Foreign investment in Vietnam will be booming. Here’s why
Many large firms have shown their interest in Vietnam, and the country is looking at its chances to welcome large-scale foreign direct investment (FDI) inflows, said Sophie Dao, Partner of Global Business Services LLC, one of the top investment consulting companies in Vietnam.
Recently, a delegation of 25 member companies of the Automotive Component Manufacturers Association of India (ACMA) – a groups 800 makers of auto parts and components from India visited Vietnam to explore the investment and business opportunities in the country, the Vietnam News Agency reported.
“ACMA wants to cooperate with businesses in the Vietnamese automobile industry to jointly explore new markets through all forms of cooperation”, said Yuvraj Kapuria, President of YBLF – a member of ACMA.
Recently, Yerkin Tatishhev, founder and chairman of Kusto Group, also visited Vietnam after a three-year hiatus due to the COVID-19 pandemic. Following a 10-day trip with many meetings with Vietnamese officials and businesspeople, Tatishhev plans to expand investment in Vietnam, after having invested more than 1 billion USD in 10 projects in Vietnam over the past 15 years. Kusto Group’s two fields of interest are social housing and infrastructure projects.
Kusto Group is likely to invest up to hundreds of millions of USD in Vietnam in the near future if projects meet the group’s criteria and business philosophy. Binh Duong province was among the places Tatishhev visited to look for investment opportunities.
A few days ago, Robert Wu, Chairman and CEO of Sharp Corporation (Japan), also visited Binh Duong province. He said that his firm will continue to expand production and business facilities in the southern industrial hub. He noted that Vietnam’s economy is expected to accelerate after the pandemic, while the Vietnamese government is also giving more incentives to foreign businesses.
Related: Here’s how to set-up your business in Vietnam as foreign investors
SK Group, a company from the Republic of Korea (RoK) – has even bigger ambitions in the Vietnamese market. “The group is considering conditions to invest in hydrogen projects in the Mekong Delta and high-tech projects using clean energy in Vietnam” Chey Tae-won, Chairman of SK Group told reporter.
As the second largest corporation in the RoK, SK Group has inked many large investment deals in Vietnam, including pouring 470 million USD to buy a 9.4% stake in Masan Group, 1 billion USD to get a 6% stake in Vingroup, and 340 million USD into TheCrownX. The group is most likely that SK will inject capital into the Pharmacity drugstore network in Vietnam, according to our news sources.
The results to Vietnam’s good control of the COVID-19 pandemic, its advantages in terms of human resources and domestic market, and the determination to improve the investment and business environment.
“However, Vietnam needs to do more to tap FDI opportunities, including designing a proper response policy and preparing land, resources, personnel and infrastructure” said the Minister of Planning and Investment Nguyen Chi Dung.
- FANDOM ACQUIRES LEADING ENTERTAINMENT & GAMING BRANDS INCLUDING GAMESPOT, TV GUIDE AND METACRITIC
- Lights, Camera, Fashion: IN2MOTIONFEST - Indonesia International Modest Fashion Festival 2022 Announces Dates and Venue
- ReneSola Power Closes Sale of 70 MW of Solar Projects in Pennsylvania
- The mannequin is simply 188 million VND, equal to the Honda SH value, making the market feverish
- Award Presentation of the "2022 Most Innovative Enterprise Award"
Illumina unveils NovaSeq X Series to accelerate genomic discoveries and improve human health
Standard Chartered named Best ESG Bank in Vietnam in 2022
AEON Vietnam celebrates its 10th anniversary
Hackers Steal Crypto From Bitcoin ATM By Exploiting The Zero-Day Bug
Vietstar and Tricor Axcelasia Group signed MoU