In the historical development process of Thua Thien -Hue, since the Nguyen Dynasty Hue was selected as the land for urban settlement, the rural village system of Thuan Hoa – Phu Xuan at that time had some motions together with the advent of the malls, docks . especially, the demand for commodity exchange created premises to promote the development of handicraft industry; then the formation and development process of handicraft villages was also the narrowing down of agricultural economy and innovatingthe rural aspect in profession-oriented and craft villages associated with agricultural production activities in the traditional Vietnamese socio-economy. The craft and traditional craft villages have contributed to building cultural identity for the Vietnamese people, contributing an important role in the socio-economic life, particularly in rural and agricultural areas. On the other hand, traditional villages are characteristics that contribute to the labor division in the Vietnamese traditional agricultural economy into three industries, industry -agriculture -trade. This economic structure has actually created for the Vietnam villages to have long-term and steady stability. Even to the late XX century and early XXI century, the impact of scientific and technological advances did not make it change significantly or if any, there would be very slow changes. Therefore, in the growing trend of economic and cultural integration between countries, the preservation and development the cultural characteristics of a region, a country is extremely important as it both preserved and developed traditional values of the nation to “integrate internationally but not dissolved”, and contribute to creating a positive impetus to reduce poverty, improve living standards for the residents and innovate the countryside face, promote labor restructuring and rural economic structure towards industrialization and modernization. Today, as the society develops, the need to relax, enjoy and travel of people increases. To meet this demand, many forms of tourism came into being such as ecotourism, cultural tourism, community tourism, spiritual tourism, . in which the rural tourism form is well developed in domestic and international tourist programs and routes. Rural tourism is the form to develop the harmony in culture, produce, traditional villages . In Vietnam, craft villages for tourism is increasingly attractive to domestic and foreign tourists, being the general cultural type of tourism, taking 2 tourists to visit, evaluating traditional values and purchasing the typical goods of those traditional villages. This raises an inevitable requirement that is to build and develop a number of traditional villages with characterized, unique traditional values, with a lot of development potential associated with the tourism sector. In Thua Thien Hue province, the system of traditional villages is abundant and diverse, converging several factors suitable to build into traditional villages associated with the tourism sector. This is considered a prominent advantage of Thua Thien Hue province in the process of developing the tourism industry into a key economic sector. However, the restoration and development of the traditional craft villages is still generally spontaneous, based on the nature of the craft villages which are simply of production quality, not conversed to serve tourism. From that it has not timely met the needs of sightseeing, experiencing of visitors as well as failing to meet the market needs for the kinds of tourism products. This practice raises an urgent need for Thua Thien Hue in the socioeconomic development process, being objective, in line with the trend of the times that is to restore and develop the system of traditional craft villages associated with tourism service in a sustainable manner. For this reason, the PhD student has chosen the theme: “Traditional craft villages for tourism in Thua Thien Hue province” as her economic doctoral thesis.