After a meeting of the ruling Communist Party on Wednesday, the government said in a statement that he had broken party rules and had negatively affected its reputation.
Mr Thuong is believed to have resigned over his links to a corruption scandal in his home province.
He was appointed last year to replace another president forced to step down over corruption.
The party’s leadership has prioritised corruption as a problem it needs to address.
US is going to be targeting Vietnam so damn heavily to try and destroy them so they can turn them into another military base to use against China, I really hope they can get their corruption under control before it destroys them.