Vietnam tops ASEAN as most attractive to European businesses
Vietnam has emerged as the most attractive ASEAN market for European businesses planning to expand their operations according to the annual survey by the EU ASEAN Business Council released on September 9
A recent survey of 150 European business leaders has revealed that Vietnam has emerged as the most attractive market for European businesses in ASEAN, with 64% of respondents planning to expand their operations there. This is a significant lead over the other major ASEAN markets, with Indonesia (57%) and Malaysia (49%) following closely. The positive outlook for ASEAN's economic prospects remains strong, with 78% of respondents expecting trade and investment to increase over the next five years.
European businesses continue to hold a favorable view of ASEAN, with 61% of respondents identifying the region as offering the greatest economic opportunities compared to other emerging economies. This is an increase from 56% in 2025. Despite ongoing challenges, such as uncertainty surrounding US tariff policies (which 81% of respondents view as a major concern), European businesses are responding by diversifying their operations rather than withdrawing from the region.
ASEAN's market size, strategic location, and connectivity are seen as providing a solid foundation for the region to become an increasingly important supply chain hub. However, European businesses are calling for the EU to strengthen its trade strategy towards ASEAN, as nearly 9 in 10 respondents (88%) believe European companies face disadvantages compared to competitors from countries with regional trade agreements with ASEAN.
Only 18% of respondents believe the EU's current level of engagement with ASEAN is sufficient to support European businesses.
Written by urgent.news from Vietnam Investment Review's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
