Việt Nam's labour market is experiencing a rising demand for Chinese-speaking professionals, according to a recent report by Navigos Search, the country’s premier executive search firm.

The report, covering labour market trends for the first half of 2024, underscores the growing need for experienced personnel in sectors heavily influenced by Chinese investment, particularly in high-tech manufacturing.

Navigos Search's analysis indicates that companies with Chinese backing are increasingly prioritising Mandarin proficiency in candidates for key roles. This trend aligns with China's evolving investment strategies in Việt Nam, which are increasingly focused on advanced industries like electronics, automotive components and industrial production.

As these companies scale up their operations, the demand for skilled and seasoned professionals, particularly those with management expertise, has surged. Currently, experienced employees make up 68.26 per cent of the workforce in these sectors, with management positions accounting for nearly 22 per cent.

Since 2019, amid US-China trade tensions and a slowing Chinese economy, Chinese investors have increasingly turned to Việt Nam. Chinese investment grew from US$2.92 billion in 2021 to $4.47 billion in 2023. In 2023, nearly 20 per cent of newly registered foreign direct investment (FDI) originated from China.

In the first seven months of 2024, Việt Nam attracted $18 billion investments from 91 countries and territories, with China leading in the number of new projects, accounting for 29.7 per cent. Chinese investment in Việt Nam has surged over sevenfold, making China the sixth-largest foreign investor. The Vietnamese Government is actively encouraging further Chinese investment, particularly in sectors like innovation, green growth and digital transformation.

According to Dr. Tô Hoài Nam, Vice Chairman and General Secretary of the Vietnam Association of Small and Medium Enterprises, noted that Chinese companies are highly responsive to global economic trends, enabling them to adapt swiftly and lead in these markets. The US-China trade tensions have prompted large corporations to shift production out of China, and Chinese firms within their supply chains have followed suit, leading to a significant increase in Chinese investment in Việt Nam’s supporting industries.

Navigos Search's findings highlight the critical role of language skills in the evolving labour market, suggesting that the demand for Chinese-speaking professionals will continue to grow as Việt Nam strengthens its economic ties with China and other global partners.

Hoan Tran, Associate Director of Navigos Search North, advised: "Currently, the high demand for Chinese-speaking candidates at Chinese enterprises has led to a limited supply of such candidates. To address this, companies might prioritise recruiting Chinese-speaking staff for a few key positions while using interpreters for additional support. In the long term, companies could consider programmes that encourage employees to learn Chinese on-site or offer study grants. Some Chinese companies also encourage their staff to learn English to facilitate international work.”  — VNS