TITLE:
Impact of Production Shifting from China on Vietnam’s Competitive Position in the Global Supply Chain
AUTHORS:
Thu Trang Pham
KEYWORDS:
Factors Shifting Production from China, Competitive Position, Vietnam, Global Supply Chain
JOURNAL NAME:
Open Journal of Business and Management,
Vol.14 No.6,
November
12,
2026
ABSTRACT: The shift in global production from China has become a significant trend, driven by rising labor costs, geopolitical tensions, trade policies, and the need for supply chain diversification. This study examines the impact of this production relocation on Vietnam’s competitive position in the global supply chain. While Vietnam has emerged as a key destination due to its cost advantages, strategic location, and government incentives, challenges remain in terms of infrastructure readiness, labor quality, and industrial capacity. Through an examination of the major forces behind this change, such as economic, geopolitical, technical, social, and environmental aspects, this study offers a thorough evaluation of Vietnam’s advantages, disadvantages, opportunities, and dangers in the changing global production environment. The findings highlight Vietnam’s potential to enhance its role in global supply chains, provided that targeted policy interventions and strategic investments are implemented to improve industrial capabilities, workforce development, and supply chain resilience.