US’s Marvell Technology, Inc., on May 16 announced the establishment of a world-leading IC design center in Ho Chi Minh City by upgrading its Marvell Vietnam Technology Company Limited in the city’s District 7.
Radical changes and developments resulting from global connectivity, automation, and technological innovations in the 4.0 industrial revolution era enforce workers to acquire and apply different essential skills.
For the last many years, Vietnam has been in a quandary as to how to approach all Foreign Direct Investment (FDI) projects, and how best to take advantage of the opportunities they offer.
Total export turnover in the first quarter of 2022 reached US$88.58 billion, up 12.9 percent over the same period last year proving enterprises’ great efforts in recovering the economy. However, along with the above excitement, Many Vietnamese businesses are worried when foreign firms outdo local firms in exporting goods and service.
The People's Committee of Ho Chi Minh City, on March 17, coordinated with the Consulate General of India in HCMC to organize the "Second Edition of India - Vietnam Business Forum". The forum, which attracted the participation of more than 300 enterprises from the two countries, is an opportunity for domestic enterprises to seek investment opportunities, as well as expand their export market share in a market with a population of more than 1.3 billion people.
Despite the complicated developments of the Covid-19 pandemic, the export turnover of Vietnam still achieved positive results of US$27 billion in September, down 0.8 percent compared to the previous month and 0.6 percent year-on-year. As soon as Ho Chi Minh City gradually reopens, many enterprises accelerate export activities.
Eighteen percent of orders of European enterprises have moved out of Vietnam. Previously, many large FDI enterprises of Japan and South Korea had also informed Vietnamese enterprises producing supporting industrial products about moving some orders to neighboring countries. To avoid the risk of disruption in the domestic supply chain, Vietnamese enterprises have applied many solutions to maintain production.
The global outbreak of the Covid-19 pandemic has made the world realize the limitations in the current supply chain, which shows an over reliance on just one link, which is a plausible reason for the collapse of the system.
How to avoid scams when signing investment agreements with foreign enterprises? Is there any way to make use of incentives from free trade agreements? These concerns of some enterprises are also common questions in the process of Vietnamese enterprises integrating into the global playground.
According to Vietnamese trade counselors, in 2021, Vietnamese goods, in general, have a great opportunity to export to Europe, Northern Europe, the US, the Eurasian Economic Union, Japan, South Korea, and China.
Years of economic growth and success in fighting Covid-19 paved the way for Vietnam to receive shifting FDI inflows, but limited participation in manufacturing industries might hinder its progress.
In the past three years, Ho Chi Minh City has made great efforts to revive and develop the supporting industry. Besides the capital support policy, in the past three consecutive years, the city’s Department of Industry and Trade has coordinated with foreign direct investment (FDI) enterprises to implement a program to improve production efficiency for enterprises operating in the supporting industry. Thanks to that, many Vietnamese enterprises have gradually increased their competitiveness.
The Sourcing Fair for Supporting Industry with Buyer 2020 held by the People’s Committee of Ho Chi Minh City on September 17 attracted the participation of nearly 74 domestic and foreign enterprises. Mr. Duong Anh Duc, Vice-Chairman of the municipal People’s Committee also attended the event.
Like other industries, the leather and footwear industry has also encountered many difficulties due to the influence of the Covid-19 pandemic. However, according to many experts, with the pandemic being controlled fairly well and the EU-Vietnam Free Trade Agreement (EVFTA) taking effect from the beginning of August, the leather and footwear industry will recover soon.
About 300 Vietnamese domestic companies on July 2 took part in a forum aimed to help connect their supporting industry products with end products by FDI companies.
According to the Ministry of Industry and Trade, there are 1,800 enterprises manufacturing components and spare parts in Vietnam but only around 300 enterprises participate in global production network of multinational corporations, accounting for around 17 percent.
Vietnam Export Forum 2017 will be organized on August 8, expected to attract 400 delegates from ministries, agencies and leading businesses in HCMC and provinces, announced HCMC Investment and Trade Promotion Centre yesterday.
