Viet Nam has achieved rapid economic growth in Southeast Asia. In 2009, it became a lower-middle-income country. However, labor productivity has remained low even with ample foreign direct investment.Technical and vocational education and training (TVET) must now respond to increase skilled workers in the labor market. This report examines Viet Nam''s challenges and opportunities in TVET. It recommends reforms in governance structure, organization, and management of TVET; effective teaching of the right skills; greater enterprise-based training and financial support; and equal access to higher quality training particularly for the disadvantaged population such as ethnic minority students.