ADAPTABILITY IN CHANGING CIRCUMSTANCES
Dear colleagues,
In the early days of 2025, we were extremely concerned about the 8% growth target assigned by our superiors. However, through our collective commitment, strong sense of responsibility, and unwavering determination, we successfully accomplished all assigned objectives. We achieved a revenue growth of 9.9%, exceeding 41,000 billion VND, and a profit growth of over 20%, surpassing 21,000 billion VND. Our tax contributions exceeded 19,000 billion VND, and significantly, our market share increased by 3.8 percentage points, reaching 68.8%. These remarkable achievements represent a significant milestone in Vinataba’s 40-year history.
On behalf of the leadership team of Vietnam National Tobacco Corporation, I would like to I extend my deepest gratitude and sincere commendation to all my colleagues for your exceptionally meaningful contributions.
Dear Comrades,
2026 is poised to be a pivotal year for the Vietnamese tobacco industry. The revised Special Consumption Tax Law will take effect on January 1, 2027. Under this law, in addition to the current 75% tax rate, cigarette products will be subject to an additional tax of VND 2,000 per pack, increased steadily each year until 2031. According to policy-making agencies, such tax will reduce the industry’s output by approximately 30% to 50%. In some countries with similar conditions, cigarette production has been shrunk by about 35-43% after each “shock” tax increase, accompanied by a 2 to 3-fold increase in smuggled cigarettes. Therefore, the task of achieving double-digit growth will therefore become even more challenging.
In anticipation of this challenge, we have proactively adjusted our growth strategy from a quantitative to a qualitative focus. This strategic shift, bolstered by our recent successes, will establish a strong foundation for long-term adaptability. We will also decisively restructure and streamline our operations to enhance competitiveness and proactively develop scenarios to mitigate the impact of the upcoming tax changes.
I call upon every leader and employee across the Corporation to embrace unity, foster creativity, and demonstrate unwavering determination as we strive to achieve our 2026 growth targets and lay the groundwork for sustained success in the years to come.
As we welcome the Year of the Horse, I wish you and your families a joyful, peaceful, and prosperous New Year!
Warm regards,
Ho Le Nghia
Party Committee Secretary
Chairman of the Board of Members
