17/04/2026
INDUSTRIAL MARKET - A SHIFT IN MINDSET – FROM “RURAL EXODUS” TO “RETURN-TO-LOCAL INVESTMENT”
In the 80s & 90s, migrating to big cities was almost the only path to building a career. Millions of young workers left their hometowns, heading to urban centers with one belief: the city equals opportunity. Industrial zones, factories, and services were heavily concentrated in major cities, creating massive labor demand.
But that picture is rapidly changing.
1. A Reversal Trend: Industry Moving Back to Rural Areas
Today, it’s no longer workers chasing jobs - it’s businesses chasing labor.
Land prices range from $45–$70/SQM/ 50 - Years, while in major cities they typically range from $200–$350/SQM/50 - Years.
Investors are increasingly shifting toward:
• Provincial areas and satellite regions
• Rural and semi-rural locations
• Undeveloped but high-potential localities
The reasons are clear:
• Significantly lower land costs
• Larger land banks with room for expansion
• Attractive investment incentives (tax, infrastructure, procedures)
• Abundant and cost-effective labor supply
• Less competition compared to major cities
Gone are the days of fighting over every square meter of industrial land or constantly raising wages to retain workers.
2. The Harsh Reality in Major Cities
Meanwhile, companies trying to “force their way” into big cities are facing:
• Soaring land lease and operating costs
• Severe labor shortages
• Increasing regulatory and environmental pressures
• Intense competition and shrinking profit margins
And for workers:
• High cost of living
• Pressure from housing, healthcare, and education
• Crowded, unstable living conditions
A clear paradox: both businesses and workers are struggling to stay in large cities.
3. Golden Opportunities in “Undervalued” Regions
Places once considered “remote” or “underdeveloped” are now becoming:
• New industrial hubs
• Strategic manufacturing satellites
• Destinations for both FDI and domestic investment
This is no longer a backup option—it’s the optimal choice.
4. Changing the Mindset – First Movers Win
The question is no longer:
“Should we go to the city?”
But rather:
“Why not move one step ahead—choose the right place at the right time?”
Why:
• Struggle to compete in oversaturated markets?
• Accept higher costs and greater risks?
When you can:
• Secure land at better prices
• Take full advantage of incentives
• Access and stabilize your local workforce
• Build a sustainable production ecosystem from the ground up
Vietnam’s industrial market is entering a phase of major redistribution. Businesses that are agile, forward-thinking, and willing to shift their mindset will gain a significant advantage over the next 5–10 years.
Don’t follow outdated paths. Invest where the future is heading.
Contact Us
We support you with:
• Industrial site selection and feasibility assessment
• Cost–benefit and risk analysis
• Legal procedures and investment licensing
• Infrastructure, workforce, and operational setup
Contact us today for FREE end-to-end consulting - from concept to smooth operation.
Contact TTTFIC Group
- Tel: (+84) 274 633 6888
- Mobile: (+84) 93 643 1788
- Email: [email protected] – [email protected]
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