Quad+ dialogue offers great opportunities for Vietnam’s enterprises

The Quad countries’ economic prosperity network plan is expected to bring great opportunity to Vietnam’s enterprises.

The Quadrilateral Security Dialogue (QSD, also known as the Quad) is an informal strategic dialogue between the United States, Japan, Australia and India that is maintained by talks between member countries.

A report found that about 30 percent of US companies in China want to cancel or postpone their investments in China, while 40 percent of US companies want to relocate parts or entire production lines out of China. Southeast Asian countries, including Vietnam and Mexico, could be the new destinations in their plans.

Quad+ dialogue offers great opportunities for Vietnam’s enterprises



Why has Vietnam been invited to join the economic prosperity network?

According to Luong Van Tu, former Deputy Minister of Trade, chief negotiator for Vietnam’s WTO membership, Quad countries invited Vietnam to the new network because of many reasons. First of all, Vietnam has always been very stable. The great achievements in fighting Covid-19 shows that Vietnamese are very united, from the government to people.

Besides, Vietnam has a very important geopolitical position. It has opened its doors to integrate into the world’s economy more quickly than other regional countries. International experts believe that Vietnamese enterprises are very dynamic.

Vietnam has a very important geopolitical position. It has opened its doors to integrate into the world’s economy more quickly than other regional countries. International experts believe that Vietnamese enterprises are very dynamic.

“The new game (economic prosperity network) proves to be very challenging. But Vietnam still can ‘play’ if it can prepare well,” Tu said.

 

According to Tu, Vietnam’s position and power at this moment are different compared with 2006, when Vietnam joined WTO and with 2017, when Vietnam joined the ASEAN Economic Community. Vietnam now has more strong companies which are striving for international stature.

Tu believes that the business fields to enjoy the biggest benefits in the time to come are consumer goods manufacturing. Vietnam now has very good conditions to develop the field. It is among the biggest exporters of textiles and garments, footwear, food and foodstuff.

Chu Tien Dung, chair of the HCM City Business Association, agreed that the potential of Vietnam’s enterprises have improved significantly.

He believes that supporting industries will have great opportunities in the new conditions. Agriculture will develop strongly, especially processed farm produce.

Vietnam’s healthcare sector has also caught the attention of the world following its success in containing Covid-19. However, the supply chain of the sector remains messy.

A big problem exists that in some business fields, Vietnam has been relying heavily on Chinese material supply.

According to Tu, Vietnam should request multi-national groups to bring global supply chains to Vietnam to be able to enjoy investment incentives. The country needs to be choosier when licensing FDI projects.

As for Vietnamese enterprises, he advised that they not buy materials from the markets which don’t offer incentives to Vietnam. Textile and garment enterprises, for example, should buy cotton from the US and EU, or countries associated with them. This allows enterprises to enjoy preferential tariffs when exporting to the markets.

Kim Chi 

What are Vietnam's advantages in attracting foreign investment?

What are Vietnam's advantages in attracting foreign investment?

Vietnam has great advantages over its rivals to attract foreign investors, including low costs, an advantageous position, and stable exchange rate and institutional mechanisms.

Vietnamese investors rush to develop IZs in anticipation of new FDI wave

Vietnamese investors rush to develop IZs in anticipation of new FDI wave

Hoping that Vietnam will be able to catch the investment flow leaving China, IZ developers have hurried to implement their projects.

 
 

Other News

.
Boeing to bring more technologies to local airlines
Boeing to bring more technologies to local airlines
BUSINESSicon  18/10/2020 

To cope with the COVID-19 pandemic, Boeing has sped up its ecoDemonstrator programme to support its partner airlines, including those in Vietnam.

VN has been active as foreign companies plan investment relocation
VN has been active as foreign companies plan investment relocation
BUSINESSicon  18/10/2020 

Vietnam has been seen as an ideal destination for foreign companies looking for elsewhere to relocate production channels in a bid to diversify their supply chains in the post-Coronavirus pandemic.

Exploitable security plagues digitalisation
Exploitable security plagues digitalisation
BUSINESSicon  19/10/2020 

Disruptive technologies spur the evolution in the financial landscape, with comprehensive applications providing convenient access to customers’ banking needs.

MoIT helps enterprises deal with increasing trade remedy cases
MoIT helps enterprises deal with increasing trade remedy cases
BUSINESSicon  17/10/2020 

Vietnam’s export goods face more trade remedies in the process of deep economic integration, so the Ministry of Industry and Trade has developed solutions for the situation.

