What makes Vietnam attractive to giants Apple, Samsung, Foxconn…?

Tram Ho

Điều gì giúp Việt Nam hấp dẫn các ông lớn Apple, Samsung, Foxconn…? - Ảnh 1.

An Intel Corporation factory in Ho Chi Minh City. Photo: Hoang Trieu

This is an opinion commented by managers and experts at the Vietnam Industrial Park Forum 2022 with the theme “Opening a new investment wave”, organized by Investor Magazine under the direction and support of investors. of the Ministry of Planning and Investment and the Association of Foreign Investment Enterprises.

According to the Ministry of Planning and Investment, in the first 7 months of this year, Vietnam has attracted more than 15.54 billion USD of newly registered FDI capital; Disbursed capital reached over US$11.57 billion, up 10.2% over the same period last year and was the highest level of 7 months in the past 5 years.

In particular, economic zones and industrial parks play an important role in attracting investment in the manufacturing sector. Currently, the country has 564 industrial parks planned with a total area of ​​211,700 ha, of which 292 industrial parks have been put into operation.

According to experts and international financial institutions, Vietnam is facing a “golden opportunity” to attract a new wave of investment from abroad, especially in economic zones and industrial zones.

Speaking at the forum, Deputy Minister of Planning and Investment Tran Quoc Phuong said that industrial parks and economic zones have attracted more than 10,000 domestic projects and nearly 11,000 valid FDI projects. The total FDI capital alone is about 230 billion USD. In recent years, on average, annual FDI capital in industrial parks and economic zones accounts for about 35%-40% of the country’s total increased registered FDI capital.

“Industrial parks and economic zones have really become key areas to attract investment capital and large projects at home and abroad, now are the destinations of many leading corporations such as Samsung, Canon, LG. , Sumitomo, Foxconn, VSIP… Many domestic enterprises that started out as investors in developing and trading industrial park infrastructure have developed into multi-industry investment groups, contributing to affirming the position of Vietnamese enterprises. South in the international arena” – Deputy Minister Tran Quoc Phuong said.

Điều gì giúp Việt Nam hấp dẫn các ông lớn Apple, Samsung, Foxconn…? - Ảnh 2.

Speakers discussed at the forum’s discussion session on the morning of August 11th. Photo: Thai Phuong

Mr. Nguyen Anh Tuan, Deputy Director of Foreign Investment Department, Ministry of Planning and Investment, assessed that FDI disbursement in the past 7 months still increased over the same period, reflecting the need to increase capital and expand the scale of operations. of existing projects continued to increase despite the impact of the epidemic. Many FDI enterprises are recovering and gradually expanding their projects, production and business activities.

“Vietnam continues to be evaluated by the foreign-invested business community as an attractive investment destination with stable political advantages and gradual opening of administrative procedures. A number of large corporations have carried out the translation process. moving production supply chains to Vietnam such as Apple, Dell, Foxconn, Pegatron…” – Mr. Nguyen Anh Tuan said.

Domestic enterprises have the opportunity to participate deeply in the global supply chain. The fact that large corporations are planning to shift or restructure their production chains in the direction of “China + 1”, with Vietnam being the first destination in this shifting trend, opens up opportunities for domestic enterprises. new supply chain locations. This contributes to the improvement of capital, technology, and management experience, which can help support the development of the domestic economic sector.

Mr. Nguyen Cong Ai, Deputy General Director of KPMG, said that despite the difficult economic situation, the interest of foreign investors in the Vietnamese market is still good and even increased somewhat. However, it is necessary to be careful in the context that the world economy is likely to go into recession from 2023 in the US and EU, which will affect the investment wave. Not to mention now the competition to attract FDI is not only among developing countries but also with the US and EU when these countries advocate to attract FDI to the domestic market.

Recently, the Ministry of Planning and Investment has advised the Government to issue Decree No. 35/2022/ND-CP in May 2022, regulating the management of industrial parks and economic zones, which has supplemented the following provisions: new type of industrial park and economic zone, abolishing the procedure for establishing industrial zones to reduce administrative procedures and supplementing and amending a number of regulations to improve the efficiency of land use in industrial park development , economic sector.

Deputy Minister Nguyen Quoc Phuong said that the Ministry of Planning and Investment will work with other ministries, branches and localities to continue researching and perfecting mechanisms and policies and accompanying investors to build a business investment environment. of industrial parks and economic zones are increasingly transparent and convenient.

Share the news now

Source : Genk