On June 14th, 2025, at its 9th Session, 15th Legislature, the Vietnamese National Assembly passed the Law on Digital Technology Industry (“DTI Law”). This law is expected to take effect on January 1st, 2026. This marks Vietnam’s first specialized law enacted to promote the development of digital technology industries, including semiconductors, artificial intelligence (AI), and digital assets. The DTI Law is anticipated to be a crucial institutional leverage for national digital transformation, paving the way for domestic technology enterprises to develop sustainably and integrate internationally. 

Key provisions of the Law 

The DTI Law primarily focuses on mechanisms for incentivizing digital technology enterprises, developing shared digital infrastructure, encouraging innovative startups, training talent, and establishing controlled technology testing. To foster innovation, the State has committed to promoting and enacting numerous comprehensive incentives and support policies for both domestic and foreign enterprises involved in or related to the digital technology industry in Vietnam. 

For example, concerning the semiconductor and artificial intelligence industries, the Law stipulates that projects for research and development, design, manufacturing, packaging, and testing of semiconductor chips, as well as projects for building AI data centers, will receive corporate income tax incentives, land rent reductions, and other investment incentives in accordance with investment laws. Additionally, these projects will receive investment cost support for building factories, technical infrastructure, and machinery equipment. They will also be prioritized for preferential customs procedures and taxes on imported and exported goods, and will be exempt from export and import turnover conditions. 

Alongside policies promoting the development and application of artificial intelligence, the monitoring and risk management of AI are also emphasized. The DTI Law highlights a human-centric principle, ensuring transparency, safety, and non-discrimination in the development and deployment of AI systems. Following the Law’s guidance, AI is categorized into groups: high-risk, high-impact, and non-high-risk. Depending on the nature of each AI group, businesses are required to implement appropriate monitoring and management mechanisms when using AI in their operations. 

Development and management of digital assets 

For the first time in Vietnam’s legal system, digital assets are recognized as a legitimate type of asset, marking a significant step in completing the legal framework for the digital economy. The DTI Law establishes fundamental principles for ownership, transfer, exploitation, storage, and protection of digital assets, providing a legal basis for individuals and organizations to establish and exercise property rights legally. The management of digital assets will be closely supervised by State management agencies to ensure cybersecurity, prevent money laundering, counter-terrorism financing, and prevent the financing of weapons of mass destruction proliferation. This is a key objective that the State has paid particular attention to, especially since 2023 when the Financial Action Task Force (FATF) placed Vietnam on its Enhanced Monitoring List (Grey List). For Vietnam to be removed from this list, it must enact policies for virtual asset management. 

Conclusion 

The National Assembly’s official approval of the DTI Law is a strategic step forward in Vietnam’s ongoing efforts to refine regulations for digital economic development. The law not only creates a clear and consistent legal corridor for advanced technology sectors but also demonstrates the State’s strong commitment to fostering innovation, enhancing competitiveness, and actively integrating into the global technology value chain. Furthermore, establishing risk control mechanisms for high technology and recognizing digital assets as a legitimate type of asset reflects a cautious yet flexible approach toward sustainable, secure, and transparent development. 

As Vietnam actively works to improve its criteria for removal from the FATF’s Enhanced Monitoring List, the DTI Law also plays a crucial role in completing the legal framework for virtual assets and enhancing the capacity to combat money laundering and terrorism financing. In the coming period, the timely, consistent, and synchronized issuance of guiding documents for implementation will be key to the effective application of the DTI Law and its ability to comprehensively drive national digital transformation.