Many domestic enterprises participating in the Forum on Linkage and Investment Opportunities for Small and Medium-sized Enterprises, held by the US Agency for International Development (USAID), in association with the Department of Industry and Trade, and the Saigon High-Tech Park (SHTP) on December 9, affirmed that joining the global supply chain of supporting industry products is not difficult. The remaining problem is weak internal resources, so they cannot supply any high value-added product.
The risk of a new outbreak of Covid-19 in Europe and the US has been raising concerns that supply chains of raw materials for production will break again. Therefore, foreign direct investment (FDI) enterprises that manufacture end products in Vietnam have been accelerating their capacity to expand domestic supply chains.
The Management Board of the Saigon High-Tech Park, on October 28, collaborated with the Department of Industry and Trade of Ho Chi Minh City to organize the signing ceremony of a regional association agreement on the development of a network of supporting industry products with Long An, Binh Duong, Dong Nai, and Ba Ria - Vung Tau provinces.
In the past three years, Ho Chi Minh City has made great efforts to revive and develop the supporting industry. Besides the capital support policy, in the past three consecutive years, the city’s Department of Industry and Trade has coordinated with foreign direct investment (FDI) enterprises to implement a program to improve production efficiency for enterprises operating in the supporting industry. Thanks to that, many Vietnamese enterprises have gradually increased their competitiveness.
Generally, in the first nine months of this year, the total foreign investment capital into Vietnam reached US$21.2 billion. Of which, there were 1,947 newly-licensed projects. Many economic experts affirmed that the free trade agreements (FTAs) that Vietnam has already signed and will sign this year are accelerating the flow of foreign investment to Vietnam.
The Ministry of Industry and Trade (MoIT), the People’s Committee of Bac Ninh province, and Samsung Electronics Vietnam have jointly signed a memorandum of understanding (MoU) on a programme to support Vietnamese businesses operating in the northern province.
The Sourcing Fair for Supporting Industry with Buyer 2020 held by the People’s Committee of Ho Chi Minh City on September 17 attracted the participation of nearly 74 domestic and foreign enterprises. Mr. Duong Anh Duc, Vice-Chairman of the municipal People’s Committee also attended the event.
In recent years, electronics industry has always been among top ten industries with highest export proportion of tens of billions US dollars annually. However, this ‘piece of cake’ mostly belongs to foreign direct investment (FDI) enterprises.
According to the Industry Agency under the Ministry of Industry and Trade, after implementing the decree on development of supporting industry for four years, at the present, there are around 1,800 supporting industry enterprises, of which, around 300 enterprises are Vietnamese-owned and the rest is chain businesses.
