South Korean Direct Investment in Vietnam since the COVID-19 Pandemic and Forecast Prospects

Abstract

This paper investigates South Korea's foreign direct investment (FDI) in Vietnam from the post-COVID-19 period to the present. The findings indicate that while the COVID-19 pandemic posed significant challenges to South Korean investment in Vietnam, it also served as a catalyst for nations and multinational corporations - including those from South Korea - to accelerate their investment restructuring processes aimed at partner diversification. Looking ahead, South Korea is projected to maintain its position as the leading foreign direct investor in Vietnam. Although South Korean FDI inflows into Vietnam are expected to experience robust growth, they may also be subject to certain fluctuations. Consequently, this paper proposes several policy implications for Vietnam regarding FDI attraction