Transportation Costs and Risk Exposure

Chairman of Quang Tri Provincial People’s Committee, Mr Nguyen Duc Chinh just had a meeting with the delegation of Vietnam – Singapore Industrial Park Limited Company (VSIP) led by Mr Anthony Tan, Deputy General Director of VSIP, representing VSIP (Singapore) – Amata (Thailand) – Sumitomo (Japan) as the leader.

On this occasion, Mr Anthony Tan, Deputy General Director of VSIP informed the leaders of Quang Tri province about the project of developing industrial parks and urban areas in VSIP at Quang Tri. According to representative of VSIP, currently the joint venture of investors VSIP – Sumitomo – Amata has selected contractors to survey the terrain and geology of the regions and soon have results to report to the Provincial People’s Committee.

On behalf of the provincial leaders, Chairman of Quang Tri Provincial People’s Committee thanked the delegation of VSIP – Sumitomo – Amata Joint Venture investors for visiting Quang Tri province. At the same time, in 2019, Quang Tri province will celebrate the 30th anniversary of the re-establishment of the province. Therefore, the provincial leaders have directed the branches and authorities to make efforts to work together with investors to start or inaugurate projects to celebrate this important event.

Regarding the investment plan for the infrastructure development project of industrial parks and urban areas in Quang Tri, Chairman of Quang Tri provincial People’s Committee wishes that the join venture of VSIP (Singapore) – Amata (Thailand) – Sumitomo (Japan Version) makes more efforts to start the project as soon as possible.

Earlier in 2021, the representative of Quang Nam province proposed the province’s investment promotion program in 2021. Accordingly, the objective of Quang Nam province is to promote investment promotion in the following fields: supporting industries; agro-forestry-fishery processing industry, building materials; agricultural production towards high efficiency; field of investment, construction and business of infrastructure of industrial zones, industrial zones, airport infrastructure, seaports, urban transport infrastructure.

In the industrial structure, focus on investment promotion projects in supporting industries for mechanical engineering, automobiles, supporting industries for electricity, electronics and textiles – footwear, processing of products which use the local material.

The representative of Quang Nam province committed to promoting the improvement of the investment environment, administrative reform, and improving the efficiency of investment promotion. Quang Nam recognized the importance of investment promotion on the spot through increasing support for projects that have been licensed for investment; directly working with investors to determine the portfolio of projects to expand production and business in accordance with the capacity of the investor and the potential and strength of the province. The province also focuses on dialogue activities with businesses and investors to promptly solve difficulties, problems, proposals and recommendations of investors.

However, Quang Nam will resolutely refuse to attract projects with high risk of causing environmental pollution, wasteful exploitation of resources, outdated technology, etc.

In addition, Quang Nam will cooperate with research institutes, domestic and foreign investment consulting companies to conduct research activities, evaluate investment potentials and trends of investment partners. foreign countries such as Japan, Korea, the US, Europe… and large domestic enterprises and investors. Also, the province intends to organize overseas investment promotion in the target markets of the following countries: Japan, Korea, Russia, Dubai, Hong Kong, Taiwan… Continue to review, update and build the list project calling for investment in Quang Nam province. In particular, it will review the status of projects that have been implemented, projects that have had an investor or issued an investment policy but are slow to implement, projects that have had their investment registration certificates revoked, collected land recovery … to avoid the situation of “hanging” projects, attracting and calling for qualified investors to implement the project.

According to statistics from the Department of Planning and Investment of Quang Nam province, in 2020, the province has granted 50 new domestic projects with a total investment of VND 8,140 billion. Regarding foreign investment projects (FDI), in 2020, Quang Nam province has granted 7 new foreign investment projects, with a total registered investment capital of more than USD 33 million by investors from the following countries: Korea, China, Singapore, Macau, Hong Kong, France, Germany.

The total number of valid projects in the province so far is 197 projects with a total investment of more than USD 5.93 billion.

With efforts to attract FDI, Quang Nam hopes to be an investment destination for domestic and foreign investors to set up companies, to contribute to the province’s socio-economic development and to maximize profits for investors. fourth in the future.

The interest of Swedish investors is opening the future for a new wave of investment from this country to invest in Vietnam.

Although being one of the earliest investor communities present in Vietnam, it is not until recent years that the names of enterprises from Sweden really caught the attention.

