The Ministry of Planning and Investment (MPI) is gathering ideas on a draft project to promote human resources development for the semiconductor industry until 2030 with a vision to 2050, destined for the approval of the Prime Minister.

MPI Deputy Minister Nguyen Thi Bich Ngoc said that the building of the project is crucial, especially in the current period. She said that the ministry has collected opinions from ministries, sectors, localities, research institutes, and universities while listening to ideas from domestic and foreign experts.

Its objectives include ensuring that by 2030, the Vietnamese semiconductor industry’s human resources participate in the process of designing semiconductor microchips to meet the actual needs of the market. The sector will also engage in packaging and testing semiconductor microchips, and gradually grasp the technology in the semiconductor manufacturing stage. By the end of the year, Vietnam aims to train at least 50,000 engineers and bachelor's degrees to serve the semiconductor industry in all stages of the value chain.

By 2050, Vietnam expects to become an important link in the global semiconductor industry value chain with a contingent of engineers and experts capable of meeting the development requirements of the Vietnamese semiconductor industry in both quality and quantity.

To continue perfecting the draft project, Ngoc called on ministries, sectors, localities, institutes, universities, and experts to contribute direct and specific ideas on the draft. They should review project funding, standard laboratories, private sector participation, the scope, and the renaming of the project.

Vice Chairman of the People’s Committee of Da Nang City Ho Ky Minh said the budget will serve as the basis for implementing the objectives of the project, meeting the urgent needs of the industry. At the same time, the inclusion of the number of standard laboratories will create the foundation for developing investment policy proposals to submit to competent authorities for approval, enabling the investment procedures to be carried out following the law.

He also supported the encouragement of private sector engagement to diversify resources for the building and implementation of the project, especially from State-owned and private enterprises.

Representatives from several universities asserted that during the project’s implementation process, it is necessary to continue to have the active participation of relevant parties, especially the cooperation and consensus of institutes and training facilities.

Ngoc said that developing the semiconductor industry is an objective requirement and a strategic choice, stressing that developing high-tech science will promote the country's growth. Training for the semiconductor industry will educate high-quality human resources, she said. The process must be synchronised with developing the semiconductor industry ecosystem and associated with training in specialised sciences following the roadmap and fields in which Vietnam has strengths./.

New supply chains pave solid ground for EVFTA’s success

The Vietnam-EU Free Trade Agreement (EVFTA), which took effect on August 1, 2020, has marked significant progress in bilateral trade, increasing Vietnam's exports to Europe from 35 billion EUR (nearly 39 billion USD) in 2019 to over 48 billion EUR in 2023.

The pact has been particularly praised for Vietnam's proactive approach to institutional reforms to create a more transparent and more favourable business environment which, in turn, has help attract increased foreign investment, including from countries in the European Union (EU).

Luong Hoang Thai, Director of the Multilateral Trade Policy Department at the Ministry of Industry and Trade, acknowledged that the EVFTA is the first free trade agreement (FTA) signed between the EU and a developing country in the Asia-Pacific region. This deal has offered an opportunity for both sides to explore new growth areas while also presenting challenges due to the high standards and requirements that go beyond traditional free trade agreements.

He said that one of the important issues of new-generation FTAs is institutional reform. These reforms are necessary to meet high standards set by the agreements and to fully capitalise on the advantages offered. In response, Vietnam's National Assembly and Government have prepared thoroughly by amending and issuing numerous laws and regulations, including those related to insurance, intellectual property, public procurement, commerce, and investment. These efforts aim to create a more favourable business environment for both domestic and foreign investors. Vietnam has also introduced various documents implementing laws on labour, fisheries in order to protect the rights of labourers and the environment as part of its commitment to international economic integration.

Despite the impact of the COVID-19 pandemic and conflicts in Europe such as global supply chain disruption and decreased demand, the EVFTA has brought about positive trade results. Vietnam's exports to the EU rose from 35.7 billion USD in 2019 to 43.6 billion USD in 2023. The agreement represents significant growth in sectors where Vietnam holds competitive advantages such as electronics, footwear, agriculture, and seafood. This growth has positioned Vietnam as a key trading partner of the EU in the ASEAN region.

Vietnam hopes that the EVFTA will bring about more benefits than just increased exports, he said, adding that the agreement is expected to attract foreign investment, establish modern and sustainable supply chains, and stimulate economic growth.

Thai noted that over the past four years, the EVFTA has strengthened Vietnam's position as an attractive destination for EU investors, and contributed to make the EU the sixth-largest investor in the Southeast Asian country, with over 2,450 projects valued at more than 28 billion EUR. Nonetheless, the full realisation of the potential benefits from this investment relationship hinges on the ratification of the Investment Protection Agreement (EVIPA) by all EU member states. While Vietnam and about two-thirds of EU members have ratified the agreement, it is yet to be implemented due to pending approvals from the remaining EU countries.

According to Thai, together with the EVFTA, Vietnam also signed an investment protection agreement with the EU (EVIPA), but this pact is waiting for some remaining EU members to complete ratification before it can take effect.

