND50 million ($1,959) per sqm or lower accounted for only 18% of total sales, a sharp decline compared to 2020, when this segment made up nearly 50%. The number of transactions also decreased significantly, with a 39% decrease every year since 2020.
“The scarcity of affordable apartments has led buyers with moderate budgets to look for markets in neighboring areas like Binh Duong, Dong Nai, and Long An, where apartment prices range from VND30-40 million ($1,567) per sqm. This demand shift has led to significant growth in apartment transactions in Binh Duong, with more than a 200% year-on-year rise,” she explained.
Savills forecast that in 2025, more than 10,000 apartments are expected to be launched, with grade-B apartments accounting for 54% of the total. By 2027, future supply will reach approximately 46,000 units from 69 projects. Thu Duc city is expected to make up 52%, Binh Tan district 11%, and District 7 10%.
The Thaco – Thái Bình Industrial Park, covering more than 194 hectares with an investment of over VND 2,100 billion, is expected to become operational within this year, according to the development plan.
Recently, provincial leaders of Thái Bình conducted an on-site inspection of land clearance efforts and infrastructure construction progress at the Thaco – Thái Bình Industrial Park located in Quỳnh Phụ District.
To date, Quỳnh Phụ District has completed compensation and land clearance for nearly 192 hectares of agricultural land, involving the land recovery of 1,067 households to hand over to the investor for project implementation.
Currently, the district is focusing on clearing the remaining land, involving 94 households in Lương Cầu Hamlet, An Cầu Commune. At the same time, it is coordinating with the electricity sector to relocate a 220kV high-voltage power line.
On the investor’s side, groundwork construction is underway, including roadbeds, internal roads, stormwater and wastewater drainage systems, and communication infrastructure within the industrial park.
The Thaco – Thái Bình Industrial Park is a specialized high-tech agricultural industrial park proposed by THACO Group (chaired by billionaire Trần Bá Dương) since 2017, originally planned to cover 250 hectares. By July 2017, the provincial authorities agreed to incorporate the project into Thái Bình’s industrial development master plan.
In August 2020, THACO officially broke ground on the industrial park’s infrastructure. A year later, in August 2021, the project’s investment certificate was revised, confirming a total investment of over VND 2,100 billion and a land area of more than 194 hectares. The project is being developed across An Thái, An Ninh, and An Cầu communes in Quỳnh Phụ District.
According to the roadmap, the investor is determined to complete and officially launch the project in 2025.
The Thaco – Thái Bình Industrial Park is designed as a dedicated high-tech agricultural zone, featuring various functional subdivisions including an administration center, agro-food processing zone, high-tech agricultural training center, experimental farms, agricultural materials production area, and a cargo transport port.
This project is considered one of the key developments in Thái Bình Province, playing a crucial role in the region’s socio-economic growth strategy.
In an era where sustainability is not just a choice but a requirement, carbon labelling is emerging as a crucial factor for exporters.
Vu Trung Kien, director Climate Change Resilience Centre
Countries like the US and the European Union are implementing stringent carbon regulations, such as the EU’s Carbon Border Adjustment Mechanism and increasing scrutiny on supply chain emissions.
Vietnamese businesses that fail to adopt carbon labelling risk losing access to lucrative markets. However, those that proactively integrate carbon footprint transparency into their products can gain a competitive advantage, enhance brand reputation, and secure long-term profitability.
Across the world, forward-thinking countries have embraced carbon labelling as a strategic tool for trade success. These efforts have not only helped businesses comply with regulations but have also opened doors to new investment and consumer markets.
Japan has implemented a government-backed carbon labelling programme that allows companies to display detailed carbon footprint information on their products. This has strengthened consumer trust and made Japanese goods more attractive in environmentally conscious markets such as the EU and North America.
The South Korean government incentivises businesses to adopt carbon labelling through tax benefits and green export support schemes. Companies that participate gain access to new trading partners, particularly in Europe, where sustainable supply chains are becoming the norm. Thailand, a key competitor to Vietnam, has integrated carbon labelling across industries such as food processing, textiles, and electronics. Thai exporters, particularly in agriculture, now benefit from preferential treatment in European supermarkets and trade agreements.
These case studies highlight an important lesson: carbon labelling is not just about compliance – it is a business strategy that enhances market access, builds consumer confidence, and future-proofs exports.
