Hanoi (VNA)༺ - In the face of mounting challenges posed by rapidly evolving tariff and trade policies, HSBC has carried out an in-depth global trade survey to assess business sentiment and strategic responses.

The Global Trade Pulse 2025 survey gathered insights from over 5,700 businesses across 13 markets, with revenues ranging from 50 million USD to 2 billion USD, including 250 firms operating in Vietnam.

Turning uncertainties into opportunities

The survey reveals that Vietnamese businesses are grappling with significantly higher cost increases compared to the global average, largely due to shifting tariffs and trade policies. Around 80% of surveyed Vietnamese companies face rising operational costs, with 82% anticipating further short-term cost increases and 75% expecting a slight long-term rise. The impact on average revenue due to supply chain disruptions among Vietnamese firms was also reported to be two percentage points higher than the global average. In response to the trade turbulence, many Vietnamese firms have adopted strategic shifts: 42% have restored production back to Vietnam, 41% have pivoted to focus more on the domestic market, and another 41% have increased the use of data analytics to navigate uncertainties. Despite the challenges, 81% of Vietnamese companies remain confident in their ability to grow internationally. Moreover, 76% believe that trade volatilities have spurred innovation and opened up new opportunities. However, over half (54%) of them say they need external support for crisis planning and long-term business resilience. HSBC experts noted that the trade landscape in Asia is likely to undergo significant shifts if current uncertainties persist. Rising costs due to tariffs and trade-related factors are the most pressing concern for 51% of Asian firms. In response, 34% have already adjusted prices, and another 51% plan to do so in the near future. Additionally, 37% have increased inventory levels to mitigate supply chain risks, with 49% intending to follow suit.

Effective working capital management has become a top priority, with 61% of Asian firms citing cash flow and liquidity as the most effective strategies, followed by improved payment terms (55%) and supply chain financing (51%).

Resilience amid headwinds

Globally, businesses are also re-evaluating their investment and supply strategies amid rising costs and supply chain disruptions. On average, companies expect revenue to drop by 18% due to delays. Over half (51%) of them say rising costs are their biggest supply chain concern, and 85% have either adjusted or plan to adjust pricing strategies in response. More than three-quarters (78%) are reassessing their long-term business models. If tariff uncertainties continue over the next two years, 43% of businesses plan to review their international expansion strategies, while 39% will shift their focus to domestic or regional markets. Nevertheless, confidence in global trade growth remains strong, with 89% of the surveyed companies expressing optimism about international expansion within the next two years. Many are reorganising their supply chains and adopting nearshoring (83%) and reshoring (77%) strategies.

Encouragingly, 77% of the companies say trade challenges have been a catalyst for innovation. The majority of businesses have responded by adopting new technologies (58%), improving internal efficiency and cost structures (56%), and developing new products or services (51%). The emergence of new trade corridors is also notable, with firms strengthening key partnerships: 61% of Malaysian and 52% of Vietnamese businesses are expanding ties with China; 54% of Indian and 51% of US firms are looking to Europe; while 46% of British and 62% of Indian firms are building links with the US. Surajit Rakshit said the current trade and tariff environment poses undeniable challenges, but businesses continue to demonstrate remarkable resilience and adaptability. Agility and strong partnerships are essential for sustainable growth in today’s ever-changing global economy./.