Local authorities in the southeastern region are making plans to promote the development of support industries for industrial production, which play a crucial role in the economic restructuring towards industrialisation and modernisation.
Hanoi’s support industries have significantly contributed to the national economy and actively engaged in the global supply chain, yet their localisation remains low, resulting in the compulsory import of components worth tens of billions of US dollar each year.
The Ministry of Industry and Trade sent a report to Deputy Prime Minister Tran Hong Ha on receiving comments on a draft decree amending Decree No. 111 on developing support industries with preferential policies to drive innovation and competitiveness.
Vietnam is considered an attractive destination for multinationals amidst the wave of industrial production shift, enterprises have said while attending Vietnam’s International Exhibition on Machine Tools & Metalworking Solutions for Production Upgrade (METALEX Vietnam 2023) in Ho Chi Minh City.
The northern province of Ha Nam hopes to lure groups and businesses from developed countries, including the Czech Republic, a local official affirmed on April 18.
The Vietnam-Japan Joint Initiative (VJJI) has significantly contributed to improving the domestic business environment and raising Vietnam’s competitiveness in foreign direct investment (FDI) attraction, an official from the Vietnamese Ministry of Planning and Investment (MPI) has said.
Support industries for machinery manufacturing, electronics, and deep processing are forecast to attract greater foreign investment in the years to come, according to insiders.
Vietnamese businesses operating in support industries have been developing in both quantity and quality in recent years, with improved production capacity and increasing engagement in global production chains.
Vietnam has worked to raise the number of local part suppliers in the global supply chains, aiming to have about 1,000 enterprises capable of supplying directly to assembly enterprises and multinational corporations by 2025.
There are few opportunities for businesses to develop support industries in Vietnam amid the global economic crisis caused by COVID-19, according to economists.
Prime Minister Nguyen Xuan Phuc has signed a resolution to promote the development of support industries with the aim of having 2,000 enterprises capable of directly supplying parts for multinational corporations in ten years.
The Vietnam Association for Supporting Industries (VASI) and the US Agency for International Development (USAID) teamed up to organise the Manufacturing Match Making Event 2020 in Hanoi on July 23.
The Ministry of Industry and Trade will host a teleconference for trade promotion in support industries between Vietnam and Japan on July 7, attracting about 30 – 40 enterprises from both countries.
Vietnam will make an all-out effort to remove difficulties facing Australian enterprises when exporting to Vietnam during the COVID-19 crisis, Minister of Industry and Trade Tran Tuan Anh told Australian Minister for Trade, Tourism and Investment Simon Birmingham during phone talks on the morning of May 8.
Hanoi will prioritise stimulating support industries for the component manufacturing, hi-tech, and textile-garment and footwear sectors and strengthen industrial supply chains in the northern key economic region.
The COVID-19 pandemic has disrupted global supply chains and exposed many large foreign investors in Vietnam to material shortages, and in response a number of domestic firms in support industries have taken the opportunity to become important “links” within those chains.
