Vinh Phuc Wants to Attract Investment in High Technology | ANT Consulting

The results of investment attraction are not commensurate with the potential and advantages of Vinh Phuc province, not meeting the expectation of attracting resources for development investment. Therefore, Vinh Phuc urgently needs investors come to set up company in Vinh Phuc, especially technology projects, high quality, environmental-friendly and great socio-economic efficiency.      

According to the Chairman of the Provincial People’s Committee, although Vinh Phuc is considered a bright spot in attracting investment in the Northern region with 752 domestic direct investment projects in the country (DDI) with a total capital of over 78,000 billion VND (3.3 billion USD) and 378 FDI projects with a total registered capital of over 5 billion USD, but this result is not commensurate with the potential and advantages of the province, not meeting the expectation of attracting resources for development investment to achieve long-term goals. 

Many large corporations in the world such as Toyota, Honda, Daewoo, Samsung, Compal,… have invested in Vinh Phuc, focusing mainly on the fields of processing technology, manufacturing and assembling electronics. Foreign investors in Vinh Phuc are mainly from Northeast Asian countries, such as Japan, Korea. European and US investors account for a relatively modest proportion. 

Vinh Phuc currently has 10/376 FDI projects, accounting for nearly 3% of the total FDI projects from European countries and the US. 

In the coming time, Vinh Phuc needs technology projects, high quality, environmental- friendly, bringing great socio-economic efficiency. In particular, in order to encourage investment in the development of supporting industries for automobiles, motorcycles, electronics, telecommunications, and food processing industry. 

Regarding agriculture, Vinh Phuc hopes to develop high-tech agriculture, clean vegetable production projects and high-tech cattle and poultry breeding, and agricultural product processing projects. The province gives priority to attracting investment projects on infrastructure business of industrial parks and clusters, especially investment in specialized infrastructure, creating connections and linking clusters. 

With a very diverse and abundant number of businesses both domestically and abroad, Vinh Phuc has created an extremely convenient industrial ecosystem in recent years, in accordance with the requirements of businesses and investors from Europe and the US who are inherently high technology, source technology and want to take advantage of existing businesses as a supply and support partner in the province. 

In addition to the advantages of transportation system, Vinh Phuc has advantages that locating in the Northern key economic region, Kunming – Lao Cai – Hanoi – Quang Ninh economic corridor and the Northern industrial development belt. 

With these potentials, advantages and the supportive attention of authorities at all levels in solving difficulties and obstacles for businesses, it is believed that Vinh Phuc will become a favorite destination for European the US investors.

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Series of Big Technology Companies Shifted Production to Vietnam | ANT Consulting

LG, Panasonic or Foxconn – Apple suppliers… are planning to set up factory in Vietnam to expand investment, production chains in Vietnam after Covid-19. 

According to a 6-month industrial production report by the Ministry of Industry and Trade, some of the world’s big technology corporations are planning to shift production and investment chains to Vietnam. Vietnam is facing a great opportunity to welcome this wave of investment. 

Among the big names mentioned by the Ministry include: LG, Panasonic, Foxconn – Apple component suppliers… Among that, LG had transferred the entire production line from Korea to Hai Phong. 

In addition to LG, according to the Ministry of Industry and Trade, Panasonic Vietnam is also preparing to receive a production line of refrigerators and vertical door washing machines with high capacity from Thailand, in early September. Apple has also increased production of 3 – 4 million of AirPods in the second quarter, equivalent to nearly one third of its AirPods worldwide output through Foxconn. 

Currently, Foxconn has a factory located in Bac Giang and proposed the Government to build 3 social housing projects in the Northern of Vietnam, next to its industrial parks with a total investment of over 7,400 billion VND. 

Three Foxconn social housing projects are planned to be built in Bac Ninh, Bac Giang and Vinh Phuc. In particular, the project in Viet Yen district, Bac Giang province has the largest scale with 16.7 hectares, with an investment of 3,422 billion VND (about 150 million USD). The other two projects in Que Vo district, Bac Ninh province – scale 6.3 ha, invested 2,925 billion VND (more than 125 million USD) and in Vinh Phuc – scale 9.9 ha, invested more than 1,000 billion VND. 

Vietnam’s disease control is highly regarded by the international community and is an important driving force to attract more foreign investment after Covid-19. The capital investment and expansion of production chains of multinational corporations in the electronics sector have helped the industry record a good growth in the first half of the year, though affected by the disease. 

According to the Ministry of Industry and Trade, the index of industrial production of electronic products, computers and optical products in June increased by 29.3% over May and by 21.7% over the same period last year. 

In the first half of the year, production of this industry increased by nearly 10% over the same period, 6% higher than the first 6 months of 2019. 

In terms of export value, computers, electronic products and components reached nearly 19.3 billion USD, increase by over 24%; phones and accessories of about 21.5 billion USD. It is expected that in the last 6 months of the year, the electronics industry will still be greatly affected by the complicated disease situation which is likely to reduce the demand for electronic products in the US and European markets. 

Samsung’s global sales and output are forecast to decline due to the overall impact of the epidemic on electronics in general. Samsung Vietnam is also expected to reduce its export target to about 45.5 billion USD in 2020, compared with 51.4 billion USD in 2019.

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