Ministry of Industry and Trade to proactively advance digital transformation

Driving the Digital Shift

The Ministry of Industry and Trade (MoIT) is actively assisting Vietnamese supporting industry enterprises in embracing digital transformation to seize opportunities from the Fourth Industrial Revolution and move toward smart, sustainable manufacturing.

According to Director of the Industrial Development Support Center, Chu Viet Cuong, under the MoIT’s Department of Industry, the agency has consistently organized initiatives through the center to aid businesses. These efforts include implementing digital transformation models and developing smart factory systems aimed at enhancing production efficiency and integrating into global supply and value chains.

“We regularly conduct training programs and introduce intelligent production management systems for factories and enterprises in the supporting and industrial sectors,” Cuong emphasized.

Domestic supporting industry enterprises have also become increasingly active in applying modern standards and management tools in their manufacturing and production processes.

The MoIT has also fostered partnerships with multinational corporations and major foreign direct investment (FDI) enterprises operating in Vietnam. These collaborations focus on production improvements, workforce upskilling, digital transformation, and the development of smart factories for domestic industrial firms. These support programs have yielded promising results, spreading positive momentum across Vietnam’s industrial landscape and opening greater opportunities for local businesses to participate more deeply in global supply chains.

Chief Executive Officer of Intech Group, Hoang Huu Thang, a leading enterprise in Vietnam’s supporting industries, noted that the firm has prioritized digital transformation and adopted a phased approach toward full integration. “With a digital operating platform, all data is meticulously recorded. This enables us to make strategic decisions based on science and data,” he shared. “It also enhances the customer experience by ensuring timely service, including maintenance and repair work.”

Vietnamese-made supporting industry products are increasingly trusted by global giants such as Samsung, LG, Apple, Honda, and Toyota. Local suppliers are now providing key components for global production chains.

Boosting support for businesses

Vietnamese component manufacturers have made significant strides in areas such as mold-making, bicycle and motorcycle parts, standard mechanical components, electrical cables, and high-tech rubber and plastic parts. These products not only meet domestic demand but are also exported worldwide.

Local supporting industry firms are increasingly applying modern standards and management tools in their manufacturing processes. Major Vietnamese conglomerates like Viettel, Vingroup, Truong Hai (THACO), Thanh Cong, and Hoa Phat have developed strong industrial bases in materials, machinery, and basic industries, laying a solid foundation for supporting industries to integrate into global production networks.

Despite existing support policies for digital transformation, many businesses still face challenges accessing these resources. Several firms reported that the cost of applying for state-funded support sometimes exceeds the benefits received. Moreover, information about available programs often fails to reach the enterprises most in need.

Deputy General Director of Hanel Production and Trading JSC (Hanel PT), Tran Duc Tung, noted that digital transformation is far from easy. “The greatest challenge is leadership commitment. Without a clear and determined strategy from top management, transformation efforts are unlikely to succeed.”

To move toward smart manufacturing, Hanel PT is focusing on standardizing both operational technology (OT) and information technology (IT). “We’ve achieved around 60% automation in our operations, and our next goal is to raise that to 80%,” said Tran Duc Tung.

He also highlighted the need for more accessible financial support. “We hope to access favorable loans and funding packages more easily, with simplified procedures. There should also be R&D support, because digital transformation is fundamentally an R&D activity within production.”

“To successfully transform, we must improve workforce quality. We hope the Department of Industry and the government will expand training programs to help our staff manage and operate new systems more effectively,” he added.

Strengthening the ministry's ecosystem

Head of the Supporting Industries Division at the Department of Industry, Nguyen Manh Ha, acknowledged the difficulties businesses face during digital transformation. He noted that the government has introduced various mechanisms and policies to promote the development of both the general and supporting industries in recent years. The department has also engaged in multiple cooperation activities with domestic and international partners, including large FDI companies, to enhance the competitiveness of Vietnamese firms and support their integration into global supply chains.

Looking ahead, Ha stressed the need for establishing specialized industrial zones in the north, central, and southern regions. He called for additional workforce training, support for importing used yet internationally standardized machinery, and stronger state-led efforts to guide local enterprises into production networks. He also urged better connections between major international corporations operating in Vietnam and local supporting industry firms.

Digital transformation is rapidly unfolding across all sectors of the economy — especially in industrial production and, more specifically, in supporting industries. This trend demands that Vietnam’s manufacturing sector accelerate its digital shift to keep pace with the evolving requirements of modern development.