Chinese capital continues to flow to Vietnam

Chinese investors are pouring money ino Vietnam as a shelter from the US-China trade war.

Analysts say that Chinese investors have recently injected billions of dollars into their projects overseas, including Vietnam.

Chinese capital continues to flow to Vietnam

Chinese investment in Vietnam in 2013-2019

However, unlike the ‘previous-generation investment wave’, in addition to the ‘traditional business fields’ such as textile and garment and farm produce processing, they are interested in real estate, industrial zones, electronics, hi-tech products and integrated resorts as well.

The Van Don Economic Zone Management Board last week received high ranking executives from Jusda Vietnam, a subsidiary of Foxconn Group, who came to survey locations for assembling line and logistics center. The project will not only serve the operation of Foxconn, but also other enterprises.

Unlike the ‘previous-generation investment wave’, in addition to the ‘traditional business fields’ such as textile and garment and farm produce processing, they are interested in real estate, industrial zones, electronics, hi-tech products and integrated resorts as well.

With the newly opened Van Don International Airport, the border province of Quang Ninh has become attractive to Chinese investors.

IZ development has become a favorite business for many investors who anticipate a wave of foreign investors relocating their factories from China to Vietnam.

The US-based TTI Group is planning to set up a solar panel factory and an R&D center in the south of Vietnam. The project is expected to bring more foreign investors, who are vendors of TTI, including Chinese.

“The international investors like TTI are creating driving force for the development of the industrial real estate market in Vietnam,” commented Michael Chan from BW, a joint venture set up by Warburg Pincus and Becamex IDC.

 

The company developed 230 hectares of landin 2018 and is planning another 170 hectares in 2019.

The housing market is also attracting Chinese investors. According to Stephen Wyatt, CEO of JLL Vietnam, the prices in the market are more competitive than Hong Kong, Japan, Singapore, South Korea and Taiwan.

A high-end project of Sun Wah on Nguyen Huu Canh street of Binh Thanh district, HCMC, has no more room for foreigners because of the high demand from Chinese investors.

“The opportunities in Vietnam are very attractive. A high-end apartment in the city is priced at $5,000 per square meter, but it would be four times more expensive in Hong Kong,” said Nguyen Khanh Duy from Savills.

In the field of entertainment real estate, Suncity Group is developing Hoiana (the old name was Nam Hoi An), a casino on a very advantageous position – near Hoi An old residential quarters and just a 30 minute drive away from the Da Nang International Airport.

Vietnam has also become an attractive destination for technology firms. Eddie Thai, director of 500 Startups Vietnam, commented that Chinese, Singaporean and Indonesian, who several years ago only showed interest in the Indonesian market, are now eyeing Vietnam.

Mai Lan 

Increasing Chinese FDI worries NA deputies

Increasing Chinese FDI worries NA deputies

National Assembly deputies have raised their concerns about the potential risks of soaring Chinese foreign direct investment inflows into Vietnam.  

Vietnam sees new movement of FDI inflows

Vietnam sees new movement of FDI inflows

Nearly halfway through 2019, Vietnam has begun to see a new noticeable transition in its foreign direct investment (FDI) inflows, with Chinese investment in the Southeast Asian country reporting a sharp rise.  

 
 

Other News

.
Thai firm buys two wind power farms in Vietnam
Thai firm buys two wind power farms in Vietnam
BUSINESSicon  07/07/2020 

The move aims to take advantage of low interest rates to build projects with a quick return on investment.

FIEs displeased with government demand to license internal websites
FIEs displeased with government demand to license internal websites
BUSINESSicon  07/07/2020 

The new regulations of the MIC may affect the policies and assets of private businesses and foreign-invested enterprises in Vietnam.

New investment wave starts despite COVID-19
New investment wave starts despite COVID-19
BUSINESSicon  07/07/2020 

The new wave of foreign investment triggered by COVID-19 and US-China trade tensions is becoming more visible as outstanding overseas ventures are expanded.

Stronger money policies might be considered to aid economic growth: SBV
Stronger money policies might be considered to aid economic growth: SBV
BUSINESSicon  07/07/2020 

The State Bank of Vietnam could increase credit growth limits for credit institutions this year or even launch stronger monetary policies to aid the country’s post-pandemic growth, Governor Le Minh Hung has said.

Guiding decrees needed to fight with transfer pricing in Vietnam
Guiding decrees needed to fight with transfer pricing in Vietnam
BUSINESSicon  07/07/2020 

Anti-transfer pricing measures were included in the Law on Tax Administration for the first time, but a guiding decree has not yet been written. Experts said this could mean the rules are less effective.

