Prefabricated construction is widely adopted in the world because of its benefits about cost, time, environment. However, the application of prefabricated construction in Vietnam is still behind. Different countries will have different factors affecting the application of this construction method. In fact, the cost has a decisive influence on the application of new technology. Through literature reviews, the research paper investigates information on construction in Vietnam together with the benefits and challenges of prefabricated construction. precast concrete panels in Vietnam. Case studies were conducted to give specific information about cost, time, and environmental impact in comparison of precast concrete panels and conventional construction method. The results show that direct cost of using precast concrete panels for walls is higher than conventional construction method. In case of using hollow-core panels for slabs, direct cost of using this panel for detached building is higher than cast-in-situ floor; in other hand, cost of using this panel for a residential building is a litter cheaper than cast-in-situ floor.