If before, when talking about Swedish investment, one could know ABB Group, a corporation established in Vietnam since 1993, which has a factory and focuses on 4 main areas which are electrical products, robotization, automatic technology and power grid. Or another case is Electrolux, Ericsson…

Now, with the rapid opening of the domestic market, the brands from Sweden have become more and more familiar. Referring to Sweden, consumers can now spot famous and familiar brands such as Skype voice and messaging software, H&M fashion brands, IKEA furniture, and Tetra Park in the industrial sector with milk and soft drinks packaging products…

And it is impossible not to mention a brand that is considered a symbol of this country, which is the luxury car brand Volvo. Only started to enter the market of imported luxury cars in Vietnam in recent years, but this brand has quickly attracted the great attention of the middle class in the country.

According to the Swedish Ambassador to Vietnam, Volvo is a symbol, or an important milestone in the promising relationship between Sweden and Vietnam. Although trade or investment turnover between the two countries is still modest, it still increases steadily, similar to the interest of Swedish enterprises for investment and production in Vietnam.

The rapid increase in brands or capital inflows from this Nordic country is even more apparent when looking at statistics.

If the third quarter of 2017, accumulated investment from Sweden into Vietnam only reached over 100 million USD, with Tetra Pak’s new factory with scale of 110 million USD, this capital doubled at the end of the year. Until now, after only one and a half years, this investment has reached 365 million USD, an increase of 3.5 times.

It can be seen that the investment picture of Sweden has changed dramatically and along with that, Vietnam is becoming more and more attractive in the eyes of this nation’s investors and businesses.

The presence of hundreds of large enterprises and leaders of the two countries, the presence of Victoria’s successor Princess, Prince Daniel, Royal Swedish representative at the Vietnam – Sweden Business Summit was held on May 7th 2019 is the clearest evidence for the potential for cooperation in investment and trade between the two countries.

The event was evaluated as a great opportunity for representatives of the top businesses and leaders of the two countries to exchange views, ideas, experiences and share best practices towards mutual benefits.

Speaking at the Conference, the Swedish Minister of Foreign Trade acknowledged there are many reasons to look for current trade and business opportunities in Vietnam, such as high economic growth, the growing middle class, the market opens through many free trade agreements, dynamic business ecosystems…

It is easy to see that Sweden’s investment has increased rapidly over the past time, but has focused heavily on the consumer sector. Therefore, with the appearance of 50 leading Swedish enterprises this time, Swedish capital will join more strongly in Vietnam in the fields of health, transportation, green production and start-up.

Vietnam is starting to embrace a new wave of investment in high-tech fields, areas of high added value and innovation.

The traditional friendship and multifaceted cooperation between Vietnam and the Czech Republic have been constantly being promoted and promoted by the two countries’ people. Today Vietnam is still a familiar destination for Czech businesses to set up business in Vietnam.

At the Czech-Vietnamese Business Conference recently held in Hanoi, Deputy Minister of Industry and Trade of the Czech Republic – Mr Vladimir Bartl said that Vietnam is increasingly attracting investment from abroad, including the Czech Republic. The Czech Republic wishes to promote cooperation and investment between the two countries’ businesses in the areas such as environmental protection, mining technology, construction technology, chemicals, telecommunications, radar, industrial machinery and agriculture, especially biotechnology and nanotechnology.

On the Vietnamese side, the Vice President of the Vietnam Chamber of Commerce and Industry (VCCI) said that the economic and trade development between the two countries is based on three main features.

First, in terms of bilateral relations, trade exchange between the two countries have a stable growth and strong development. The potential investment cooperation areas between the Czech Republic and Vietnam are agricultural products, textiles, machinery and equipment, hospital medical equipment, energy and information technology.

Second is multilateral relations, Vietnam is now an important gateway to trade in ASEAN, the market with over 600 million people. The Czech businesses will have to prepare investment plans, not only with the Vietnam market with more than 90 million consumers but also to deepen access to the ASEAN market.

Meanwhile, the Czech Republic is the gateway for goods to enter the European Union (EU). Especially when the EU – Vietnam Free Trade Agreement (EVFTA) comes into effect, it will facilitate Vietnamese products entering the European market.

Finally, the cooperation between Vietnam and the Czech Republic is always given priority by the business community and the two Governments. The sixth session of the Intergovernmental Committee of Vietnam – Czech Republic is taking place in Hanoi, with the presence of many businesses of the two countries, especially the presence of Mr Vladimir Bartl has demonstrated this special relationship.