For businesses in Vietnam, waiting until carbon labelling becomes a legal requirement would be a mistake. Many international corporations have already set ambitious sustainability targets, requiring suppliers to provide verifiable carbon footprint data. Voluntary carbon labelling can position Vietnamese enterprises as reliable, future-ready partners.
It works by companies conducting a life cycle assessment to measure emissions from production to disposal. Products are labelled with a carbon footprint score, helping consumers and businesses make informed choices. Labels are often verified by third-party certifiers to ensure credibility and compliance with global standards.
The benefits include a boost for green supply chains. Companies like Nestlé and Unilever prioritise suppliers that provide carbon footprint transparency. Vietnamese food and beverage exporters can gain an edge by aligning with such demands.
Businesses with carbon-reduction strategies attract funding from international banks and investors that focus on increasing environmental, social, and governance (ESG) investment.
It also leads to improved consumer trust and higher sales. Studies indicate that climate-conscious consumers prefer labelled products. In markets like the EU, organic rice, seafood, and textiles from carbon-labelled brands command higher prices.
For Vietnamese companies looking to integrate carbon labelling into their strategy, a step-by-step approach can make the transition smooth and effective.
Pilot carbon labelling programmes in key sectors are critical, with a focus on industries where carbon labelling is already gaining momentum, such as textiles, seafood, agriculture, and furniture.
The process must start with one or two high-export products and conduct a carbon footprint analysis to understand emissions sources. Industry associations must also work with international partners to ensure the label aligns with EU and US standards.
Collaboration with certification bodies is also key, and partnering with recognised organisations such as the Carbon Trust (UK), TÜV Rheinland (Germany), or SGS (Switzerland) for certification is advised, as is engaging with Vietnamese regulatory bodies to advocate for government incentives similar to South Korea’s model.
Another vital part of the process is to leverage green financing and government incentives to access ESG-linked loans and grants that support supply chain improvements. Alongside this, there needs to be a move to propose carbon labelling incentive programmes through the Vietnam Chamber of Commerce and Industry or the Ministry of Industry and Trade.
The future of Vietnam’s export competitiveness is green. The world is moving towards sustainable trade, and carbon-labelling is no longer optional for businesses that want to thrive in international markets. By learning from successful global initiatives, Vietnamese companies can turn carbon transparency into an economic advantage rather than a compliance burden.
The time to act is now. Companies that lead in carbon labelling will not only future-proof their businesses but also shape Vietnam’s reputation as a responsible trade leader.
In the first quarter of 2025, an additional 588 million USD in foreign direct investment (FDI) poured into Binh Duong Province’s industrial parks, marking a 232% increase compared to the same period in 2024 and reaching 53.43% of the 2025 annual plan, as reported by the provincial Management Board of Industrial Parks on March 26.
Of the 588 million in FDI USD invested in industrial parks during the first quarter, there were 25 new investment projects with a total registered capital of more than 60.2 million USD and 26 projects with additional capital adjustments, contributing nearly 528 million USD in increased capital.
With this positive investment attraction in the first quarter, industrial parks in Binh Duong have so far attracted 3,252 active projects, including 2,561 FDI projects with total registered capital of 31.57 billion USD and 691 domestic investment projects with total registered capital of 93.664 trillion VND.
According to the Management Board of Industrial Parks in Binh Duong, 10 new projects have become operational in the first quarter. Currently, the province’s industrial parks have 2,706 active business and production projects, including 507 domestic projects and 2,199 FDI projects.
With effective operations, the estimated business and production targets for the first quarter of 2025 in the province’s industrial parks exceeded 11 billion USD, increasing by 7.72% compared to the same period last year and reaching 31.49% of the annual plan. Export turnover surpassed 6.34 billion USD, up 9.22% year on year, achieving 25.36% of the annual plan. Taxes and budget contributions reached nearly 175.4 million USD, increasing by 10.23% year on year and fulfilling 25% of the annual target.
Binh Duong currently has 29 industrial parks with a total planned area of 12,746 hectares. Of which, 28 industrial parks are already operational, covering a total of 12,046 hectares.
According to the Binh Duong Provincial Master Plan for 2021-2030, with a vision to 2050, which was approved by the prime minister, the province is planned to develop 48 to 50 industrial parks with a total planned area of 25,000 hectares.