Vietnam hopes that once the EVIPA is fully ratified, it will generate even greater benefits, he said.

Another less-highlighted benefit of the EVFTA is its role in facilitating access to EU technology and high-quality products. The EU is known for its advanced technology and high-quality products in sectors such as machinery, equipment, and pharmaceuticals.

The EVFTA offers Vietnam a chance to procure these goods at more reasonable costs, benefiting consumers and businesses alike. However, due to the longer tariff reduction schedule in Vietnam compared to the EU, the impact on exports has been slower to materialise.

As the EVFTA progresses into its fifth year, Thai said that there are several challenges to address. EU markets are known for their stringent quality standards, which can be difficult for Vietnamese businesses to meet, especially given Vietnam’s low development level compared to other partners reaching FTAs with with the EU in the region. Additionally, many Vietnamese companies lack established brands and effective strategies for enhancing their market presence in the EU. Some businesses are also not fully aware of the opportunities and advantages offered by the EVFTA.

Moreover, the EU is continuously developing new regulations related to labour and environmental standards to meet increasing consumer demands. These regulations are likely to impact imported goods, including those from Vietnam.

To overcome these challenges, the Vietnamese government has outlined several measures in its approved action plan. These include further improving the business environment through legal and institutional reforms, expanding awareness and understanding of the EVFTA among businesses through seminars, publications, and online resources, and coordinating with the EU to help companies comply with new labour, environmental, and food safety regulations.

In an effort to support Vietnamese businesses, particularly small and medium-sized enterprises, upgrading technology and enhancing competitiveness is crucial for the continued success of the EVFTA./.

China's door opened wide for Vietnamese agricultural product exports

China’s allowance of Vietnam's frozen durian, fresh coconut and crocodile exports is expected to brighten up the outlook of exports to the country.

Earlier this month, the Vietnamese Ministry of Agriculture and Rural Development and China’s General Administration of Customs signed three protocols regarding the export of these products to China.

Since July 2022, when Vietnam’s fresh durian was officially allowed to be shipped to China, the export value of this fruit has surged, reaching 2.3 billion USD in 2023, with exports to China accounting for 90% of the Southeast Asian country's total. Therefore, China's decision creates more opportunities for the agricultural sector to increase its added value and mitigate risks associated with reliance on fresh product exports.

According to the Vietnam Fruit and Vegetable Association (Vinafruit), with the newly signed protocol, frozen durian is expected to join the list of billion-USD export commodities by 2025, and soon serve as a significant "boost" for the durian sector to reach the export value target of 3.5 billion USD, helping bring the overall fruit and vegetable export revenue to 7 billion USD this year.

Meanwhile, the export value of fresh coconut is forecast to increase by an additional 200-300 million USD in 2024 and continue to grow significantly in the following years.

Vietnam is currently among the top 10 largest coconut growers in the world, with an area of nearly 200,000 hectares and a yield of approximately 2 million tonnes per year, primarily concentrated in the Mekong Delta region.

In addition to frozen durians and fresh coconuts, the export of farmed crocodile products also contributes to diversifying Vietnam's agricultural exports to China.

Farmers and exporters are advised to strictly follow regulations and standards on product quality.

In the first seven months of 2024, China remained one of the top three markets for Vietnam's agro-forestry-aquatic product exports, accounting for 20.5% of the total, a 11.3% increase compared to the same period last year. With the three new protocols, Vietnam's agricultural product exports to China are expected to continue to "boom," providing a favourable foundation for achieving the sector's export target of 54-55 billion USD in 2024./.

Seminar seeks ways to foster exports to Japan

Vietnamese businesses need to improve the quality of their products, and better corporate governance to promote exports to Japan which has high demands for Vietnamese garments and textiles, fine arts, farm produce and food, among others, experts said at a seminar held in Ho Chi Minh City on August 26.

At the event, Head of the Vietnam Trade Office's Branch in Osaka Quyen Thi Thuy Ha affirmed the complementary nature of the two economies, with Japan being the third largest export market, and fourth largest trading partner of Vietnam.

The combination of Vietnam’s production strengths, and Japan’s technologies and quality management could bring practical benefits to both sides, she said, elaborating Vietnamese garments and textiles could capitalise on the rules of origin to enjoy tax preferences in Japan, while the wood and fine art industry boasts huge opportunities in the market as consumers are willing to pay high prices for unique products with artistic values.

According to Ha, the Japanese market has been hungry for agricultural products of Vietnam such as coffee, cashew nuts, tropical fruits and frozen fruits and vegetables.

There is ample room for Vietnam to boost its shipments to the East Asian country, however, businesses must adapt to stringent requirements regarding product quality and sustainability from this market.

She suggested Vietnamese enterprises study new techniques to better their production processes, from cultivation, harvest, preservation to packaging.

Along with the traditional trade form, they should tap e-commerce to increase exports, and improve revenue since more Japanese consumers have shifted to online shopping, Ha noted.

