Da Nang developing supporting industries
Da Nang (VNA) - The central city of Da
Nang has set a goal of developing supporting industries in tandem with
high-tech industry to create products with high added value for export.
Under action programme No 01-Ctr/TU issued by the
municipal Party Committee on December 10, 2020, the industry-construction
sector is to grow by 11-11.5 percent annually between 2020 and 2025.
The municipal Department of Industry and Trade has reported
that several large-scale projects in supporting industries have gradually
joined the global supply chain.
Since 2016, Da Nang has attracted 24 new supporting
industry projects worth over 9 trillion VND, two of which are foreign-invested,
with 240 million USD, specialising in manufacturing aviation and automobile spare
parts.
Da Nang is now home to around 110 supporting industry
firms, accounting for 6.3 percent of all industrial enterprises in the city.
However, the number of domestic companies in the field
remains limited, and most are of small scale with average technological
capabilities. Meanwhile, foreign firms mostly process and assemble imported
materials because the rate of domestically-made items remains low. Links between
foreign and domestic businesses, meanwhile, are still less than needed.
General Director of the Long Hau Company, Tran Hong
Son, said a number of local companies have yet to meet requirements for being
recognised as supporting industry enterprises or manufacturers under Vietnam’s
regulations.
He suggested quickly completing planning for an area devoted to supporting industry enterprises inside the Da
Nang Hi-tech Park (DHTP) and putting it into operation to attract capable investors.
Head of the management board of the DHTP and
industrial parks in Da Nang, Pham Truong Son, said the municipal People’s
Committee has completed the planning for a supporting industrial park in the DHTP,
which has been submitted to the Prime Minister for approval.
Once approved, Da Nang will outline a list of sectors
in need of investment and then set up the park, the first of its kind in
supporting industries in the city. Investors in the park would work with those at
DHTP to create an industrial ecosystem.
If Da Nang develops supporting industries, investment
will also pour into nearby localities, he said.
Under Politburo Resolution No 43/NQ-TW, Da Nang is to be
a nucleus of the central key economic region and will develop hi-tech
industries and information technology. To this end, Son suggested making the
best use of its geographical location, infrastructure, human resources, and
supporting industry.
Under the pending plan, the supporting industrial park is to cover an area of
over 102 ha in Hoa Vang district, adjacent to the DHTP and the city's information technology park.
In line with Resolution No 01-NQ/TU from the standing
board of the municipal Party Committee, supporting industry enterprises will
increase in number by 2030 and be capable of producing highly-competitive
products, focusing on spare parts, software, and key services in support of
priority industries. The city will also attract multi-national groups to guide
and facilitate technology transfer.
By 2025, the city expects to have over 150 supporting enterprises,
with at least 10 percent of domestic supporting enterprises being able to
supply products to manufacturers. The value of the supporting industry will
make up around 30 percent of added valued in the manufacturing and processing
sector. At least one multi-national group or company is to invest in
manufacturing end products.
Of the more than 300 supporting enterprises to be in
business by 2030, at least 15 percent are to be able to directly supply
products to manufacturers and assemblers. The value of the supporting industry
will account for nearly 40 percent of added value in the manufacturing and
processing sector and at least one multi-national group or company will invest
in manufacturing end products./.