UK newspaper, the Financial Times, on July 26 ran an article sayingthat Vietnam ’s attractive investment environment, especially itscheap labour costs and political stability, are persuading foreigncompanies to choose it as the best destination in the region for theirinvestments.
According to the article, whenMitsubishi Heavy Industries (MHI) Aerospace was planning to build afactory to assemble wing flaps for the Boeing Aircraft Corporation, itlooked around Southeast Asia before setting on what is rapidly becomingthe region’s destination of choice: Vietnam .
Hirotaka Masuda, head of the MHI Vietnam, said that MHI Aerospace istaking the same path as more and more companies are choosing, driven bythe country’s cheap labour and relative political stability.
A survey of Japanese companies with overseas operations by theJapanese Bank for International Cooperation found that Vietnam beatsChina and India as having the lowest labour costs.
The Kobe Steel Group has also recently announced a 100 billion JPY(1.1 billion USD) investment in a steel mill and the cosmetics companyShiseido has opened a large factory to supply its distribution networkin Southeast Asia and China .
Sapporo , aJapanese beer producer, plans to open a brewery in Vietnam in 2012while Daiwa Securities has launched a 40 billion JPY investment trustthat will allocate two-fifths of its assets to Vietnam .
The total foreign direct investment into Vietnam hit 9.8 billionUSD last year, down from 11.5 billion USD in 2008 but stillsignificantly better than many experts had predicted during the heightof the global economic crisis.
The relativelystable level of foreign investment, along with the economic momentumVietnam had built up gong into the crisis helped the economy continuegrowing at 5.3 percent in 2009./.
According to the article, whenMitsubishi Heavy Industries (MHI) Aerospace was planning to build afactory to assemble wing flaps for the Boeing Aircraft Corporation, itlooked around Southeast Asia before setting on what is rapidly becomingthe region’s destination of choice: Vietnam .
Hirotaka Masuda, head of the MHI Vietnam, said that MHI Aerospace istaking the same path as more and more companies are choosing, driven bythe country’s cheap labour and relative political stability.
A survey of Japanese companies with overseas operations by theJapanese Bank for International Cooperation found that Vietnam beatsChina and India as having the lowest labour costs.
The Kobe Steel Group has also recently announced a 100 billion JPY(1.1 billion USD) investment in a steel mill and the cosmetics companyShiseido has opened a large factory to supply its distribution networkin Southeast Asia and China .
Sapporo , aJapanese beer producer, plans to open a brewery in Vietnam in 2012while Daiwa Securities has launched a 40 billion JPY investment trustthat will allocate two-fifths of its assets to Vietnam .
The total foreign direct investment into Vietnam hit 9.8 billionUSD last year, down from 11.5 billion USD in 2008 but stillsignificantly better than many experts had predicted during the heightof the global economic crisis.
The relativelystable level of foreign investment, along with the economic momentumVietnam had built up gong into the crisis helped the economy continuegrowing at 5.3 percent in 2009./.