General Director of AEON TOPVALU Vietnam Co., Ltd Shiotani Yuichiro said that Vietnamese foods have been favoured in the Japanese market, adding Vietnamese firms could increase their exports to Japan and even other markets through AEON’s distribution system.

Standout taste, product quality, sound packaging, and sustainability, he underlined, are among the keys that help Vietnamese goods break into the market. AEON TOPVALU has provided regular support, and guidance on techniques and quality standards for Vietnamese small and medium-sized so that they could adjust their production, and better meet the requirements of the market, he said.

According to Director of the Investment and Trade Promotion Centre of Ho Chi Minh City Tran Phu Lu, Japan has been a leading economic-trade partner of Vietnam in the recent past. They have signed various bilateral, and multilateral free trade agreements such as the ASEAN – Japan Comprehensive Economic Partnership, Vietnam – Japan Economic Partnership Agreement, and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, which have created important cooperation frameworks to promote trade, investment and business ties between the two nations.

Statistics from the General Department of Vietnam Customs showed that two-way trade during the January – July period was estimated at 25.87 billion USD, up 4% from the same time last year, with Vietnam’s export revenue reaching around 13.46 billion USD, rising 2.8% year-on-year./.

Women entrepreneurs of Dak Lak, RoK’s North Gyeonggi province foster cooperation

Representatives of the Vietnam Association of Women Entrepreneurs (VAWE)’s chapter in the Central Highlands province of Dak Lak and the Korean Women Entrepreneurs Association (KWEA) in North Gyeonggi province signed a memorandum of understanding (MoU) on cooperation at in Buon Ma Thuot city of Dak Lak on August 26.

Vice Chairman of the Dak Lak People’s Committee Vo Van Canh said that the event is an important step forward, opening up new opportunities for the two sides to share experience and intensify partnership, contributing to promoting socio-economic development of the two localities in the future.

It also marks a new milestone in the cooperation and friendship between the two province, while enhancing the position of women entrepreneurs in Vietnam and the Republic of Korea (RoK), Canh said at the event, which drew representatives from more than 150 firms from the two associations.

At the event, members of the two associations signed 23 cooperation deals in tourism, service, agriculture, cosmetics, textile industry, and social welfare.

The Dak Lak association was set up in 2022 to connect women entrepreneurs, helping them in startups and expand markets. To date, the association has gathered 105 members.

Meanwhile, the KWEA was founded in 1999 and now has 19 branches across the RoK with 9,300 members. Its North Gyeonggi chapter was established in 2014.

During their stay in Dak Lak in August 26-27, the KWEA North Gyeonggi delegation paid a courtesy call to leaders of the Dak Lak People’s Committee, and toured durian farms in Krong Pac district, the coffee museum, and the processing plant of An Thai coffee company.

The People’s Committee of Dak Lak introduced to the delegation cooperation and investment opportunities in the province in the fields of high-tech agriculture, industry, education, culture, construction, trade and services.

In an April working trip to Gyeonggi, the Dak Lak Department of Culture, Sports and Tourism signed an MoU with the Convention and Visitors Bureau of its Goyang city on collaboration in culture and tourism, paving the way for stronger cooperation between Dak Lak and Goyang as well as Gyeonggi province./.

Seminar links up Vietnamese, Indian enterprises to boost trade

A business and investment seminar was held in Ho Chi Minh City on August 26, aiming to create business opportunities and connect enterprises of Vietnam and India.

In his remarks at the event, Tran Ngoc Liem, Director of the Vietnam Chamber of Commerce and Industry’s HCM City Branch, said India is among the top 10 trading partners of Vietnam, part of India's “Look East policy” as reflected in the multi-faceted cooperation between the two countries in recent years.

Bilateral trade reached 7.18 billion USD in the first half of the year, up 2% year-on-year. Liem said that Vietnam and India look forward to reaching 20 billion USD in bilateral trade at the soonest.

To achieve this goal, Vietnam and India need to further strengthen cooperation in fields where the two sides have strengths and competitive advantages and complement each other such as minerals, chemicals, textiles, footwear, energy, healthcare - pharmaceuticals, supporting industries, machinery and equipment, auto parts, agricultural machinery, and information technology.

In terms of investment, as of April, Indian firms had invested 1.02 billion USD in 402 projects, ranking 26th out of 141 countries and territories investing in Vietnam, he said, noting that India's investments are mainly in biotechnology, automation, new materials, and clean energy.

Participants at the seminar were provided with useful information about the investment environment and policies for developing economic and trade relations between the two countries by many Indian trade and investment promotion agencies.

Vietnam has emerged as a key player in the global textile supply chain, known for its efficiency and competitive edge, while India, with its rich textile heritage and advanced manufacturing capabilities, is a leading country in textile production. By synchronising India’s innovation and Vietnam’s cost-effectiveness, they can create a powerful alliance that promotes sustainable textile development, improves production efficiency, opens up new markets, and meets the growing global demand for high-quality textiles.