Recently, Chairman of Bumjin Electronic Company from Korea had a meeting with Chairman of Quang Ninh People’s Committee on the implementation of the project in Quang Yen town.

Accordingly, the Company is preparing to deploy the investment project to build audio equipment factory in Dong Mai Industrial Park, Quang Yen Town, Quang Ninh Province with a total investment of 40 million USD. It is expected that the project will be started construction and go into production in December 2019.

Chairman of Quang Ninh People’s Committee affirmed that the investment project of Bumjin Electronic Company is the area that Quang Ninh province is prioritizing to attract investment. To ensure on time schedule that the company has set, Quang Ninh province confirmed to provide maximum support during project implementation.

He also shared with investors that Quang Ninh province is proposing the Government to allow the establishment of Quang Yen coastal economic zone with better preferential policies. At the same time, Chairman of Quang Ninh People’s Committee expressed his desire that besides the project implementation, Bumjin Electronic Company will become a bridge to connect Quang Ninh and Korean investors, contributing to promote investment activities of Korean businesses in Quang Ninh in the future.

According to a report by the Ministry of Science and Technology, in 2019, the Science and Technology industry has achieved GDP growth of 46.11% and the labor productivity growth rate of 6.2%, these are achievements of Science and Technology of Vietnam in 2019. To continue the development of Science and Technology, Da Nang has set a goal of developing science and technology, focusing on the goal of improving the capacity of innovation by attracted the domestic and foreign investors to set up company in this fields in Da Nang.

In recent years, with efforts in Science and Technology development, Vietnam has achieved certain achievements in the fight against epidemics and bringing the economy back to stability. At the same time, Science and Technology achievements have been flexibly applied, promoting the basis of the digitized Vietnamese knowledge system in developing epidemic maps using Vmap, detecting people at risk of infection at tourist destinations, construction of medical declaration software. In the meantime, Vietnam has been effectively mobilizing science and technology representative networks in countries to connect research groups, exchange and test equipment, technologies and products for prevention and control of epidemic; promote public-private cooperation in conducting research tasks.

In addition, according to the content of Resolution No. 50/NQ-CP dated April 17, 2020 on the Government’s action plan to implement Resolution No. 52-NQ/TW dated September 27, 2019 of the Politburo on number of guidelines and policies actively participated in the Fourth Industrial Revolution, the Prime Minister has issued the policies to improve national innovation capacity.

In particular, the Prime Minister requested the Ministry of Science and Technology to conduct research, review and propose a comprehensive restructuring plan for the system of public scientific and technological research facilities. Building and developing national innovation centers, focusing on the key technologies of the Fourth Industrial Revolution. Developing a national innovation system in the direction of being enterprise is the centered, higher education institutions and research institutes as strong research subjects. At the same time, assume the prime responsibility for, and coordinate with units in joint research and development, propose special and breakthrough mechanisms and policies for the construction and operation of innovation centers. Beside, Vietnam has encouraged domestic and foreign universities, businesses and organizations to set up innovation centers in Vietnam.

In Da Nang City, the Department of Science and Technology issued Plan No. 28-KH/SKHCN dated May 12, 2020, focusing on the content of improving the capacity of innovation.

In the coming time, the city Department of Science and Technology will deploy 23 contents on the topic of innovation. In which, 03 contents are implemented in the period of 2020 to 2025 and 16 contents are implemented annually.

In the period of 2020 to 2025, the Department will coordinate with the Ministry of Science and Technology to promote the development of national creative start-up ecosystem to strongly develop startups in the city.

In addition, the Department will advise the implementation of the Projects to build Da Nang into a national innovation and innovation start-up center in the Central region and Highlands of Vietnam. In particular, in the immediate future, the city will focus on building and deploying activities of innovation centers, focusing on the core technologies of the Fourth Technology Revolution. The City People’s Committee issued a plan to implement the City’s Program on “Developing high-tech industry, building Da Nang into a national-level startup, innovation and innovation center, as an urban area in creativity – science – technology of the global and highly competitive”, and plan to implement the Project” Supporting national innovation start-up ecosystem to 2025″ in the Da Nang city.

With the efforts of Science and Technology development with the city’s FDI attraction goals, Da Nang hopes that it will become a destination for Science and Technology investors to set up company doing business in Vietnam.