Vietnam’s film market is experiencing a remarkable period of growth with no signs of slowing down. However, there remain several limitations that need to be addressed in order to build a sustainable and competitive film industry at the regional or global level.

The growth momentum of Vietnamese cinema began a few years prior to the COVID-19 pandemic but was severely interrupted during the outbreak, causing box office revenues to plummet. However, following the pandemic’s subsidence, the market has made an impressive recovery.

According to data from Box Office Vietnam (BOVN) - an independent revenue tracking organization - total box office revenue in 2024 reached approximately VND 4,700 billion (USD 180.77 million), surpassing the pre-pandemic peak of VND 4,100 billion (USD 157.69 million) in 2019 as reported by the Ministry of Culture, Sports and Tourism.

In just the first six months of 2025, the domestic box office earned VND 3,017 billion (USD 120.68 million), an increase of nearly VND 270 billion (USD 10.8 million) compared to the same period last year. “This is the strongest growth for Vietnamese cinema since the pandemic,” said Nguyen Khanh Duong, founder of Box Office Vietnam.

During this period, about 130 films were released in theaters, including 19 Vietnamese films, spanning genres such as horror, drama, romance, family, animation, and action. Although accounting for less than 1/6 of total releases, Vietnamese films brought in VND 1,800 billion (USD 72 million), claiming 67% of market share - an unprecedented milestone in recent years. Remarkably, 8 out of the top 10 grossing films in the first half of 2025 were domestically produced.

Standout films include: The 4 Rascals (Bộ Tứ Báo Thủ) - produced and directed by Tran Thanh (who currently holds 4 of the top 10 highest-grossing Vietnamese films of all time). While topping the H1 2025 box office, this comedy was viewed by critics as a step backward for Tran Thanh compared to his previous record-breaking films Mai, The House of No Man, or Dad, I'm Sorry. Detective Kien (Thám Tử Kiên) - a crime thriller by director Victor Vu, was considered a breakthrough and became the most commercially successful film in his two-decade-long career. The Ancestral Home (Nhà Gia Tiên) - a horror-comedy directed by and starring comedian Huynh Lap, impressed at the box office with a solid script and well-cast actors, especially the performance of singer-actress Phuong My Chi. Two other films that made it into the top five highest-grossing movies with revenues exceeding VND 200 billion are Face-Off 8 (Lật Mặt 8) by director Lý Hải and “Money Kisses” (Nụ Hôn Bạc Tỷ) by director Thu Trang.

Overall, the success of the five most popular Vietnamese films in the first half of 2025 can be attributed to the strong brand recognition of their well-known directors, highly entertaining scripts, and their ability to cater to mainstream audience preferences. However, none of these films truly stood out in terms of quality.

In contrast, Hollywood films, once dominant at the Vietnamese box office, are losing ground, earning only about VND 330 billion (USD 13.2 million) and holding just 12% of market share. Blockbusters like Mission Impossible 8 and F1 performed modestly. Hollywood’s top film in H1 2025, How to Train Your Dragon, grossed only VND 67 billion (USD 2.68 million).

Asian films - particularly from Japan, South Korea, and Thailand - along with other independent works, contributed VND 580 billion (USD 23.2 million), accounting for 21% of market share. The foreign film with the highest earnings in Vietnam H1 2025 was Doraemon: Nobita and the Painting World Adventure (Eiga Doraemon Nobita no Esekai Monogatari), grossing VND 169.1 billion (USD 6.76 million).

Despite only 19 Vietnamese films being released in the first half of 2025, they captured 67% of total revenue - highlighting the strong demand for local content. With a population of 100 million and rapidly increasing per capita income, Vietnam has tremendous potential for domestic market expansion. The younger generation - mostly in their early 30s - is expected to drive audience growth and box office revenues in the coming years.

Vietnam is currently considered one of the fastest-growing film markets in the world, with an average annual growth rate of over 20% in recent years.

The primary driver of this growth is the boom in domestic films. Previously overshadowed by foreign blockbusters, Vietnamese films now dominate the box office with emotionally resonant, culturally relevant stories. Themes such as family, traditional values, and folk horror have proven particularly compelling.

The success of these films reflects the power of authentic storytelling and the growing potential of local production. Government policies have also fueled this wave - the amended Cinema Law (2022) modernized film management, including implementing a film classification system.

The Vietnamese government has set a goal to develop the cultural industry - including cinema - by 2030. Supportive policies such as tax incentives and relaxed censorship are being implemented to facilitate industry growth.