Regarding the food industry, Vietnam and India possess a rich tapestry of culinary traditions and agricultural resources, thus, the two countries can enhance food security, promote sustainable practices, and introduce diverse and nutritious food products to international markets by partnering.

Their combined efforts could lead to innovation in food technology, improved supply chain management, and increased exports.

Madan Mohan Sethi, Indian Consul General in Ho Chi Minh City, said the event drew the participation of representatives of Punjab State and 25 Indian companies engaged in agriculture - food, construction materials, chemicals, pharmaceuticals, general trading, mechanical engineering, garment, and information technology, along with the Vietnamese business community.

There was a B2B interaction between more than 100 businesses from the two sides, offering opportunities for them to seek new partners and strengthen existing partnerships./.

Politburo’s conclusion opens new development spaces for oil, gas industry

The Party Central Committee’s Economic Commission, the Ministry of Industry and Trade (MoIT), and the Vietnam Oil and Gas Group (Petrovietnam) have held a joint conference to popularise and implement Conclusion No. 76-KL/TW on carrying out the Politburo’s Resolution No. 41-NQ/TW on the strategic orientations to develop Vietnam’s oil and gas sector until 2025 with a vision to 2030 and a number of orientations for the new period.

Opening the event, head of the Party Central Committee’s Economic Commission and Deputy Prime Minister Tran Luu Quang highlighted the Party and State’s special attention to the oil and gas sector.

He noted that on April 24, 2024, the Politburo issued Conclusion No. 76-KL/TW on major policies to promote the potential and strengths of the country in general and the oil and gas sector in particular to ensure the industry overcomes all difficulties to develop sustainably.

The conclusion gives guidelines of special importance to the development of the Vietnamese oil and gas industry, creating new momentum and opening up new development space for the sector.

Deputy head of the Party Central Committee’s Economic Commission Nguyen Duc Hien briefed participants on the major contents of the conclusion, along with a number of orientations, tasks, and solutions for the implementation of Conclusion No. 76-KL/TW and Resolution No. 41-NQ/TW.

Hien said that in order to create favourable conditions for the oil and gas industry in the new period, it is necessary to continue completing institutions, policies and legal regulations, promoting the key role of the Petrovietnam.

Amid the energy transition and the Fourth Industrial Revolution, it is crucial to pay attention to developing appropriate technical infrastructure systems, especially digital infrastructure associated with digital transformation, building databases, and effectively using the Science and Technology Development Fund, he said.

A representative from the MoIT presented a plan to realise of Conclusion No. 76-KL/TW of the Politburo and Resolution No. 38/NQ-CP of the Government with a link to the implementation of Party resolutions, strategies and socio-economic development plans of the country, ministries, sectors, and localities.

Le Manh Hung, Chairman of the Board of Members of Petrovietnam, delivered a report on impacts from the world and regional environment, difficulties, challenges facing Petrovietnam as well as assessment of the firm’s resources.

With an aim to become a national industrial and energy group, Petrovietnam proposed seven main groups of tasks and solutions to effectively implement Conclusion No. 76-KL/TW and Resolution No. 38/NQ-CP.

Concluding the event, Quang highlighted the great contributions that the oil and gas sector has made to the country’s socio-economic development, and emphasised the role of the industry in the country’s industrialisation and modernisation.

He held that the oil and gas sector should focus on promoting its potential and advantages to develop renewable energy and new energy resources, ensuring sustainable and modern development of the industry associated with accelerating green transformation and digital transformation, and developing advanced and modern processing and manufacturing industries in the direction of improving self-reliance and increasing the localisation rate.

In addition, the sector should pay greater attention to developing high-quality human resources, attracting talents, and providing intensive training to meet international requirements and standards, he said.

Quang asked central and local Party Committees as well as the Party Organisations of State-owned energy enterprises to thoroughly study Resolution No. 41-NQ/TW, Conclusion No. 76-KL/TW of the Politburo, and Resolution No. 38/NQ-CP of the Government, while continuing to build programmes and plans to effectively implement these documents./.

Hai Phong posts over-15% growth in seven-month industrial production

The northern city of Hai Phong recorded a year-on-year rise of 15.01% in the index of industrial production (IIP) during the first seven months of 2024, a fast pace compared to some other localities, statistics show.

In July alone, the local IIP declined 8.13% month on month but went up 13.76% year on year, according to the municipal Department of Industry and Trade.

During the period, 37 sectors enjoyed IIP growth while 28 others saw decreases from the same period last year.

Those with high IIP increases include the manufacturing of electronic components (up 23.06%), communication equipment (24.05%), household electrical appliances (32.37%), motorised vehicles (43.21%), ships and floating structures (25.96%), and toys and games (58.12%).

Meanwhile, the IIP fell in such sectors as the production of plastics and synthetic rubber in primary forms (down 61.83%); tyre retreading and recycling (25.24%); ball bearings, cogwheels, gearboxes, control and transmission units (45.71%); and motorcycles (26.17%).

