Amid global shift to knowledge economies, Hanoi moves to strengthen IP protection and commercialization
Vietnam is stepping into a decisive stage where intellectual property (IP) development must take center stage in its growth strategy, as the country aims to transform research and innovation into real economic value.
At a recent policy forum, Minister of Science and Technology Nguyen Manh Hung underscored the urgency of creating a market for IP assets. “We must turn research results into property that can be traded,” he said, noting that without commercialization, scientific achievements cannot meaningfully contribute to economic development.
In advanced economies, intangible assets such as patents, trademarks, and copyrights account for up to 80% of corporate value. They form the backbone of competitiveness and are central to global market expansion.
Driving innovation and foreign investment
Stronger IP protection, experts argue, can act as a catalyst for innovation while drawing in foreign direct investment (FDI). Research suggests that a 1% improvement in patent protection could boost FDI inflows by nearly 3%.
For local businesses, IP safeguards provide a critical defense against counterfeits, while enhancing brand value and helping secure capital. Consumers also benefit from access to authentic, higher-quality goods.
In the digital economy, where software, creative works, and designs can be copied and distributed instantly, robust IP enforcement is seen as vital to prevent value loss and sustain innovation.
Closing legal gaps
Despite a surge in patent and trademark applications, Vietnam continues to struggle with bringing inventions to market. The quality of IP assets and support mechanisms for commercialization remain uneven.
To address these challenges, the government is drafting revisions to the Intellectual Property Law, aiming to close regulatory gaps—particularly around emerging technologies such as artificial intelligence. The reforms are expected to provide greater clarity for the licensing, transfer, and commercialization of IP.
International recognition has already highlighted Vietnam’s progress. The World Intellectual Property Organization (WIPO) ranks the country among the fastest-improving middle-income economies for innovation over the past decade.
Turning point
Analysts say Vietnam is at a turning point. If it can fully integrate IP into its economic framework, the country could unlock a powerful growth engine, strengthening its transition toward a knowledge-based economy and improving its standing in global value chains.