However, challenges remain: The number of films produced annually is only slightly over 30, mostly low-quality horror films. Production budgets are significantly lower than those of regional countries, affecting technical quality and VFX. A lack of skilled workforce due to insufficient formal training institutions has led to shortages in production, screenwriting, editing, and other key areas. The distribution structure is dominated by foreign companies, raising concerns over profit outflows. Genre diversity is limited. Independent and art-house films rarely make it to theaters. Even internationally awarded films (e.g. Cannes, Berlin, Venice) earn only a few hundred million VND domestically.

Vietnamese animation faces difficulties - three animated films released in summer 2025 all flopped commercially.

Over the years, Vietnam’s film financing has generally followed these models:

Single studio full investment (100% capital) - typically used by prominent producers like Tran Thanh or Ly Hai, who have strong personal brands.

Studio-led capital raising - A studio seeks funding from various investors (e.g., Galaxy with Em và Trịnh, or ProductionQ) but still appears as the sole investor on paper.

Joint investment - Multiple studios or production houses co-invest, using their own capital or funds raised from third parties. These projects are often in partnership with a cinema chain/distributor (e.g. HKFilm with Galaxy or CJHK).

Multi-party funding - Different parties pool capital, with one production house or studio responsible for production.

Current key investors in Vietnamese cinema include: Film studios: Galaxy, CJHK, Chanh Phuong Films, SATE, ProductionQ, V Pictures, Tran Thanh Town, Ly Hai Production…; Distributors: CJ CGV, Lotte, BHD, Galaxy; Production-related firms: HKFilms, Pixel Garden; Actors, investment funds, and private capital…

Thanks to a strong domestic market, major distributors like CGV, Lotte, and Galaxy now prioritize locally produced films, especially those by proven box office directors such as Tran Thanh, Ly Hai, and Victor Vu.

Distributors negotiate with cinema owners for screening schedules based on the film’s appeal. Some films by Tran Thanh or Ly Hai can secure up to 4,000 showings per day.

Current market shares: CGV: ~35%; Lotte: ~30%; Others (Beta, Galaxy, BHD, etc.): ~35%

In addition to these large players, a few independent distributors have emerged, notably Skyline Media. Recognized as the most dynamic film agency in Vietnam for Southeast Asian content, Skyline aims to become the country’s leading film licensor, offering high-quality, diverse content for all dis>tributisubcon channels - cinemas, TV, and streaming platforms.

In recent years, Skyline Media has achieved several encouraging successes. The Hong Kong film Twilight of the Warriors: Walled In, for which the company acquired the distribution rights, became a box office hit in 2024. Skyline also acquired the rights to distribute several critically acclaime>d insubcdependent and arthouse films globally, such as Civil War from A24 and Anatomy of a Fall - the Palme d'Or winner at the 2023 Cannes Film Festival - for experimental release in the Vietnamese market.

To date, Skyline Media has released over 800 foreign films in Vietnam and served as distribution agent for over 150 Vietnamese and Southeast Asian films, reaching over 50 countries and territories through 130+ global partners.

Market share differences between Ho Chi Minh City and Hanoi remain stark. HCMC and the Mekong Delta provinces account for ~70% of the box office; Hanoi holds ~20%, and the remaining provinces account for ~10%.

Since entering Vietnam in the late 2000s, CGV and Lotte have continuously expanded their investment in the cinema ecosystem. In addition to their theater chains, they also participate in production and distribution, contributing to the development of Vietnam’s film industry ecosystem. CJ CGV currently operates its own distribution company, CJ HK Entertainment.

Domestically, Galaxy and BHD are leading players, alongside some emerging creative companies. Galaxy Media & Entertainment operates the Galaxy Cinema chain and has produced and distributed many successful films - including major Marvel and Disney blockbusters.

Beta Cinema is another rising name in Vietnam’s market. In 2024, Beta Media (Vietnam) and Aeon Entertainment (Japan) officially announced the formation of a joint venture in Vietnam. This new venture with the Japanese partner aims to develop a chain of premium cinemas and invest in the production and distribution of Vietnamese and Japanese films in the Vietnamese market. By 2035, the joint venture plans to invest VND 5,000 billion (approx. USD 200 million) to build more than 50 Aeon Beta Cinema complexes nationwide.

Film production technology in Vietnam has advanced significantly in recent years. Vietnam is now capable of delivering production services and visual effects that meet international standards. For instance, AIOI has worked on VFX and 3D animation for Korean Netflix titles such as Sweet Home, All of Us Are Dead, Parasyte, Glitch, and more.