Hai Phong targets this year’s IIP growth rate at 15% compared to 2023.

In July, the city posted almost 19.08 trillion VND (767.5 million USD) in retail sales of goods and service revenue, up 2.66% from June and 13.83% from a year earlier.

Over the seven months, the sum approximated 127.79 trillion VND, growing 13.35% year on year and equivalent to 57.4% of this year’s target, the department reported./.

RoK promotes agricultural equipment export to Vietnam

The Republic of Korea (RoK)’s Ministry of Agriculture, Food and Rural Affairs (MAFRA) announced on August 26 that it will send a delegation of 15 Korean companies, specialising in exporting agricultural equipment, to Vietnam from August 26-31 to promote their products.

According to a MAFRA’s report, Vietnam is gradually emerging as an important market for Korean agricultural equipment and materials export, importing 1.02 billion USD worth of those products from the RoK by the end of 2023. Despite experiencing difficulties due to the global economic downturn, fertiliser and pesticide exports showed an upward trend, with export turnover increasing by more than 33% compared to the previous year.

The Korean delegation is scheduled to engage in an export consultation conference with 30 Vietnamese import companies on August 27.

They will also visit the Ministry of Agriculture and Rural Development of Vietnam to learn about the current situation of the country's agriculture and related policies, regulations and details related to agricultural equipment certification, including import customs procedures for each item. The delegation is expected to propose cooperation so that procedures such as registration and licensing for products exported to Vietnam can be carried out quickly.

Director-General Lee Sang-man of the MAFRA's Agri-Food Innovation Policy Bureau said that by sending the market development team to create sales channels such as overseas fairs, buyer connections and export consultation meetings, the RoK hopes that its agricultural equipment companies will be able to strengthen the foundation for penetrating the Vietnamese market and expanding exports.

Since 2018, the MAFRA has sent a market development team to countries every year to explore opportunities for Korean agricultural equipment exporters to develop overseas markets and expand exports, study the needs of local localities through consultation with local authorities, while providing export consultation and market research support, he added./.

Vietnam targets green, organic, multi-value crop industry

In recent years, the crop industry has demonstrated its crucial role in ensuring national food security, job creation, and increasing farmer incomes. It has become a key production area of the agriculture sector, with many competitive products that help increase export value.

According to the Department of Crop Production under the Ministry of Agriculture and Rural Development (MARD), many technical advancements, new varieties, and effective cultivation processes that adapt to climate change have been recognised and applied in production, contributing to controlling diseases and ensuring productivity and yield, and economic efficiency.

Many localities have focused on expanding large-scale production, applying high technology, organic cultivation methods, and environmentally friendly practices to ensure biological safety and disease control. These efforts have met the increasingly high demand for quality and food safety for domestic consumption and export.

Statistics show that in 2023, crop production value grew by 3%, accounting for 63% of the total value of agricultural production, with annual crops increasing by 2.22% and perennial crops rising by 4.26%.

The export value of crop products reached 26 billion USD, up 15% year-on-year. Rice, coffee, cashews, fruits and vegetables, and rubber had an export value of over 2 billion USD each. The average production value per hectare of cultivated land reached 125 million VND (over 5,000 USD).

Last year, the Prime Minister issued a decision approving a strategy to develop plant cultivation to 2050, aiming to turn it into a complete and professional technical-economic sector with highly competitive products, meeting requirements in food safety, security, and other needs of the economy, securing high export values. The strategy is expected to be a motivation for the cultivation sector to reap more success in the future.

Specifically, the growth rate of plant cultivation production is expected to reach 2.2-2.5% per year by 2030, while the average of added value in the crop processing industry is 8-10% per year.

The rate of crop product value produced under the cooperative and linkage forms is hoped to reach 30-35% of the total value of the sector, while the average value of crop products per hectare of farming land is expected to hit 150-160 million VND.

At the same time, the rice farming area will be kept stable at 3.56 million ha with an expected output of over 35 million tonnes of the grain. Meanwhile, the area of specialty coffee will rise to 11,500 ha by 2030 with an output of about 5,000 tonnes.

By 2050, cultivation is hoped to become a modern technical economic sector among the top in the region and the world. Rice farming will become a high-tech industry that will include organic practices to remain environmentally friendly./.

E-commerce helps Vietnam leap forward in global race

Along with the 4th Industrial Revolution, e-commerce has become an inevitable trend serving as a tool for businesses to diversify channels and methods to swiftly seek buyers, partners, and orders, towards creating breakthroughs in trade in the global race, according to insiders.

Nguyen Thi Minh Huyen - Deputy Director of the Vietnam E-commerce and Digital Economy Agency under the Ministry of Industry and Trade (MoIT) - said that as Vietnam's economy continues to grow and recover and e-commerce is a modern trading method chosen by businesses and consumers.

Businesses have been advised to pay more attention to narrow the gap in exporting Vietnamese goods to the world through digital platforms.