VN corporate bond market to boom in second half
VN corporate bond market to boom in second half
BUSINESSicon  07/07/2020 

Companies are looking to raise debts from bond issuance before the amended Law on Securities takes effect next January.

Moving from former adversaries to trusting and valued partners
Moving from former adversaries to trusting and valued partners
BUSINESSicon  07/07/2020 

Through candid dialogue, mutual respect, and a strong commitment to succeed by the leadership of both countries, Vietnam and the United States created a comprehensive partnership that identifies areas for both countries to work together.

EVFTA expected to give a lift to real estate sector
EVFTA expected to give a lift to real estate sector
BUSINESSicon  06/07/2020 

Many segments of the real estate market are soon expected to benefit from the EU-Vietnam Free Trade Agreement, which takes effect in August.

Whether Apple to build nest in Vietnam?
Whether Apple to build nest in Vietnam?
BUSINESSicon  07/07/2020 

Foxconn’s rush expansion in Vietnam raise nosy that whether Apple will choose the country as the place to build nest.

American groups make progress across Vietnam
American groups make progress across Vietnam
BUSINESSicon  06/07/2020 

Vietnam, as one of the fastest-growing economies in the ASEAN bloc, is becoming more appealing to American investors.

A dynamic and powerful ASEAN from the German perspective
A dynamic and powerful ASEAN from the German perspective
BUSINESSicon  06/07/2020 

Possessing key features that represent a snapshot of one of the most diverse, fastest-growing, and competitive regions, the ASEAN is an attractive economic region for not only German enterprises but also other European ones to invest in. 

Delving into specifics of amended business laws
Delving into specifics of amended business laws
BUSINESSicon  06/07/2020 

Businesses and investors are expected to access new positive changes when the amended Law on Investment and the amended Law on Enterprises take effect from January 1 next year.

Rays of sunshine in aviation clouds
Rays of sunshine in aviation clouds
BUSINESSicon  06/07/2020 

Amid serious impacts of COVID-19, there are hopeful points for the aviation sector on the back of the EU-Vietnam Free Trade Agreement.

Trade kickstart with distinctive solutions
Trade kickstart with distinctive solutions
BUSINESSicon  06/07/2020 

Vietnam is boosting its diplomatic activities in hope of attracting more investment and expanding its trade in the global market, with many of the country’s major partners about to open their doors to the world again.

EuroCham proposes Gov’t to cut 50 per cent of registration fee for imported cars
EuroCham proposes Gov’t to cut 50 per cent of registration fee for imported cars
BUSINESSicon  06/07/2020 

The European Chamber of Commerce in Vietnam (EuroCham) proposed the Government to apply the 50 percent registration fee reduction to all automotive assembly firms, importers and dealers of new vehicles.

Shares to correct amid lack of positive news
Shares to correct amid lack of positive news
BUSINESSicon  06/07/2020 

The benchmark VN-Index on the Ho Ch Minh Stock Exchange (HoSE) gained 0.62 per cent to close Friday at 847.61 points.

P2P firms in Vietnam waiting for a sandbox
P2P firms in Vietnam waiting for a sandbox
BUSINESSicon  06/07/2020 

Peer-to-peer (P2P) lending companies expect that the sandbox for fintech would eliminate unscrupulous businesses and help the market grow significantly.

Business outlook gloomy for firms based in Old Quarter of Hanoi
Business outlook gloomy for firms based in Old Quarter of Hanoi
BUSINESSicon  06/07/2020 

Many business owners in Hanoi’s famous Old Quarter are becoming increasingly concerned about the decline in customers, causing their revenue to sharply decrease, and resulting in many stores closing their doors following COVID-19 epidemic.

Auto dealers deemed main beneficiaries of registration fee cut
Auto dealers deemed main beneficiaries of registration fee cut
BUSINESSicon  05/07/2020 

Auto dealers have proved to be the biggest beneficiaries of the Government's move to introduce a 50% cut in car registration fees, and not car buyers, as expected, 

Nine more expressway contractors suspected of construction violations
Nine more expressway contractors suspected of construction violations
BUSINESSicon  05/07/2020 

Nine more former contractors have been accused of irregularities in the construction of a 139-kilometer-long expressway whose severe deteriotion was reported shortly after its opening in central Vietnam.

 
 
 
Leave your comment on an article

OR QUICK LOGIN