China’s Huawei and ZTE have secured multiple 5G supply contracts in Vietnam this year, marking a shift in Hanoi’s approach to telecommunications infrastructure, according to media reports, which cite people familiar with the matter. This comes as the government accelerates major infrastructure cooperation with China, and this development is likely to position the Asian giant to gain greater structural influence over Vietnam’s digital backbone
Currently, Vietnam’s 5G rollout is being driven by three dominant operators — Viettel, VNPT’s VinaPhone and MobiFone — which together account for nearly all mobile network investment. Viettel plans as many as 20,000 new 5G base stations next year and already serves millions of 5G users, making cost efficiency a central procurement priority. VNPT and MobiFone are pursuing similar expansion programs to extend coverage across urban and industrial hubs.
So far, Vietnam had previously limited Chinese involvement in sensitive digital infrastructure, largely due to geopolitical tension and US pressure to keep Huawei and ZTE out of national networks. This development also comes a few months after a consortium that included Huawei had won a contract valued at about $23 million in April to supply 5G equipment for a state-run operator. Now, ZTE has obtained at least two antenna supply deals totaling more than $20 million, with the most recent award issued last week. The first publicly disclosed ZTE contract appeared in September, one month after the US tariffs took effect, though officials cautioned that procurement timelines do not necessarily indicate political linkage.
“Huawei and ZTE are attracting special attention in Vietnam after sealing a series of 5G contracts. Under these deals, the leading Chinese firms will now supply top-class 5G equipment to the country and help it strengthen its network infrastructure. Vietnam is a country in Mainland Southeast Asia. It shares borders with China, Laos, and Cambodia. The government has been in the news for a while over the tariff stuff. Just like many other countries, Vietnam was also hesitant to use techs made in China. The reason was, of course, the “unacceptable risk” to national security. Though the tables have turned around in the past few months. The country is now welcoming Chinese technologies amid the troubled bond with the US authorities,” Huawei announced in an official statement.
Ericsson and Nokia remain responsible for Vietnam’s 5G core network, supported by US chipmaker Qualcomm, keeping the most sensitive layers of the architecture in Western hands. Still, Chinese firms, by contrast, are gaining ground primarily in radio access network components, a segment where cost pressures and deployment timelines may be influencing operator decisions. Reponses in the international arena are mixed – so far, Huawei and ZTE are both forbidden from US telecom networks after being termed as an “unacceptable risk” to national security. Sweden’s foreign ministry, responding to questions about the shift, said that secure and trusted telecommunications infrastructure was essential as digital dependency deepens.
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