The emergence of e-commerce platforms has significantly contributed to the rapid development of e-commerce, particularly by driving the strong growth of cross-border e-commerce.

Total sales on the five largest online retail platforms in Vietnam - Shopee, Lazada, Tiki, Sendo, and TikTokshop – reached an estimated 156 trillion VND (over 6.25 billion USD) in the first half of 2024, up 78% year-on-year, according to the e-commerce data platform Metric.

In its latest report on Vietnamese consumer shopping behaviour, NielsenIQ Vietnam indicates that consumers are now shopping online twice as often as in 2023, with four times per month each. This is nearly double the monthly frequency of Vietnamese people going to the supermarket.

On average, consumers buy 6.5 different product types online, with food, beverages, and personal care products topping the list, followed by fashion, sports equipment, home care, and technology. This shows that habits have changed and Vietnamese consumers now regularly do online shopping for daily necessities.

Seizing opportunities created by the change, many businesses have caught up with the business trend on technology platforms. The emergence of online export channels and e-commerce is considered a catalyst to help businesses access the market, becoming the fastest way to bring Vietnamese goods to the world.

E-commerce is currently outpacing the growth of the overall retail market. According to the General Statistics Office, total retail sales of goods and consumer service revenue in the first half of 2024 increased by 5.7%, against the 8.8% recorded in the same period in 2023.

Statistics from the MoIT’s Export and Import Department show that 32% of the small- and medium-sized enterprises (SMEs) have established business relationships with foreign partners through online platforms. This enables them to diversify sale channels and directly access global buyers without spatial or temporal constraints, thus reducing costs for building supply chains and establishing representative offices in target markets.

Some market research units expect that Vietnam's cross-border export turnover will reach 11.1 billion USD next year and 12.5 billion USD a year later.

Many commitments in new-generation free trade agreements (FTAs) have facilitated trade, and the improvement of legal policies and transparent business environment have created favourable conditions for businesses to promote smooth and safe online exports.

Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan stated that recently, the Government issued many policies and regulations to support businesses in digital transformation as well as accompany them in applying e-commerce and reaching out to the international market.

In order to promote sustainable e-commerce development, the ministry will research and perfect policies, and provide guidance to traders, organisations, and individuals on legal regulations on e-commerce, he said.

It will also strengthen the management and supervision of goods on the Internet environment, develop e-commerce on payment, and support export enterprises and improve national e-commerce forecasting capacity./.

Hanoians access OCOP products of central, Central Highlands localities

Products under the “One Commune, One Product” (OCOP) programme from central and Central Highlands provinces have been introduced to Hanoians at an event held recently at Long Bien Park of Hanoi.

The fair from August 21 to 25 featured more than 100 booths showcasing more than 1,000 OCOP products, products of craft villages, and farm produce from 38 localities nationwide, including 19 in the central and Central Highlands regions, Hanoi, and 18 other provinces and cities.

Nguyen Dinh Hoa, Deputy Director of the municipal Department of Agriculture and Rural Development, said the event aims to help with economic development in rural areas, the building of new-style countryside, as well as the “Vietnamese people prioritise Vietnamese goods” campaign.

This was an occasion for producers and businesses to increase seeking partners, advertising brands, promoting trade, and accessing more customers, especially by selling products via e-marketplaces, trade centres, supermarkets, and OCOP showrooms.

They also had a chance to share experience in digital transformation and advanced technology application to help raise the added value for products and develop sustainable value chains, he noted.

So far, Hanoi has had 2,756 OCOP products, including six rated five stars, 12 with potential five stars, 1,491 meeting four-star standards, and 1,247 others given three stars.

The OCOP programme, approved by the Prime Minister in 2018, aims to develop forms of production and business, help with economic restructuring to improve people's income and living standards, and contribute to the industrialisation and modernisation of agriculture and rural areas./.

Ground broken for massive automotive engine plant in Thua Thien-Hue

Construction started on a 260 million USD automotive engine manufacturing plant at the Chan May – Lang Co Economic Zone in Thua Thien – Hue province on August 23 by Kim Long Motor Hue and China's Yuchai Corporation.

The facility, named Kim Long Hue Engine Manufacturing Plant, is part of the Kim Long Motor Hue Automobile Manufacturing and Assembly Industrial Park.

The project is divided into two phases. Phase 1 focuses on producing automotive engines, with operations expected to begin in early Q2 next year. The plant will manufacture a diverse range of engines for automobiles, marine applications, generators, farming machinery, and construction equipment.

Initially, the plant will prioritise the production of internal combustion engines (Diesel), CNG engines, and electric engines, with a capacity of over 12,000 units annually, while plans are in place to increase capacity in the following years. The subsequent phase will involve manufacturing axles, gearboxes, and automotive drive trains.

The engines produced at this facility will not only supply Kim Long Motor's domestic market needs but also be exported to ASEAN countries, the Republic of Korea, and other markets. This project is a crucial step for Kim Long Motor to enhance its technological capabilities, increase the localisation rate of its products, and integrate more deeply into the global supply chain.

