Vietnam Partners with Germany, Austria for Strategic Developments

Vietnam expands bilateral ties with Germany and Austria through new partnerships in agriculture, tech innovation, and workforce development, opening doors for strategic trade and investment.

Vietnam has stepped up its global collaboration efforts with Germany and Austria, aiming to strengthen ties in agriculture, high-tech innovation, and vocational training. A series of recent high-level forums and ministerial visits during May 2025 have resulted in fresh bilateral commitments, with a focus on AI, semiconductors, biotech, and advanced agricultural practices. This new push for multilateral engagement supports Vietnam’s strategic vision to become a high-income, tech-driven economy by 2045.

Strategic engagement with Austria

On May 16, 2025, Deputy Prime Minister Nguyen Chi Dung delivered a virtual address at the Vietnam-Austria High-Tech and Innovation Forum held in Vienna. Organized by Vietnam’s National Innovation Centre, the Austrian Federal Economic Chambers, and the Vietnamese Embassy in Austria, the forum brought together leading tech firms, including Infineon Technologies Austria, Dynatrace, TTTech, FPT, and Sovico.

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The Deputy PM emphasized the importance of fostering public–private partnerships, developing green energy technologies, and establishing innovation hubs to promote startup incubation. He also called for Austria’s support in scholarship programs and R&D collaborations. Austria’s longstanding strength in foundational technologies such as quantum computing, biotech, and AI positions it as a valuable partner.

Currently, Austria ranks as Vietnam’s fifth-largest trade partner outside the European Union (EU), with US$302.2 million in exports to Vietnam and US$4 billion in imports. Over 440 Austrian firms export to Vietnam, with 72 percent classified as small and medium-sized enterprises (SMEs).

Read more: Vietnam-Austria Trade Overview

Advancing agricultural and vocational ties with Germany

From May 14–18, 2025, a Vietnamese delegation led by Deputy Minister Tran Thanh Nam of the Ministry of Agriculture and Environment visited Germany to expand cooperation in agriculture and food technology. Discussions were held with the Federal Ministry of Food and Agriculture (BMEL), the Federal Ministry for Economic Cooperation and Development (BMZ), and the German Agribusiness Alliance (GAA).

At the Vietnam–Germany Agro-Forestry-Aquatic Trade Promotion Forum, industry stakeholders discussed export standards, supply chain collaboration, and regulatory harmonization. Vietnamese firms shared insights into shipping fruit, seafood, and other agro-products to German supermarket chains, while German representatives encouraged Vietnamese companies to participate in trade fairs and research initiatives.

Vietnam’s agricultural exports to Germany surged to US$1.3 billion in 2024, up 32 percent from 2023, while imports from Germany totaled nearly US$200 million. Major Vietnamese exports to Germany include products like coffee, seafood, cashew nuts, and bamboo-based handicrafts. Conversely, imports from Germany consist primarily of dairy products, fertilizers, rubber, and pesticides, highlighting a non-competing, complementary trade structure.

Germany is Vietnam’s seventh-largest agri-export destination and a strategic entry point to the broader EU market with 500 million customers, who have an annual food import demand of US$181 billion.

Comparative outlook: Germany, Austria and Vietnam

The evolving trilateral relationship among Vietnam, Germany, and Austria reflects a convergence of strategic interests rooted in mutual complementarity. Germany stands as Europe’s largest consumer-focused agri-food market, having imported more than US$69 billion in processed agricultural products in 2023. Its domestic agriculture market is expected to reach US$69.2 billion by 2025, growing at a steady 3.98 percent annually. This mature market offers Vietnamese exporters a gateway to Europe, particularly in sectors like seafood, coffee, and processed agri-goods.

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Austria, on the other hand, brings technological depth to the table. Its expertise in automation, mechanics, biotech, and clean energy presents a compelling opportunity for Vietnam, which is in the midst of industrial transformation. Austrian SMEs, comprising the bulk of the 440 Austrian firms exporting to Vietnam, are exceptionally well-placed to partner with Vietnamese startups and SMEs in joint R&D and green tech deployment.

For its part, Vietnam combines a youthful, tech-oriented population of over 100 million with a rapidly expanding digital infrastructure and an export-centric economy. Its agricultural sector, while traditional in many areas, is transitioning rapidly toward value-added, traceable, and climate-resilient production models—an area where German regulatory expertise and Austrian technical support can play enabling roles.

The vocational training model of Germany, now being piloted in Vietnamese provinces like Thuringia, adds an essential human capital layer to this partnership. It will feed into Vietnam’s goal of becoming a digital and innovation-based economy, as articulated under Resolution 57/NQ-TW. Together, these efforts represent a holistic approach to building not just trade, but a resilient and knowledge-driven development pathway.

Real-World Collaborations

Enviacon’s entry into Vietnam

German agritech consultancy Enviacon successfully expanded into Vietnam through a strategic partnership facilitated by Source of Asia (SOA). This initiative enhanced the visibility of German agricultural innovations in Vietnam and laid the foundation for potential joint ventures and technology transfers.

Biomin’s aquaculture research center

Austrian company Biomin, part of the Erber Group, established an aquaculture research center in Vietnam to focus on sustainable feed solutions and food safety. This facility supports Vietnam’s aquaculture industry by providing advanced research and development capabilities, aligning with Vietnam’s goals for sustainable agricultural practices.

Investment opportunities and forward outlook

For global investors and businesses, the current phase of Vietnam’s cooperation with Germany and Austria opens up a broad spectrum of opportunities. Agri-food processing and export ventures present one of the most accessible pathways, especially for those looking to leverage Vietnam’s production capacity to tap into the EU market via German distribution and regulatory systems.

In parallel, technology transfer offers another strategic route, investors can back or co-develop research in emerging sectors like artificial intelligence, biotechnology, and semiconductor design.

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Equally critical is the investment in vocational training and certification programs, a necessary foundation for building a future-ready workforce. With German dual-education models gaining traction in Vietnamese provinces, investors have a clear chance to shape skills development for Industry 4.0.

Lastly, the transition toward green energy and clean technology is well-supported by Austria’s global role in renewable systems and sustainability innovation. Collaborative projects in these areas can yield both commercial and environmental returns, making them attractive for Environmental, Social, and Governance (ESG)-focused investors.

Way ahead

Vietnam’s strengthened ties with Germany and Austria reflect its commitment to becoming a regional leader in high-tech innovation and sustainable agriculture. These new partnerships not only create bilateral economic value but also signal Vietnam’s growing role in global value chains. As the country continues to liberalize trade, invest in its workforce, and expand digital infrastructure, it stands out as a dynamic partner for European businesses in both agricultural and technology sectors.

Read more: An Introduction to Vietnam’s Leading Import and Export Industries

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