HÀ NỘI: Vietnam’s pharmaceutical industry is quietly transforming—and it’s happening faster than many people realise.
Driven by rising healthcare needs, stronger local manufacturing and sweeping government reforms, the sector has become one of the fastest-growing pharmaceutical markets in Asia. The Drug Administration of Vietnam (DAV) says the industry has been expanding at a steady 6–8 per cent a year. What was a US$2.7 billion market in 2015 is now on track to reach nearly US$8 billion by 2026, drawing growing interest from global investors.
This growth is visible on the ground. Across the country, medicines are being made, moved and sold through an increasingly dense network. Today, 245 companies are involved in importing and exporting pharmaceuticals, supported by nearly 8,000 wholesale distributors and more than 95,600 retail outlets. From modern pharmacies in cities to small drug cabinets in commune health stations, access to medicine is becoming more reliable for people in every region.
Vietnam is also making its mark beyond its borders. Last year, 67 exporters shipped pharmaceuticals and pharmaceutical ingredients worth $312 million, placing the country fourth in Southeast Asia. Although foreign-invested businesses lead exports at present, local firms are progressively growing their share. Most products head to Asian markets, with Europe and Japan close behind.
At home, production capacity has grown rapidly. The number of factories meeting international GMP-WHO standards has jumped from 158 in 2015 to 243 today. Nearly 30 of these meet even stricter European and international benchmarks. Thanks to this progress, locally made medicines now cover about 60 per cent of demand by volume and nearly half by value.
Vietnamese manufacturers are also becoming more self-reliant. They now produce all 13 essential drug groups identified by the World Health Organization and supply 11 of the 12 vaccines used in the national immunisation programme. Step by step, companies are gaining the know-how to produce biological products, raw pharmaceutical materials and excipients—areas once heavily dependent on imports.
Behind the scenes, reforms are making a real difference. The Ministry of Health has sharply reduced red tape, cutting administrative procedures in the pharmaceutical and cosmetics sectors by nearly 40 per cent in just one year. According to DAV Director Vũ Tuấn Cường, this has lowered costs and saved time for both businesses and the public.
Digital tools are playing a growing role too. Dozens of public services are now available online, many fully processed from start to finish, helping companies move faster and making government procedures more transparent. Last year alone, authorities handled more than 40,000 pharmaceutical-related applications, with most processed-on time and faster than before.
Looking ahead, Vietnam is laying the groundwork for long-term growth. A large pharmaceutical and biotechnology industrial park is set to break ground in Hưng Yên Province this year, while a second specialised park is planned for Ho Chi Minh City.
In 2026, the government’s concentration is on shrewder and keener regulation, more profound digital revolution and a sturdier, more self-adequate pharmaceutical commerce. The ultimate goal is simple but vital—making sure people across Vietnam have reliable access to safe, affordable medicines, including those that are rare or hard to source.
