Vietnam’s Services Trade Tops $70 Billion in 2025, Deficit Narrows

Tourism and transport drive export growth as Vietnam’s services economy gains scale despite a persistent trade gap.

Vietnam’s services economy crossed a major threshold in 2025, with total trade in services exceeding USD 70 billionfor the first time—an important signal for investors tracking the country’s shift from manufacturing-led growth toward higher value-added activities. The milestone underscores Vietnam’s deepening integration into global services markets even as it continues to import heavily to support production and logistics.

Data released by the National Statistics Office show service exports reached USD 30.3 billion, while imports totaled USD 40.5 billion, leaving a trade deficit of just over USD 10 billion. While still negative, the gap narrowed compared with 2024, suggesting incremental structural improvement.

Momentum strengthened into the final quarter. In Q4 alone, service exports climbed 17.3% year-on-year to USD 8.26 billion, with transport, tourism, and digital services leading gains. Imports rose more moderately at 10.8%, reflecting easing logistics pressures late in the year.

Tourism and transport power exports

Tourism emerged as the largest contributor to services exports, generating USD 15.22 billion—more than half of the total—and expanding 24.4% year-on-year. The rebound aligns with Vietnam’s record 21.2 million international arrivals in 2025, cementing tourism as a cornerstone of the services economy.

Transport services followed closely, contributing USD 8.8 billion (29% of exports) with robust 23.6% growth, supported by rising cargo volumes, expanding air routes, and port throughput. Together, tourism and transport accounted for nearly four-fifths of services exports, highlighting where Vietnam currently holds competitive advantage.

Imports reflect production needs

On the import side, services linked to goods trade dominated. Transport services reached USD 17.1 billion, accounting for 42.1% of total service imports and rising 19.9% year-on-year, driven by freight, shipping, and logistics for Vietnam’s export-oriented manufacturers. Tourism services imports totaled USD 14.7 billion, reflecting outbound travel demand and cross-border spending.

Insurance and freight-related costs tied to imported goods also rose, a reminder that Vietnam’s manufacturing engine still relies on foreign logistics and specialized services.

A gradual rebalancing

Despite the headline deficit, officials point to a narrowing services trade gap—from an estimated USD 12.34 billion in 2024 to just over USD 10 billion in 2025—as evidence of steady progress. Growth in information technology and digital services, though smaller in absolute terms, is expanding and could diversify exports over time.

For Vietnam, the figures mark a transitional phase: services are growing faster and becoming more sophisticated, yet imports remain elevated as the economy scales.

The strategic question ahead is whether Vietnam can accelerate high-margin service exports—digital, professional, and logistics—fast enough to close the gap, turning services into a durable surplus engine alongside its manufacturing base.