Vinh Phuc has been one of top spots in attracting foreign direct investment (FDI) in the north of Vietnam. The province is an attractive destination for leading investors such as Japan, the Republic of Korea, US and the EU, the Vietnam Business Forum Magazine (VBF) reported.
Despite the difficult economic situation, in the 1st quarter of 2014, Vinh Phuc’s investment attraction achieved positive results. Total newly invested capital and added capital reached 115.7 million USD with 6 newly invested projects and 1 added capital project. The number of projects increased by 3 times and total capital increased by 7 times against the same period last year.
The projects of Toyota, Honda, Yamaha, Piaggio and others have brought great social and economic value to the locality. In the 1st quarter 2014, FDI enterprises contributed 4,000 billion VND (200 million USD) to the state budget, up 23 percent compared to the same period in 2013, attracting over 45,000 local workers.
Aiming to attract investments in the industrial sector, with the priorities to automobile, motorcycle and electronic manufacturing sectors, Vinh Phuc aimed to become a centre of industrial production in Vietnam.
Supporting Industry (SI) has accounted for over 50 percent of Vinh Phuc's GDP. Vinh Phuc’s SI primarily focuses on three major sectors: mechanics, electronics and computing and automotive and motorcycle, accounting for over 10 percent of the industry.
However, besides industrial products for the automobile and motorcycle industry, the fields of mechanical engineering, automotive, electronics-computer are limited in manufacturing simple components. Many sectors of FDI enterprises such as automobiles, motorcycles and electronics have high export value, but depend entirely on imported sources, so their added value is low.
The industrial growth of Vinh Phuc has received great contribution from Toyota and Honda Vietnam. However, at present, the two companies mainly operate in assembling imported spare parts so that the localisation rate of some of the main products is not high.
A decision of Vinh Phuc People’s Committee on development planning for SI by 2020, with a vision towards 2030, identified the SI planning as closely linked with industrial development planning.
In particular, SI development will become the foundation for the industry towards the use of advanced technologies, with high competitiveness, first to increase the localisation rate of major industrial products. The SI sector of the province strives to provide SI products for industries in the province and neighbouring provinces, as well as participate in global supply chains of multinational corporations in the world.-VNA
Despite the difficult economic situation, in the 1st quarter of 2014, Vinh Phuc’s investment attraction achieved positive results. Total newly invested capital and added capital reached 115.7 million USD with 6 newly invested projects and 1 added capital project. The number of projects increased by 3 times and total capital increased by 7 times against the same period last year.
The projects of Toyota, Honda, Yamaha, Piaggio and others have brought great social and economic value to the locality. In the 1st quarter 2014, FDI enterprises contributed 4,000 billion VND (200 million USD) to the state budget, up 23 percent compared to the same period in 2013, attracting over 45,000 local workers.
Aiming to attract investments in the industrial sector, with the priorities to automobile, motorcycle and electronic manufacturing sectors, Vinh Phuc aimed to become a centre of industrial production in Vietnam.
Supporting Industry (SI) has accounted for over 50 percent of Vinh Phuc's GDP. Vinh Phuc’s SI primarily focuses on three major sectors: mechanics, electronics and computing and automotive and motorcycle, accounting for over 10 percent of the industry.
However, besides industrial products for the automobile and motorcycle industry, the fields of mechanical engineering, automotive, electronics-computer are limited in manufacturing simple components. Many sectors of FDI enterprises such as automobiles, motorcycles and electronics have high export value, but depend entirely on imported sources, so their added value is low.
The industrial growth of Vinh Phuc has received great contribution from Toyota and Honda Vietnam. However, at present, the two companies mainly operate in assembling imported spare parts so that the localisation rate of some of the main products is not high.
A decision of Vinh Phuc People’s Committee on development planning for SI by 2020, with a vision towards 2030, identified the SI planning as closely linked with industrial development planning.
In particular, SI development will become the foundation for the industry towards the use of advanced technologies, with high competitiveness, first to increase the localisation rate of major industrial products. The SI sector of the province strives to provide SI products for industries in the province and neighbouring provinces, as well as participate in global supply chains of multinational corporations in the world.-VNA
