Author:
- Tran Phuong Nam – Lawyer
- Tran Pham Tuong Van – Paralegal
As part of the strategy to improve the investment environment and enhance national competitiveness, Vietnam is progressively simplifying market entry requirements for businesses. Investment Law No. 143/2025/QH15 (“Investment Law 2025”) marks a significant milestone by conducting a comprehensive review of the list of conditional business sectors and deciding to substantially reduce the number of industries under specialized management. This shift not only alleviates the administrative burden on enterprises but also reflects a transition from a pre-check to a post-check management model, aligning with modern regulatory practices and investment attraction requirements in the new era.
This article reviews key reductions in the list of conditional business sectors and highlights essential considerations for businesses.
1. Conditional Business Investment Sectors under Investment Law
In principle, investors have the right to conduct business investment activities in sectors and trades not prohibited by Law. For conditional business investment sectors, investors must satisfy specific investment conditions as prescribed by law.
According to Clause 1, Article 7 of the Law on Investment 2025, conditional business investment sectors are those in which the conduct of business activities must meet certain requirements for reasons of national defense, security, social order and safety, social ethics, or public health. The list of these sectors is specified in Appendix IV of the Law on Investment.
Investment conditions may be manifested in various forms, such as: Licenses, certificates, practicing certificates, written confirmations or approvals from competent authorities, or other requirements that individuals or economic organizations must satisfy to conduct business activities, without necessarily obtaining written confirmation from a competent authority. The establishment of these conditions aims to ensure State control over sectors that significantly impact public interests, while simultaneously maintaining order and safety in business operations.
2. Reduction of 38 conditional business sectors compared with previous regulations
A key reform of the Law on Investment 2025 is the comprehensive review of the list of conditional investment and business sectors. On this basis, the National Assembly has decided to remove 38 conditional sectors and adjust the scope of 20 others.
Following these adjustments, the total number of conditional business sectors has been reduced to 198, significantly lower than the previous list. Notably, the following 38 sectors have had their investment and business conditions removed, including:
|
No. |
Removed conditional business sectors |
|
1 |
Tax procedure services |
|
2 |
Customs brokerage services |
|
3 |
Insurance auxiliary services |
|
4 |
Commercial inspection services |
|
5 |
Temporary import for re-export of goods subject to excise tax |
|
6 |
Temporary import for re-export of frozen food |
|
7 |
Temporary import for re-export of used goods listed in the regulated category |
|
8 |
Energy auditing services |
|
9 |
Employment services |
|
10 |
Labor outsourcing (labor leasing) services |
|
11 |
Automobile warranty and maintenance services |
|
12 |
Construction, conversion, repair, and restoration of inland waterway vessels |
|
13 |
Maritime safety assurance services |
|
14 |
Tugboat (towage) services |
|
15 |
Construction, conversion, and repair of seagoing vessels |
|
16 |
Aviation operation assurance services |
|
17 |
Multimodal transport services |
|
18 |
Architectural services |
|
19 |
Construction activities by foreign contractors |
|
20 |
Construction cost management services |
|
21 |
Apartment building management and operation services |
|
22 |
Crematorium management and operation services |
|
23 |
Data center services |
|
24 |
Overseas study consultancy services |
|
25 |
Breeding and cultivation of wild fauna and flora species listed in the Appendices of the CITES Convention and the lists of endangered, precious and rare forest plants, animals, and aquatic species |
|
26 |
Breeding of common forest animals |
|
27 |
Export, import, re-export, transit, and introduction from the sea of specimens taken from the wild of species listed in the CITES Appendices and the lists of endangered, precious and rare forest plants, animals, and aquatic species |
|
28 |
Export, import, and re-export of captive-bred, artificially propagated specimens of species listed in the CITES Appendices and the lists of endangered, precious and rare forest plants, animals, and aquatic species |
|
29 |
Processing, trading, transportation, advertising, display, and storage of specimens of species listed in the CITES Appendices and the lists of endangered, precious and rare forest plants, animals, and aquatic species |
|
30 |
Animal quarantine and isolation services |
|
31 |
Animal quarantine and isolation services |
|
32 |
Cosmetic surgery services |
|
33 |
Inspection, calibration, and testing services for measuring instruments and measurement standards |
|
34 |
Artistic performance, fashion shows, and beauty/model contests organization services |
|
35 |
Printing and minting activities |
|
36 |
Archival (records storage) services |
|
37 |
IT infrastructure construction and land information system software development services |
|
38 |
Land database development services |
3. Shift in management methods: From “pre-check” to “post-check”
In addition to narrowing the number of conditional investment and business sectors, the Law on Investment 2025 and its Draft Guiding Decree have institutionalized a new management approach. The innovation lies in the state authorities’ clear separation of sectors that mandate licenses or certifications prior to operation (pre-check) through a specific list (Appendix IV of the Draft Decree).
This differentiation means that many sectors previously requiring licenses will transition entirely to a post-check mechanism. Businesses are entitled to commence operations immediately upon meeting the standards prescribed in Point d, Clause 5, Article 7 of the Law on Investment 2025. This comes with the obligation to self-ensure the maintenance of these conditions and to remain subject to inspection and supervision by functional authorities throughout their operations.
4. Effective date for new regulations
Pursuant to the implementation provisions of the Law on Investment 2025, the application of new regulations shall follow a specific roadmap as follows:
- General Effective Date: The Law on Investment 2025 shall officially come into force as of March 1, 2026.
- Effective Date of the List: Specifically, the regulations regarding the List of conditional investment and business sectors (Appendix IV issued with the Law) shall take effect from July 1, 2026.
This roadmap implies that from July 1, 2026, for sectors that have been abolished and removed from the List, enterprises will no longer be obligated to undergo procedures for licenses or certificates, nor will they be required to meet “pre-check” investment and business conditions as stipulated under previous legislation.
5. Impact on Enterprises and Investors
The changes from the amended Law on Investment are expected to bring several positive impacts to the business environment.
- First, reducing market entry barriers: The abolition of certain business conditions helps enterprises shorten the time required for document preparation and reduce administrative procedural costs.
- Second, promoting startup and investment activities: As the number of conditional investment and business sectors decreases, investors—particularly small businesses and startups—will have more opportunities to access the market.
- Third, enhancing corporate legal compliance responsibilities: Although licensing procedures are simplified, enterprises must still ensure compliance with technical regulations, specialized standards, and other legal obligations during their operations.
The reduction of 38 conditional investment and business sectors under the Law on Investment 2025 reflects Vietnam’s efforts to further improve the investment environment and guarantee the freedom of business for enterprises. Alongside the removal of legal barriers, the new management mechanism also sets higher requirements for the compliance responsibilities of enterprises during their operations.
In the context of a constantly evolving investment legal system, keeping timely track of regulatory changes and proactively assessing legal impacts will help enterprises better capitalize on opportunities within the new business environment.
Time of writing: 16/03/2026
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