Deputy head of the ICT Authority Nguyen Thien Nghia

A workshop about smart production capacity and the digital technology industry in the Make in Vietnam direction was held recently in Hanoi. This was one of four thematic seminars within the framework of the Vietnam Industry 4.0 Summit 2023, organized by the Party Central Economics Committee.

Resolution 29 on continuing to accelerate industrialization and modernization by 2030 has pointed out that digital technology is one of six fundamental industries, of which smart production on a 5G network platform is the core of the digital technology industry.

A representative of the Party’s Central Committee, citing figures from studies of international organizations and enterprises, said the development of smart production in Vietnam is facing challenges.

According to Nghia, experiences from Asian countries which have successfully developed an ICT industry show that they had to undergo three stages in development, including doing outsourcing and assembly, when the advantage is the abundant labor force which allows enterprises to have competitive costs; making integrated products, joining supply chains, managing production and optimizing the process; and making products, and developing and mastering core technologies.

According to Nghia, Vietnam is in the first stage and has begun integrated products. Smart production will play an important role in helping Vietnamese enterprises automate processes, optimize production costs, and quickly launch products to users.

Over the last three years, Vietnam’s ICT has witnessed the rapid growth of domestic enterprises. Viettel Manufacturing, VNPT Technology and Trung Nam EMS, for example, have organized smart production activities, provided smart production services, and gradually made integrated products.

“We highly appreciate the fact that Vietnamese enterprises have taken the initiative in defining market segments suitable to them and have taken methodical long-term investment strategies,” Nghia said.

Noting that Toyota had to spend 34 years and Hyundai 28 years to master automobile engine technology, Nghia said Vietnam’s enterprises need reasonable support policies to master production and technology.

Phan Thi Thanh Ngoc, a consultant on digital transformation of VNPT-IT, said that to develop Vietnam’s digital technology rapidly and sustainably, there must be combination of self-reliance power and international cooperation capability, between powerful state and powerful market.

It is necessary to focus on core values of digital technology – enterprises, quality and human resources. Digital technology firms must be put at the center, while quality and Make-in-Vietnam brand must be the platform, while talented workforce must be the core factor.

Van Anh