Offshore wind power projects in Vietnam must have the participation of domestic enterprises with at least 5% of chartered capital or voting shares of the company that implements such projects.
The “domestic enterprises” must be wholly state-owned enterprises (SOEs) or firms with SOEs holding more than a 50% stake.
The above regulations are mentioned in the government’s Decree 58/2025 on renewable and new energy, effective from March 3, 2025.
Another requirement for foreign investors is that they must have experience in investing and developing at least one offshore wind power project that is operational in Vietnam or in the world.
“Experience” includes direct investment, contributing a minimum 15% of the project’s total investment capital, and the ratio of equity to capital contribution being at least 20%.
If not contributing capital, the foreign investors must be a unit performing one of the following activities: project management or design or construction.
In case the project investor is a consortium, “experience” is the total experience of the consortium members.
They must also commit to utilizing domestic supplies (workforce, service, products) during their investment, construction and operation, on the basis of ensuring competitiveness of prices, quality, schedule, and available capability.
Vietnam currently has no offshore wind power projects. The country targets to add 6,000 MW of offshore wind power to its masterplan by 2030 and put the related projects into operation in 2030-2035, Deputy Minister of Industry and Trade Nguyen Hoang Long said last week. The target is 113,503-139,097 MW of offshore wind power by 2050, he added.
German renewable energy developer Pure New Energy’s (PNE) $4.6 billion Hon Trau wind power project in Vietnam’s south-central province of Binh Dinh has recently been re-classified as a nearshore wind power project.
Copenhagen Infrastructure Partners (CIP), a major Danish renewable energy developer, entered Vietnam in 2019 with the 3.5 GW La Gan offshore wind farm project in Binh Thuan province as its first project.
Foreign investors of offshore wind power projects in Vietnam can sell their projects, and wholly state-owned enterprises (SOEs) or subsidiaries of those SOEs are prioritized to buy them.
The transaction is only permitted if the Vietnamese investors in the company refuse to purchase, according to the government’s Decree 58/2025 on renewable and new energy, effective from March 3, 2025.
Transactions of a part of an offshore wind project or an entire project must comply with the Electricity Law 2024 and other laws related to investment, enterprises, and sea.
They must be approved by the Ministry of National Defense, the Ministry of Public Security, the Ministry of Foreign Affairs, and the Ministry of Industry and Trade if there is involvement of foreign investors.
A sea-based wind power project in Tra Vinh province, Mekong Delta, southern Vietnam. Photo courtesy of Trungnam Group.
In cases of not-yet operational projects, the foreign buyers must meet the following requirements.
First, they must have experience in investing and developing at least one offshore wind power project that is operational in Vietnam or in the world. “Experience” includes direct investment, contributing a minimum 15% of the project’s total investment capital, and the ratio of equity to capital contribution being at least 20%.
Second, the foreign buyers must ensure that the offshore wind power project has the participation of domestic enterprises with at least 5% of chartered capital or voting shares of the company that implements such projects. The “domestic enterprises” must be wholly state-owned enterprises (SOEs) or firms with SOEs holding more than a 50% stake.
Third, they must commit to utilizing domestic supplies (workforce, service, products) during their investment, construction and operation, on the basis of ensuring competitiveness of prices, quality, schedule, and available capability.
For operational projects, the transations must meet the “second” requirement mentioned above.
Good Way Technology, a Taiwan-based original design manufacturer (ODM) specialized in computing and mobile peripherals, will invest $15 million more in Vietnam.
In a recent filing with the Taipei Exchange (TPEx), Good Way Technology said it would invest $15 million in Good Way Cayman and then reinvest the entire amount in its sub-subsidiary Good Way Technology Vietnam.
The construction site of Good Way Technology factory in Thai Binh province, northern Vietnam. Photo courtesy of Lao Dong (Labor) newspaper.
The purpose of the move is “long-term investment,” according to the filing.
Good Way Technology Vietnam received an investment certificate for the project in October 2023. In February 2024, it kicked off the construction of a $45 million factory in the northern province of Thai Binh.
The factory, located in the Lien Ha Thai Industrial Park, will manufacture peripheral devices like USB connectors for computers. It will have an annual capacity of 3.7 million items.
Construction of the project’s first phase is scheduled for completion in Q3/2024, enter trial production the next quarter and start official production in Q1/2025.
Corresponding times for the second phase will be Q4/2026, Q1/2027 and Q2/2027.
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