The Vietnam International Travel Mart (VITM) Da Nang 2022 will take place in the central city this December, it was made known at a recent press conference.

It will be hosted by the Vietnam National Administration of Tourism (VNAT) from December 9 – 11, following the success of the VNAT Hanoi 2022 held from March 31 – April 3, both aiming to boost tourism recovery post-COVID-19.

The Da Nang event will focus on promoting the development of sea-based tourism and fully unlock the potential of tourist destinations in the central region, according to VNAT Chairman Vu The Binh. It also intends to attract businesses in sports tourism (golf, canoeing, surfing…) as well as leisure, MICE and adventure tourism.

VITM Da Nang 2022 will feature around 350 booths, some 15% of which will be run by foreign exhibitors. Tourism authorities from the Republic of Korea, Japan, Malaysia, Thailand and others are expected to participate in the event.

Binh said the organiser expects to welcome more than 2,000 Vietnamese and foreign tourism services providers and about 30,000 visitors.

A series of workshops are also scheduled as part of the event, including one seeking ways to develop sea-based tourism in central Vietnam, one of leisure tourism properties, and another on digital transformation in tourism.

eTax Mobile app sees about 171,900 downloads, installations

There were nearly 171,900 downloads, installations and uses of eTax Mobile – an electronic tax mobile app – between mid-December 2021 when the app was launched and September 27, 2022, according to the General Department of Taxation.

Over 74,700 transactions worth over 320 billion VND (13.39 million USD) were recorded during the period, the department said.

The mobile app has been linked to nine commercial banks so far and the number will be expanded in the coming time.

Digital tax declaration is now available in all 63 cities and provinces nationwide and about 99.93% of close to 873,300 Vietnamese enterprises had used the service.

The number of e-tax declarations exceeded 14.53 million in the first nine months of this year. Businesses had made more than 2.85 million tax payments, worth 26.29 billion USD, during the period.

Smart Banking summit underway in Hanoi

The Smart Banking summit 2022 is taking place in Hanoi starting October 11 and highlighting the active participation of the sector in the 4th Industrial Revolution (IR).

The two-day event, co-chaired by the Party Central Committee’s Economic Commission and State Bank of Vietnam (SBV), is an occasion for financial and banking establishments to share domestic and international experiences in their digital transformation processes and put forth recommendations to the future development of the sector.

At a high-level roundtable within the summit, speakers and experts discussed a series of topics regarding banking digital transformation trends, mechanisms and policies for innovation promotion, and the application of new technologies to facilitate digital transformation.

A drill named DF Cyber Defense was held on the first day of the summit, with the participation of 200 cyberspace security experts in 60 teams.

Four conference sessions concerning fintech, digital data and platform, digital banking services, and information security, are planned for the second day (October 12).

Also taking place within the framework of the summit is a banking technology exhibition.

Bamboo Airways increases plane fleet to 30

The number of Bamboo Airways aircraft has increased to 30 after an Airbus A321NEO ACF, also known as Airbus Cabin Flex, landed at Hanoi’s Noi Bai International Airport on October 8.

The new jetliner comes with 223 seats and a maximum flying range of 7,400 kilometers. It was delivered directly from the European multinational aerospace corporation’s facility in Hamburg, Germany.

Nguyen Ngoc Trong, Bamboo Airways’ board chairman, said that the airline’s priority was growing its fleet and developing flight networks to nations in Europe, Australia, Northeast Asia and the U.S.

The carrier now flies three Boeing wide-body aircraft, 22 Airbus narrow-body aircraft and five Embraer jets, bringing its total number of aircraft authorized for operation by the Government to 30.

Bamboo Airways, one of Vietnam’s three primary carriers, has served 21 of the country’s 22 domestic airports, as well as major hubs in Asia, Europe and Australia. It has handled around 14 million passengers in four years of operation. Bamboo Airways plans to expand its fleet to 42 planes by 2023 and 100 planes by 2030.

Special consumption taxes on gasoline to stay in place: MoF

The Ministry of Finance said it does not support removing current special consumption taxes on petroleum in response to recent calls to drop taxes from the Vietnam Chamber of Commerce and Industry (VCCI). 

Petrol use should remain conservative according to the ministry's proposal to the National Assembly, citing similar taxes worldwide.

The ministry cited France's 0.6829 euro per litre, Germany's 0.3545 euro per litre and Italy's 0.4784 euro per litre. Similarly, the Republic of Korea, Australia, Singapore, China, Laos and Cambodia also maintains fuel taxes ranging from 15% to 16%. 

Vietnam's special consumption taxes on gasoline remains at 10% (8% for E5 and 7% for E10). 

"Vietnam's current special consumption taxes can be considered as mid to low, especially in comparison to neighbouring countries such as Laos and Cambodia," said a ministry spokesperson. 

Meanwhile, the ministry said it supported other measures to bring down fuel prices, including a 50% reduction of special consumption taxes on gasoline (E5 and E10 included), up to a 50% reduction of VAT on diesel, kerosene oil and Mazut oil. 