Ly Quoc Viet, Executive Vice President of Kim Long Motor, highlighted that the plant is the "heart" of the company’s strategy to develop a Vietnamese automotive brand, aiming to lead the commercial vehicle market in Vietnam and expand into international ones. The collaboration with Yuchai Corporation is expected to provide optimal engine solutions in terms of safety and fuel efficiency.

In conjunction with the groundbreaking ceremony, Kim Long Motor also launched the new KIMLONG 99 sleeper bus, featuring the latest Yuchai K11 engine. Additionally, the company delivered the first batch of 60 KIMLONG 99 sleeper buses, part of a 600-bus contract for 2024.

The Kim Long Motor Hue complex is a comprehensive manufacturing facility producing buses, trucks, cars, and automotive parts, with an expected capacity of 108,800 vehicles per year. To date, the company has completed the first phase of the project, including a bus manufacturing and assembly plant.

Since February 2024, Kim Long Motor Hue has produced nearly 300 vehicles, including sleeper buses, seated buses, city buses, and mini-buses, delivering over 200 sleeper buses to customers and creating jobs for approximately 1,800 workers./.

Ample room for Vietnam to develop semiconductor: OV intellectuals

Vietnamese experts and intellectuals living abroad have agreed that Vietnam has significant opportunities to develop the semiconductor industry and needs to prepare conditions to effectively attract investment in the packaging sector.

They shared their views at the two thematic sessions: Overseas Vietnamese (OV) and the development of high technology in Vietnam, and OV businesses and entrepreneurs supporting the nation, within the framework of the 4th World Conference of Overseas Vietnamese, which concluded in Hanoi on August 22.

In the discussions on the role of OVs in the development of the semiconductor and artificial intelligence (AI) industries, participants contributed a lot of practical solutions to the country’s socio-economic development.

Nguyen Ngoc Mai Khanh, an expert on semiconductor product development of the Republic of Korea’s Samsung Group, said that the semiconductor industry in Vietnam is currently limited to the processing stage and lacks a contingent of technicians capable of mastering complete products. However, with a large population and the government's focus on digital transformation, the country has big opportunities to advance this industry.

On ways to develop this industry, Khanh, who is living in Japan, emphasised the development of human resources. Accordingly, it is necessary to strengthen the training of microchip engineers, build an online training platform for this industry, establish specialised training centres, and put in place policies to attract and retain talents.

Sharing the same view, Assistant Professor Nguyen Thi Van Anh at Japan’s Tohoku University proposed Vietnam meet infrastructure requirements, and prepare appropriate supply chains and good human resources.

In practice, establishing and operating a semiconductor manufacturing centre which meets global standards will require a significant investment. Therefore, it is essential to carefully consider and allocate the budget appropriately if the goal is to build centres or laboratories capable of semiconductor production, she stressed.

Duong Minh Tien, from the RoK, stressed the need for Vietnam to prepare resources to anticipate the expected investment wave in the packaging industry over the next 5 to 10 years, as it is regarded as an attractive destination for investment in the semiconductor packaging sector.

In addition, Vietnam needs to ensure energy security, enhance English language proficiency among students, and prioritise preparations for the upcoming wave of investment in substrates and advanced packaging in the future, he added./.

Businesses advised to stay ahead of game: forum

Enterprises should spot their opportunities and risks on the basis of specific domestic and international economic development scenarios in the next 12 months to sketch out, and rationally adjust their business strategies amidst global headwinds, experts said at a business forum held in Ho Chi Minh City on August 22 by Forbes Vietnam and several organisations.

The World Bank, and Organisation for Economic Cooperation and Development issued different forecasts for the global economic growth for the whole year, with that of former being 2.4% and the other 3.1%, they said, pointing Vietnam’s formidable challenges in the first half which included high interest rates, and skyrocketing VND/USD exchange rates.

According to the experts, although the Vietnamese economy expanded 5.66% in Quarter 1, the highest as compared to the same time from 2020-2023, there were no robust signs in several economic sectors. Weak global trade flow over the past two years has adversely impacted Vietnam’s exports, while important business areas such as realty market, bond market, consumption and labour have been dwindled due to difficulties in the domestic market.

They held that the country’s growth motives will come from its comprehensive strategic partnership with major economies, as well as investment and reform in the domestic market.

Vietnamese firms, whose growth is backed by basic resources, labour, and financial levers, should get prepared, and restructure their growth models, making them suitable for the new development period. Besides, amidst the boom of technology which brings golden opportunities to young firms to reach out to the world, they should keep up with the new market trends.

The Vietnamese community, boasting young labour force, dynamism, and boundless creativity, must capitalise on the technology waves to create breakthrough solutions to their business, they stressed.

General Director of Marvell Technology Vietnam Le Quang Dam said that technology is the key to help Vietnam push ahead its development speed, and narrow down gaps with developed countries, adding the country has various chances to engage deeper in the global semiconductor production chain following its historic strategic cooperation with partners.