Several companies specializing in VFX have achieved success with major films in recent years, such as AiOi, Cyclo, and Badclay. Film studios and directors have also begun applying AI in film development. For example, the film Chốt Đơn (Final Deal) used AI to replace a lead actress who faced legal issues; however, the film was a box office failure.

In Hanoi, 3D Art - a fully locally funded and staffed company - specializes in VFX and participated in producing Mưa Đỏ (Red Rain), a war-themed blockbuster touted as the most expensive Vietnamese film to date.

According to a producer, the investment in VFX for some Vietnamese “blockbusters” can now reach VND 8-10 billion (approx. USD 0.32-0.4 million).

Alongside theatrical releases, Vietnam’s OTT and streaming market is booming, reshaping the national film industry.

With over 70% of the population using the internet and a high rate of smartphone ownership, Vietnamese audiences increasingly prefer watching films via digital platforms such as Netflix, YouTube, and local services.

According to the Ministry of Information and Communications, Vietnam’s OTT market generated revenue of VND 1,550 billion (USD 66 million) in 2022, up 26.2% compared to 2017. The country now has about 5.5 million OTT subscriptions. Global platforms like Netflix, iQIYI, and Apple TV+ are co>msubcpeting with domestic services such as FPT Play, VTV Go, Galaxy Play, and VieON (part of DatVietVAC).

OTT is transforming viewing habits, especially among the younger generation. Watching movies on smartphones is becoming increasingly common and helps audiences access more international content.

OTT also opens opportunities for Vietnamese films to reach global audiences, creating new revenue streams from international viewership.

The government is strictly regulating the OTT sector while encouraging its development. According to Decree 71, foreign OTT platforms like Netflix, iQIYI, and WeTV are required to establish legal entities in Vietnam and comply with content and tax regulations.

The Vietnamese OTT market is forecast to grow at a CAGR of 11.85%, reaching USD 345.9 million by 2027 – indicating that the boundaries between theaters and digital platforms will become increasingly blurred.

Long-term cooperation with South Korea has made the country Vietnam’s most important film industry partner. CJ CGV and Lotte Cinema currently hold 35% and 30% of the local cinema market share, respectively, underscoring the effectiveness of early investment and localization strategies.

In 2025, some Vietnam-Korea co-produced films achieved remarkable success. For example, Mang Mẹ Đi Bỏ (I'm Going to Leave Mom) became the most successful Vietnam-Korea co-production to date. The film was produced by Anh Tễu Studio, with SATE (a joint venture between Sidus and Teu Entertainment) investing 50%, and Motive Pictures from Korea providing the other 50%. SATE’s share included contributions from companies such as SATE, CJHK, VPicture, HK, and PixelGarden. The film was jointly distributed by CJHK and CGV.

Written and directed by Mo Hong-jin, a filmmaker from South Korea, in collaboration with experienced Vietnamese producer Phan Gia Nhật Linh, the film stars two of Vietnam’s top actors, Hồng Đào and Tuấn Trần, in the lead roles, with Korean actor Jung Il-woo in a supporting role. The film generated strong buzz and topped the box office with impressive revenue.

The film drew attention for being based on an original screenplay rather than a remake. The Korean production team revealed that they crafted an original story infused with Vietnamese sentiment by conducting in-depth research on the people, lifestyle, and culture of Vietnam.

An increasing number of Vietnamese films are being directed or co-produced by Korean filmmakers. In 2025 alone, aside from Mang Mẹ Đi Bỏ, two more Korea-Vietnam co-productions are slated for release. Korean cinema has had a notable influence in Vietnam for many years. The 2025 Danang Asian Film Festival (DANAFF) even hosted a special program honoring Korean cinema, featuring acclaimed actress Moon So-ri.

Vietnam benefits from Korea’s modern filmmaking technologies and global networks, while Korea gains access to a rapidly growing market and local talent - a mutually beneficial model of cooperation.

Film collaborations between Vietnam and other ASEAN countries, as well as broader Asia, are also expanding. Events like DANAFF provide platforms for co-productions and cross-border partnerships.

Lastly, global interest in culturally distinctive Vietnamese stories is growing. Projects like A Tourist’s Guide to Love (Netflix, 2023) demonstrate the rising demand for Vietnam-based content - paving the way for Vietnamese film exports and new streams of international revenue.

South Korea, Thailand, and India are increasingly becoming key co-production partners with Vietnam, producing films rich in Vietnamese identity aimed at winning over local audiences amid the market’s explosive growth. Vietnamese talent - including directors, producers, and actors - are now holding crucial roles in international collaborative projects, highlighting Vietnam’s growing importance in the Asian film landscape.