Tourism sector faces intertwined opportunities, challenges amid provincial mergers

June 24, 2025 - 08:16
In tourism, the name of a place may evolve, but the essence of a destination remains. Besides, the landmarks still exist on the tourism map, even if they fall under a new administrative name, said a leader of the Việt Nam Tourism Association.
Phong Nha-Kẻ Bàng National Park in Quảng Bình Province is one of the most popular destinations among tourists.— VNA/VNS Photo

 HÀ NỘI — With the country rapidly advancing its plan to merge provincial-level administrative units, set to be completed by mid-August, the tourism industry, along with other sectors, is presented with challenges but also significant opportunities for innovation and sustainable growth in the era of the nation's rise.

Opportunities, challenges intertwined

To streamline the political system and reorganise administrative units, the number of provinces and centrally governed cities will be reduced from 63 to 34. The scheme is anticipated to affect tourism operations, particularly in terms of destination branding, management, and market perception.

Concerns have been raised about the potential loss of tourism brands once provincial names change. However, Vũ Quốc Trị, General Secretary of the Việt Nam Tourism Association, argued that while rebranding is a challenge, it does not fundamentally alter the destinations themselves.

In tourism, the name of a place may evolve, but the essence of a destination remains. The landmarks still exist on the tourism map, even if they fall under a new administrative name, he explained.

Meanwhile, Trương Quốc Hùng, Chairman of the Hanoi UNESCO Travel Club, sees the mergers as a strategic opportunity. The expanded geographical coverage, natural resources, and cultural heritage pools will enable localities to diversify tourism offerings and develop broader inter-provincial tourism products. The elimination of administrative barriers will enable seamless management and more effective tourism development strategies, he stated.

Nguyễn Tiến Đạt, Vice Chairman of the Hà Nội Tourism Association, echoed this optimism, suggesting that the administrative mergers may catalyse new multi-regional tours and integrated tourism experiences. Many merged provinces will now be able to balance mountain and beach tourism offerings, which opens up opportunities to reinvent destination appeal.

Experts agree that the real opportunity lies in leveraging this transition to restructure tourism products, enhance strategic planning, and attract significant investment.

Adaptability key to post-merger tourism growth 

Tràng An Scenic Landscape Complex in Ninh Bình.— VNA/VNS Photo

In anticipation of administrative changes, several provinces are already adapting by reassessing destinations and forming collaborative tourism plans.

The northern provinces of Hà Nam, Ninh Bình, and Nam Định, which will be merged and take the name Ninh Bình, have organised famtrips and tourism forums to recalibrate offerings in line with evolving market demands. Provinces across the south-central and Central Highlands localities recently held a regional tourism development forum aimed at designing fresh tourism products aligned with Việt Nam's reform requirements.

The administrative overhaul gives localities more room to expand development spaces, particularly in tourism. Yet, experts perceived that the initial stages will be met with obstacles, especially regarding governance, identity preservation, and the coherence of tourism narratives.

Hà Văn Siêu, Deputy Director of the Việt Nam National Authority of Tourism, emphasised that this restructuring should be viewed as a lever for innovation. He claimed that this is a chance for localities to change their approach and adapt flexibly to achieve new advancements in development. It’s time to reassess their potential and advantages and develop suitable multi-destination products, thereby leveraging the strengths of each region, he stated.

Phạm Hải Quỳnh, Director of the Asian Tourism Development Institute, stressed the need for deliberate heritage conservation policies in the face of potential identity dilution.

To turn challenges into opportunities, localities must prioritise preserving cultural and historical heritage while rebranding to emphasise the diversity of new destinations, he said, calling for investment in infrastructure, high-quality accommodation services, skilled tourism personnel, and community-based tourism to ensure sustainability.

Phạm Duy Nghĩa, Vice Chairman of the Hà Nội Travel Association and Director of VietFoot Travel, underlined the importance of immediate policy alignment with the new administrative boundaries.

Nghĩa said unified governance and expanded geography will create chances for product diversification, but success hinges on clear tourism development policies. He advocated destination reassessment, public-private partnership in tour and product design, and methodical digital marketing efforts.

Nguyễn Châu Á, CEO of Oxalis Adventure and Oxalis Holiday, highlighted the opportunity for brand consolidation and upgraded promotion efforts.

As Quảng Bình is set to merge with Quảng Trị, he said he expects changes in names, but not in destination appeal. Their caves, beaches, and experiences remain intact. Now is the perfect time for tourism businesses to invest more methodically, introduce new offerings, and professionalise marketing campaigns, added the CEO.— VNA/VNS

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