Illustration Photo. Source: VNA

A series of three exhibitions on supporting industries were kicked off at the Hanoi International Exhibition Centre on September 10, bringing together more than 100 businesses in the field.

The three-day events – the 6th Vietnam-Japan Supporting Industries Exhibition (SIE), Vietnam Manufacturing Expo (VME) 2015, and Industrial Component and Subcontracting Vietnam (ICS) 2015 – were organised by the Japan External Trade Organisation (JETRO) and Thailand-based Reed Tradex Co., Ltd.

A programme to connect Japan’s manufacturers and Vietnam’s industrial component businesses will also be held on September 11.

In his remarks at the launching ceremony, Deputy Minister of Industry and Trade Hoang Quoc Vuong said this year’s events will act as a bridge for industrial manufacturers from Vietnam, Japan, the Republic of Korea, Thailand and India to seek new markets, business partnerships and investment opportunities.

According to Katsuro Naga from the Japanese Embassy in Vietnam, there are about 1,500 Japanese enterprises in Vietnam, half of which are currently operating in the manufacturing sector and were only able to achieve 33 percent of local content which is supplied by Japanese firms last year.

Despite the growing interest of Japanese investors in Vietnam, they are struggling to find a stable supply of materials and components for production in the local market.

Nagai hoped that the exhibitions would support the expansion of business links between enterprises of the two countries.

In 2018, Vietnam will eliminate 97 percent of tariffs as committed to the ASEAN goods and trade agreement which will help it reel in investment. However, Vietnamese firms will face a fierce competition with neighbouring producers offering cheaper products.-VNA