Vietnam North logistics pipeline set to expand by 683,000sqm in 2026

Manufacturers and 3PLs will continue to drive warehouse demand.

Warehouse supply in Vietnam North is expected to expand significantly in 2026, although leasing demand is forecast to remain steady, according to JLL.

The firm projects around 683,000 square metres of new logistics space will be delivered this year, with much of the pipeline coming from major developers including Mapletree, SLP and BWID.

JLL said demand is expected to maintain stable momentum, led primarily by manufacturers and third-party logistics providers. However, leasing competition could intensify as the growing supply pipeline adds pressure to the market.

Here’s more from JLL:

The Northern Modern Ready-Built Warehouse market returned to stable performance in Q4 2025 following a period of slower growth in earlier quarters, particularly related to US reciprocal tariffs. Manufacturing activity continued to drive demand in this quarter, while increased consumer purchasing during the year-end period boosted warehouse demand from retailers, 3PLs and e-commerce.

Q4 2025 delivered strong results with net absorption reaching approximately 125,000 sqm, surpassing the combined absorption of the first three quarters. This performance brought full-year 2025 net absorption to 236,000 sqm, marking a 13% increase y-o-y.

Supply grows substantially with high-quality developments

The market experienced substantial expansion with 256,000 sqm of new leasable space, elevating total supply to over 2.04 million s.m.

Q4 2025 featured several major project completions, including the BWID ESR Yen Phong expansion, Warehouse B2 at Horizon Park, and Sembcorp Logistics Park Dinh Vu.

Average rental rates show slight growth, primarily driven by favorable pricing from newly completed projects

Q4 2025 average asking rents climbed to USD 4.9 per sqm per month, reflecting modest quarterly growth of 1.5% and annual appreciation of 6.6%.

This rental increase stemmed primarily from pricing at newly delivered projects, as rents for existing properties maintained relative stability.