VietNamNet Bridge - Vietnamese manufacturers have been quietly preparing their companies to adapt to the 4.0 industrial revolution.

Vietnamese businesses prepare for the 4.0 industry revolution

Nguyen Luu Dung is a well-known name in the mechanical engineering community. As the director of Vinamachines, specializing in distributing machines in Vietnam, he only calls himself ‘technical advisor’ in his name card. 

“I handed over to a lift manufacturer two machine complexes, worth VND20 billion and VND50 billion, which are used to process metal sheets. With the machine complexes, the time needed to process a stainless steel lift plate can be cut from eight hours to one hour,” Dung said. 

This helps his partner increase the capacity from 300 to 600-800 lifts a month.

In the mechanical engineering industry, Vietnam has been using many modern machines. A water jet cutting machine, for example, has more advantages than laser cutting machines because it can cut all kinds of materials while not distorting the materials.

The most advanced generation of water jet cutting machine - the US-made 3D multi-axis water jet cutting machine, valued at $500,000-700,000 – is being used in one enterprise. 

About 50 companies in Vietnam own machines of older generations, valued at $200,000-400,000. The $200,000 products are made in Taiwan, while the more expensive are made by G7 countries.

However, in general, information about the machines used at enterprises has been kept secret because of the competition. Most recently, VinFast stated its automobile factory will be automated. However, VinFast is one of very few enterprises which dare to make such statements.

Some manufacturers said they will use modern machines if they need them, but don’t intend to waste money on modern machines and leave them idle.

Thang Long is the head of the technical division of a factory which makes motors for Toshiba in Dong Nai province. The factory owns two 4-axis lathes and one mill.

“Four-axis machines are not the most advanced. There are 5-axis machines available in the world. However, we can fulfill our orders with 4-axis machines. If we really need 5-axis machine, we will buy it,” he explained.

Lack of capital is also a problem which forces manufacturers to think carefully before making investment decisions. At a press meeting, the managers of Shin Fung Company in Dong Nai province said they were considering buying an automatic yielding and molding line and needed $1 million. 

As for medium-size mechanical engineering companies in Vietnam, $1 million is not a small number.

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Mai Thanh