Meanwhile, Dr Peter Redhead, head of Research at the Ho Chi Minh City Securities Corporation, forcast that Vietnam will be the nation with the highest GDP growth in ASEAN in 2025, and domestic consumption and purchasing power will be the major drivers for the economic expansion.

Experts relished their prospects for the Vietnamese economy, which will be a bright spot in foreign investment attraction, and have an important position in the global production chain and trade. That the nation has become a comprehensive strategic partner with many large economies will open up new development opportunities for it.

Within the framework of the forum, Forbes Vietnam honoured 50 best listed firms in the country in 2024. This was the 12th time the magazine announced the list./.

Vietnamese, Lao central banks discuss cooperation in using local currencies in bilateral trade

The State Bank of Vietnam and the Bank of Laos have jointly organised a conference to share experience in promoting the use of respective domestic currencies in bilateral trade and investment cooperation activities to prevent external risks.

Vietnam is currently the third largest trade partner of Laos with a long-standing trade and investment partnership.

This is an important basis for the two sides to promote the use of their domestic currencies in the coming time. The control of the common payment system of the two countries will be managed by the Vietnam National Payment Corporation and the Lao National Payment Network Co. Ltd.

At the conference, the two sides introduced the Vietnam-Laos cross-border retail payment connection project using QR codes, saying the system is currently in the preparation stage with its first phase expected to be launched in September.

Vietnamese banks engaging in the project include nine Vietnamese and 13 Lao banks.

Countries in the ASEAN region, including Laos, have switched to using domestic currencies in trade and investment to prevent risks from political, geopolitical, economic, and financial changes./.

Viettel award for breakthrough technology ideas

The Military Industry and Telecoms Group (Viettel) held its Innovative-me 2024 Award Ceremony on August 21 to celebrate the company's best new technology ideas.

The highest award was for developing an application to support refugees in Burundi.

Innovative-me is Viettel's internal award, held annually to promote the spirit of innovation and search for breakthrough technologies.

Any of its 70,000 employees from 38 agencies, units, and ten markets worldwide can participate and turn their ideas into reality.

The projects presented at Innovative-me 2024 are breakthrough technologies with the potential to have a great social impact in the fields of digital technology, information security, defence, and sustainable development.

The highest award this year, Best of Innovative-me 2024, belongs to the Lumitel human resources group, the Viettel brand in Burundi, with the idea of a digital platform connecting people at Kavumu refugee camp - the largest refugee camp in Burundi, with local authorities and people, along with international organisations such as the United Nations High Commissioner for Refugees (UNHCR).

Viettel recorded 464 innovative ideas from its staff last year and in the first six months of this year./.

Tourism, investment potential of Tay Ninh introduced to foreign firms

The southern province of Tay Ninh introduced its tourism potential and investment opportunities to diplomats and businesses of 15 countries at a meeting in Tay Ninh city on August 22.

As part of the southern key economic region, Tay Ninh shares nearly 240km of borderline with Cambodia and is home to three international border gates, three main border gates, 10 auxiliary ones, along with many border crossings. It bridges HCM City, an economic hub of Vietnam, with Phnom Penh capital of Cambodia through the Moc Bai International Border Gate.

Five industrial parks are operating in the province at present. As of August 15, local industrial parks and economic zones had attracted 337 investment projects, including 273 foreign direct investment (FDI) projects worth over 8.7 billion USD and 64 domestically invested ones with registered capital topping 12.26 trillion VND (490.9 million USD). Twenty-one countries and territories have invested in Tay Ninh so far, data show.

Consul General of Italy in HCM City Enrico Padula, head of the Delegation of Foreign Consulates and Business Associations in HCM City, said despite numerous difficulties and challenges facing the global economy, in 2024, Tay Ninh has managed to attract 2.5 trillion VND of investment in high-tech agriculture, a potential sector grabbing much interest from international investors.

Besides, he noted, industry and tourism are also promising fields for the province to make development breakthroughs in the coming time.

The diplomat said the province still holds many advantages to be tapped into, including an abundant workforce, rich cultural heritage, and historical traditions, the proximity to Binh Duong province and HCM City – two important economic hubs in the southeastern region, and a long borderline with Cambodia, which are critical factors for its economic, trade, and service growth.

The consulates and business associations of 15 countries in HCM City will help provide enterprises with all necessary information about investment and tourism opportunities in Tay Ninh, thereby helping boost investment partnerships as well as balanced and sustainable relations with Vietnam, Padula added.

Vice Chairman of the Provincial People’s Committee Nguyen Hong Thanh affirmed that Tay Ninh will continue working closely with foreign consular agencies and investors in terms of trade, investment, culture, health care, and education to create close-knit ties for common development.

He expressed his hope that his province will receive more assistance from international diplomatic bodies and businesses to further popularise its image and investment environment.

Thanh also pledged the best possible conditions for businesses to operate and develop sustainably./.

Source: VNA/SGT/VNS/VOV/SGGP/VGP