Top 5 Challenges Facing Vietnam’s Logistics Sector in 2025

Vietnam’s logistics industry stands at a pivotal juncture in 2025. While the nation has made significant strides in infrastructure development and digital transformation, several challenges continue to impede its full potential. Addressing these issues is crucial for Vietnam to solidify its position as a key player in global supply chains.​

1. High Logistics Costs Impacting Competitiveness

Despite advancements, Vietnam’s logistics costs remain disproportionately high. Estimates indicate that logistics expenses account for approximately 15-16% of the country’s GDP, surpassing the global average and affecting the competitiveness of Vietnamese goods in international markets. ​Vietnam Investment Review – VIR

Contributing factors include:​

• Fragmented transportation networks

• Inefficient intermodal connections

• Underdeveloped cold chain systems​LinkedIn+1Wikipedia+1

To mitigate these costs, Vietnam is investing in infrastructure projects and promoting digital solutions to enhance efficiency.​

2. Infrastructure Limitations and Connectivity Gaps

While Vietnam has expanded its expressway network, challenges persist in achieving seamless connectivity across different transportation modes. Inadequate road and port facilities, especially in certain regions, hinder the efficient movement of goods. ​Vietnam Briefing

Efforts are underway to address these issues, including:​

• Developing multimodal transport hubs

• Upgrading existing infrastructure

• Implementing standardized logistics practices​

These initiatives aim to streamline operations and reduce bottlenecks in the supply chain.​

3. Regulatory Changes Increasing Operational Costs

New traffic regulations introduced in early 2025 have led to significant disruptions in the logistics sector. These rules mandate stricter driving hours and increased rest periods for truck drivers, aligning with international standards but resulting in higher operational costs. ​Reuters

The impact includes:​Reuters

• Increased need for drivers and vehicles

• Higher labor and maintenance expenses

• Potential delays in delivery schedules​

Logistics companies are adapting by optimizing routes and investing in driver training programs to comply with the new regulations.​

4. Shortage of Skilled Labor in Logistics

The rapid growth of Vietnam’s logistics sector has outpaced the availability of skilled labor. There is a pressing need for professionals proficient in supply chain management, digital technologies, and international trade regulations. ​

To bridge this gap, stakeholders are:​Vogue Business

• Collaborating with educational institutions to develop specialized training programs

• Offering competitive compensation packages to attract talent

• Implementing continuous professional development initiatives​

These measures aim to build a competent workforce capable of supporting the industry’s evolving demands.​

5. Navigating Global Trade Uncertainties

Vietnam’s logistics sector is susceptible to global trade dynamics, including tariff fluctuations and geopolitical tensions. Recent challenges, such as the imposition of tariffs by major trading partners, have created uncertainties in export markets. ​

To enhance resilience, Vietnam is:​Vogue Business

• Diversifying trade partnerships

• Investing in compliance and certification processes

• Strengthening domestic supply chains​Vogue Business+2LinkedIn+2Reuters+2

These strategies aim to mitigate risks and ensure the stability of logistics operations amid global uncertainties.​

Conclusion

Vietnam’s logistics sector in 2025 is characterized by both significant opportunities and formidable challenges. Addressing high operational costs, infrastructure limitations, regulatory changes, labor shortages, and global trade uncertainties is essential for sustainable growth. Through strategic investments, policy reforms, and workforce development, Vietnam can enhance its logistics capabilities and reinforce its position in the global supply chain.​

For businesses seeking to navigate these complexities, partnering with experienced logistics agents and leveraging local expertise can provide a competitive edge in this dynamic environment Vietnam-Agent.com.