return icon Vietnamnet.vn

Experts predict FDI in Vietnam to speed up

In the face of escalation of the US-China trade conflict, FDI to Vietnam will increase, with most of it coming from South Korea, China, Hong Kong and Taiwan.

Bao Viet Securities has cited a report as showing a sharp rise in newly registered FDI capital in the first five months of the year.

 

{keywords}

 

 

$9.08 billion worth of new and additional capital was registered during that period, an increase of 27.1 percent over the same period last year, the sharpest rise in the last three years.

Meanwhile, 3,160 capital contribution and M&A deals were reported in the same period with total value of $7.65 billion, or 2.8 times higher than the same period last year. If not counting the M&A of Sabeco worth $3.85billion, the value of capital contribution and M&A deals would still be high, $3.8 billion, or 138 percent over the same period last year.

$9.08 billion worth of new and additional capital was registered during that period, an increase of 27.1 percent over the same period last year, the sharpest rise in the last three years.

Of seven projects with registered capital of over $200 million, five were registered by investors from mainland China and Hong Kong.

China has jumped into the first position from fourth last year as the biggest foreign investor in Vietnam.

Analysts said if the US and China cannot reach an agreement in June, FDI will see stronger FDI growth. In fact, Vietnam has always been a good choice in ‘China + 1’ strategy, but the escalation of the trade war could give another push for foreign investors to head for Vietnam.

With Samsung’s commitments to make big investments in Vietnam (its accumulative investment capital in Vietnam has reached$18 billion) and Korea 's southern investment strategy, Vietnam will remain a favorite destination.

Samsung now makes 50 percent of its mobile phones in Vietnam.

As for China and Taiwan, enterprises in labor intensive industries are expected to flock to Vietnam. Analysts say vendors of Apple may set up new facilities in Vietnam.

One of them, GoerTek, has registered a $260million investment in the northern province of Bac Ninh.

Others include AAC Technology, which produces motors, Lux Share, which makes speakers and connection devices, FIT which produces cables, and Largan (lens producer).

In order to attract Foxconn, which is considering relocating its production line out of China, Vietnam will have to compete with India, which wants to establish big mobile phone production facilities with its ‘Make in India’ strategy.

FDI in Vietnam witnessed a significant yearly increase of 81 percent to $14.59 billion in the first four months of the year. The FDI disbursement also rose by 7.5 percent to reach $5.7 billion.

Thanh Lich 

 

Hanoi's programme on key industrial production eyes FDI firms

Hanoi's programme on key industrial production eyes FDI firms

Hanoi’s Department of Industry and Trade expects foreign direct investment (FDI) firms will team up to develop key industrial products to benefit socio-economic development.  

Strong FDI inflows put pressure on recruitment

Strong FDI inflows put pressure on recruitment

Demand for labor in Vietnam’s manufacturing sector is rising sharply due to strong FDI inflows as a result of the transfer of orders and China-based facilities into Vietnam during the ongoing U.S.-China trade war.  

MORE NEWS

Vietnamese cultural village to be built in Korea

A Vietnamese cultural village will be built in the county of Bonghwa, Gyeongbuk province, the Republic of Korea, heard a recent meeting between the county’s mayor Park Hyun-guk and Vietnamese Ambassador Nguyen Vu Tung.

PetroVietnam proposes US$19 billion oil refinery complex and national oil reserve

The Vietnam Oil and Gas Group (PetroVietnam) has proposed to the Government an investment in a refinery and petrochemical complex and a national reserve of crude oil and petroleum products in Long Son Petroleum Industrial Park.

27 senior Party members disciplined in H1/2022

The Party Central Executive Committee, the Politburo, the Secretariat, and the Central Commission for Inspection disciplined 27 officials managed by the Politburo and the Secretariat in the first six months of 2022, 20 cases up year on year.

Hanoi to inspect fire prevention at all karaoke parlors

Half a month after the karaoke parlor fire in Cau Giay District, the Hanoi People's Committee has asked districts to inspect all karaoke parlors and bars and handle violations.

Vietnam needs extra US$368 billion to achieve net zero emissions

As the energy industry has a crucial role in achieving net zero emissions by 2050, it requires a structural transition toward green growth. Therefore, Vietnam needs assistance from developed countries regarding both financial and technical issues.

Labor Minister proposes harsh punishment for child offenders

Minister of Labor, War Invalids and Social Affairs Dao Ngoc Dung signed an official letter requesting to have harsh punishment for child offenders and strengthening measures to prevent violence against children.

Pu Sam Cap Cave: the hidden charm of Lai Chau

Pu Sam Cap Cave in Pu Sam Cap Commune, Sin Ho District, in the northwestern province of Lai Chau, is known for its wild, beautiful and mysterious beauty.

Hanoi’s three largest parks are seriously degraded

Many public works in the parks of Thu Le, Bach Thao, and Thong Nhat in Hanoi are in disrepair, affecting urban beauty and public experiences.

Why are thousands of public employees taking private-sector jobs?

Many public employees have recently quit their jobs and taken a job in the private sector. This indicates that the public sector is not attractive and that many problems need to be addressed.

Kon Tum Province records 300 earthquakes over a year

The Central Highland province of Kon Tum has recorded more than 300 earthquakes since April 2021, according to the provincial administration.

Highly-infectious BA.2.74 Omicron sub-variant detected in Vietnam

Vietnam has detected a number of new, highly-contagious Omicron sub-variants, including BA.2.74, said the General Department of Preventive Medicine on August 17.

Relaxing visa policy to attract more foreign tourists to Vietnam: insiders

Vietnam’s visa policy should be more open to lure international tourists, insiders have said.

Vietnam Airlines resumes, increases frequency of several flights in September

The national flag carrier Vietnam Airlines will resume flights connecting the central city of Da Nang with Malaysia’s Kuala Lumpur and Thailand’s Bangkok from September 1 and September 15, respectively, the carrier has announced.

Da Lat listed among world’s best places for binge-worthy dating

Booking.com has named Vietnam's Da Lat city among the world's six places for the summer’s binge-worthy dating shows.

Quang Ninh refutes allegations of sea encroachment in Ha Long Bay

The authorities of Quang Ninh province has refuted information that it has allowed a project to conduct sea encroachment and subdivide land plots for sale, which seriously undermined the conservation of the UNESCO-recognised Ha Long Bay.
back_to_top