ASEAN pushes forward with 5G connectivty cooperation
ASEAN pushes forward with 5G connectivty cooperation
BUSINESSicon  17/10/2020 

As ASEAN chair this year, Vietnam is playing a crucial role in further cementing joint activities within the bloc via boosting the application of high technologies to adapt to Industry 4.0, which is sweeping throughout the region.

Real estate stocks await cash flow
Real estate stocks await cash flow
BUSINESSicon  17/10/2020 

Domestic and foreign capital flow is expected to bolster real estate shares after the COVID-19 pandemic as many investors are paying attention to the industry.

Online exports require professionalism
Online exports require professionalism
BUSINESSicon  17/10/2020 

Using online platforms to boost exports is the fastest way to bring Vietnamese goods to the world, said business leaders and industry experts.

Vietnam to become the 4th largest economy in Southeast Asia: IMF
Vietnam to become the 4th largest economy in Southeast Asia: IMF
BUSINESSicon  17/10/2020 

Vietnam's GDP is estimated to reach US$340.6 billion this year, making it the fourth-largest economy in Southeast Asia.

The dark future of hotels on 'golden land' in Hanoi
The dark future of hotels on 'golden land' in Hanoi
BUSINESSicon  18/10/2020 

A series of hotels have had to cancel their opening plans this year because of Covid-19. Many hotels have been put up for sale because of poor patronage.

Special day for two billionaires: mountains of money pouring in
Special day for two billionaires: mountains of money pouring in
BUSINESSicon  18/10/2020 

Techcombank share prices have soared, while the Hoa Phat Group of the billionaire Tran Dinh Long has reported a record 30-year profit. The prosperity of these enterprises has helped their owners earn more money despite Covid-19.

Many hoteliers intend to divest capital due to heavy losses
Many hoteliers intend to divest capital due to heavy losses
BUSINESSicon  16/10/2020 

Over the past eight months, hotel room tariffs have plunged and hotel room occupancy rates have remained low, forcing several hoteliers to divest capital with many financially weak hotels in the local market being put up for sale.

Meeting expectations of the corporate bond market
Meeting expectations of the corporate bond market
BUSINESSicon  16/10/2020 

A new government decree tightens conditions on the issuance of corporate bonds. However, before the decree came into effect, enterprises flooded the market with new issuances.

M&A activities signal promising fortunes
M&A activities signal promising fortunes
BUSINESSicon  17/10/2020 

Although merger and acquisition levels dropped in 2020 across Vietnam, the prospect for such activities remain bright for next year as overseas investors look to local businesses in order to improve market access.

Thai billionaire, European brewer lose money in Sabeco investment deal
Thai billionaire, European brewer lose money in Sabeco investment deal
BUSINESSicon  16/10/2020 

The Sabeco price has seen a strong recovery in the last half a year, but is still at a low price. Both Thai billionaire and the big brewer Heineken have lost money because of the drop in Sabeco share price.

Investors lose billions of VND as land prices keep rising
Investors lose billions of VND as land prices keep rising
FEATUREicon  17/10/2020 

A lot of real estate traders have missed opportunities to make huge profits because they decided to postpone purchasing plans, hoping that prices would decrease further.

Salary increases in 2020 lowest in 10 years: survey
Salary increases in 2020 lowest in 10 years: survey
BUSINESSicon  16/10/2020 

Salaries increased by 6.5% this year at multinational companies (MNCs) and 5.2% at Vietnamese companies, and are forecast to increase by 7 per cent and 7.7% next year, according to the Talentnet – Mercer Total Remuneration Survey.

The right structural adjustments help Vietnam achieve long-term growth aspirations
The right structural adjustments help Vietnam achieve long-term growth aspirations
BUSINESSicon  17/10/2020 

No nation has escaped the threat of COVID-19 to lives and livelihoods, with many countries seeing cases resurge recently. 

State firms more resilient than foreign, Vietnamese private companies: survey
State firms more resilient than foreign, Vietnamese private companies: survey
BUSINESSicon  15/10/2020 

Business resilience is highly correlated with level of digitisation, the Business Pandemic Resilience Diagnostic conducted by Grant Thornton...

Pandemic a test of fire for Vietnamese enterprises
Pandemic a test of fire for Vietnamese enterprises
BUSINESSicon  15/10/2020 

The COVID-19 pandemic has been a test for Vietnamese businesses as many have been and will be struggling to recover for the foreseeable future. 

Five expy projects unlikely to attract private investors
Five expy projects unlikely to attract private investors
BUSINESSicon  15/10/2020 

Although the National Assembly Standing Committee has given its approval to switch three of the eight subprojects of the North-South Expressway from the public-private partnership (PPP) format into wholly State-invested, 

 
 
 
Leave your comment on an article

OR QUICK LOGIN