Want to be in the loop?
subscribe to
our notification
Business News
VIETNAM LOOKS FORWARDS TO STRONGER INVESTMENT FROM US, EUROPE
Vietnam is hoping to attract more investment from the US, Europe and major global enterprises under a recently approved strategy on foreign investment cooperation.
The strategy for 2021 - 2030, signed off by Permanent Deputy Prime Minister Pham Binh Minh, aims at raising capital flows from countries and territories in certain regions to over 70% of total foreign investment in Vietnam during 2021 - 2025 and 75% during 2026 - 2030.
The targeted partners include the Republic of Korea (RoK), Japan, Singapore, China, Taiwan (China), Malaysia, Thailand, India, Indonesia, and the Philippines in Asia; France, Germany, Italy, Spain, Russia and the UK in Europe, and the US.
This strategy also looks to raise the number of multinationals listed in Fortune Global 500 operating in Vietnam by 50%.
According to Dau tu (Vietnam Investment Review), the Foreign Investment Agency under the Ministry of Planning and Investment has held a working session with Intel. Details about this meeting haven’t been revealed, but it was likely about the next investment stage of the US-based firm in Vietnam.
During a trip to the US in mid-May, Prime Minister Pham Minh Chinh met with Keyvan Esfarjani, Executive Vice President for manufacturing, supply chain and operations at Intel, who highly valued Vietnam’s role in his group’s production chain and held that the country has high potential for technology businesses to continue expanding operations.
Only 10 days after that meeting, PM Chinh received Intel CEO Patrick Gelsinger in Hanoi. The host leader asked Intel to continue its investment, and Gelsinger said his firm had decided to scale up investment many times higher than the current level.
The new investment by Intel could mark the start of a new chapter for Vietnam’s foreign investment attraction. Intel invested 1 billion USD into the country over 10 years ago, and a number of tech giants have flocked to Vietnam since then.
Now, with the commitment to multiply its investment, Intel is likely to become one of the first foreign investors to benefit from special preferential treatment that the Government gives to large-scale and high-tech projects, according to the newspaper.
At the recent launch of an annual FDI report, Chairman of the Vietnam Association of Foreign Invested Enterprises Nguyen Mai pointed out that investment from Europe and the US remains modest, while Japan, the RoK, Singapore and Taiwan are still the largest investors.
Though the US is one of Vietnam’s top trade partners, it only ranks 11th among foreign investors, and the same can also be seen in investment from the EU, he noted.
Phan Huu Thang, former Director of the Foreign Investment Agency, explained that Vietnam is in close proximity to East Asian countries, which is favorable for trading. Besides, Asian investors are also more familiar with the local customs and investment environment while Vietnam has signed free trade agreements with these partners.
It is believed that opportunities have never been so big for Vietnam to attract investment from the US and the EU, which can be proved through American and European businesses’ affirmation of their special interest in the Southeast Asian nation during Vietnamese leaders’ recent visits to these destinations.
Intel’s plan to increase investment and the recent “green” investment worth over 1.3 billion USD by Denmark’s LEGO promise a bright future for more investment from the US and the EU, according Dau tu.
Source: VCCI
Related News
![Card image cap](/uploads/Logo/Cathay%20%281%29.jpg)
ONE-TIME OFFER: COMPLEMENTARY CATHAY PACIFIC LOUNGE PASS
Begin your trip on the right note in Cathay Pacific’s first-ever ferry lounge, located at Shenzhen’s Shekou Cruise home port. Situated at the end of the pier, the ferry lounge offers a breathtaking 270-degree view of the sea. You can immerse yourself in sheer luxury and revel in the panoramic beauty. Catch a glimpse of Hong Kong in the distance.
![Card image cap](/uploads/news/Industrial%20Zone.jpg)
VIỆT NAM TARGETS FULL MOBILE BROADBAND COVERAGE ON HIGHWAYS, INDUSTRIAL ZONES BY 2025
By 2025, Việt Nam aims to achieve one hundred per cent mobile broadband coverage on all national highways, expressways and railways under a plan to enhance the quality of Việt Nam’s mobile telecommunications network by 2025, which has been approved by the Ministry of Information and Communications (MIC).
![Card image cap](/uploads/news/Investment6.jpg)
VIETNAM ONE OF FASTEST-GROWING E-COMMERCE MARKETS IN SOUTHEAST ASIA
The report released on July 16 highlighted that the total GMV of Southeast Asia’s eight leading e-commerce platforms rose to $114.6 billion in 2023, up 15 per cent from 2022. The key drivers for the region's e-commerce GMV expansion in 2023 are Vietnam and Thailand, growing 52.9 per cent and 34.1 per cent on-year, respectively.
![Card image cap](/uploads/news/Security.jpg)
2025 PIVOTAL FOR STOCK MARKET UPGRADE EFFORT
The Ministry of Finance (MoF) is expected to soon publish the entire content of the draft circular amending and supplementing four circulars on transactions, registration, depository, and clearing, as well as operations of securities companies and information disclosure. This move, along with feedback and explanations, aims to meet the criteria for upgrading Vietnam’s stock market.
![Card image cap](/uploads/news/bn-01.jpg)
VIETNAM INTENSIFIES E-COMMERCE TAX SCRUTINY
The department plans to offer guidance for and hold direct dialogues with e-commerce taxpayers to ensure compliance. Efforts will also include updating the e-commerce database, conducting risk analysis, and leveraging artificial intelligence (AI) to manage data and issue alerts.
![Card image cap](/uploads/news/eco2.jpg)
FOOTWEAR EXPORTS SEEN REACHING US$27 BILLION THIS YEAR
This optimistic forecast reflects the industry’s efforts to expand and diversify its markets. Lefaso indicated that Vietnam’s footwear sector will concentrate on traditional markets like the U.S. and the European Union, alongside markets with free trade agreements to maximize opportunities.