Vietnam’s SJC gold prices surge past 185 million dong per tael mark

HANOI, Vietnam — SJC gold bar prices surged by 700,000 VND per tael on Feb. 25 as the domestic market regained momentum following the Lunar New Year holiday.

Major gold trading firms listed the selling price at 185.3 million VND per tael. The buying price saw a corresponding adjustment, rising to 182.3 million VND per tael.

The price spike occurred on the ninth day of the first lunar month, a period when trading typically intensifies. The spread between buying and selling prices now stands at 3 million VND per tael, representing an unusually wide margin for the market.

The surge of SJC gold to a record 185.3 million VND per tael underscores a deepening crisis of volatility within Vietnam’s precious metals market. With the bid-ask spread widening to 3 million VND per tael, the burden of market risk has shifted squarely onto retail investors, while bullion dealers remain insulated from the fluctuations.

This price action is not an isolated event but rather the long-term consequence of Decree 24, the regulatory framework that established a state monopoly on gold bar production. By restricting supply and failing to replenish stocks, policymakers have created a domestic market that is fundamentally decoupled from global benchmarks. The result is a persistent and irrational premium, with local SJC prices frequently trading tens of millions of VND above international spot rates—a disparity borne entirely by the public.

Beyond supply-side constraints, this record-breaking rally reflects a broader erosion of confidence in the Vietnamese Dong and the underperformance of traditional investment vehicles such as equities and real estate. Gold has reclaimed its status as the primary hedge against potential inflation and a "safe haven" for capital preservation.

Unless the government pursues fundamental structural reforms to the gold management framework, these market distortions will persist, leaving consumers vulnerable and the domestic financial landscape increasingly skewed.

The volatility of gold prices in Vietnam is directly shaping the impact of remittances sent from abroad. As gold prices climb and the dong loses value, families back home are increasingly quick to convert the USD sent by their relatives into gold as a hedge against inflation. This shift makes the timing of money transfers—whether sent by those in the nail salon industry or the owners of local phở restaurants—more critical than ever. For Vietnamese-Americans navigating everything from F2B family sponsorships to H-1B professional lives, strategically timing these remittances ensures that their hard-earned dollars provide the maximum financial security for their loved ones in Vietnam.