Honda Vietnam records sharp increases in motorbike, auto sales in September

Honda Vietnam posted increases of 26.1% and 31.8% in sales of motorbikes and automobiles in September compared to the previous month.

The company sold 250,132 motorbikes during the month, up 151% year-on-year. 

Wave Alpha was the bestseller, with 51,990 units sold, accounting for 20.8% of the total, while Vision was its most popular scooter, with 55,284 units delivered to customers, or 22.1% of the total.

Honda Vietnam also exported 13,910 motorbikes to foreign markets.

A total of 1,970 automobiles were sold in September, up 31.8% against the previous month, and 233.9% compared to the same period last year.

Honda City was the most sought-after model, with 1,114 vehicles delivered in the month, accounting for 56.5% of total sales, followed by the Honda CR-V with 715 vehicles.

Survey: Around 60% of credit institutions count on high interest rates in last quarter

Up to 59-61 percent of credit institutions expect deposit and loan interest rates to continue to increase in the fourth quarter of 2022, specifically an increase of 0.37 percentage points on average.

The State Bank of Viet Nam (SBV) has just announced some critical results of a survey on business trends of credit institutions and foreign bank branches in Viet Nam in the fourth quarter of 2022, and the response rate was 96 percent.

According to experts, the number of credit institutions expecting to increase interest rates will undoubtedly be higher than the 59-61 percent above. In fact, from the beginning of October until now, more banks have increased the deposit interest rate schedule.

Four state-owned commercial banks, including Vietcombank, VietinBank, BIDV and Agribank, officially participated in the race to increase deposit interest rates. Meanwhile, an interest rate of nearly 9 percent/year appeared on the market for the certificate of deposit products.

About 66-69 percent of credit institutions expect an average interest rate increase of 0.56-0.57 percentage points in 2022, whereas only 8-10 percent forecasted interest rates to decrease, the SBV's survey shows.

Regarding pre-tax profit in 2022, 88.3 percent of credit institutions expected positive growth compared to 2021. Besides, 6.8 percent of credit institutions predicted negative profit growth in 2022, and 4.9 percent estimated their profit would remain unchanged.

ADB helps enhance sustainable transport for Ha Noi Metro Line 3

The ground breaking ceremony of a project on strengthening sustainable urban transport for Ha Noi Metro Line 3 (or Nhon-Ha Noi Railway Station metro line) project was held in Ha Noi on October 7.

The project, jointly funded by Ha Noi People's Committee and the Asian Development Bank (ADB), aims to ensure smooth transport to approach the metro line, making sure that people use the metro line in a safe and convenient manner.

It will also support Ha Noi's climate change mitigation efforts in adopting a low-carbon transport growth path, which is more energy efficient and lowers greenhouse gas emissions.

Besides, the project will provide infrastructure for improving accessibility to Metro Line 3 stations, implement feeder bus links, a public transport management system, integrated multi-modal stations with "park and ride" facilities, as well as a comprehensive parking plan for the city.

It has the total investment capital worth US$54.75 million, including US$48.95 million from the ADB's Clean Technology Fund (CTF). The project will be fully completed by 2027.

Official export of agricultural products by rail should be promoted

The General Department of Vietnam Customs and the Ministry of Finance proposed to quickly upgrade some railway stations into international transport stations and switch to officially exporting agricultural products by rail because of its quick and low-cost transportation.

The General Department of Vietnam Customs informed the press that, due to the prolonged influence of China’s zero-Covid policy, over the past few months, the volume of imported and exported goods through the Northern border gates between the two countries has continuously declined.

The volume of goods passing through customs clearance at border gates is in drops and totally depends on the announcements of the Chinese authorities, although trade facilitation measures and the establishment of green zones and buffer zones at border gates have been deployed by localities.

The customs authority said that promoting the export of agricultural products by railway is also the policy and direction of the Government. At the regular meeting in February 2022, the Government asked the Ministry of Transport to lead, study, and develop a plan to improve the capacity and output of international cargo transport by rail to serve import and export activities.

Cashew nut export value hits US$2.29 billion in nine months

Vietnam exported 382,000 tonnes of cashew nuts abroad worth US$2.29 billion during the opening nine months of the year, down 10.6% in volume and 14% in value year on year, according to figures given by the General Department of Vietnam Customs.

September alone witnessed the country rake in US$245 million from cashew exports, down 14.6% in volume and 10.3% in value compared to the previous month.

The average export price of Vietnamese cashew nuts dropped by 3.7% to US$5,992 per tonne, against the same period last year.

Experts largely attribute this decline to the negative impact of the ongoing Russia-Ukraine conflict, global economic recession, and high inflation hitting major economies, all of which have forced consumers to tighten their belts.

However, they said there are still positive signs ahead as the demand for cashew imports from the EU and China has edged up remarkably, suggesting the local cashew industry strive to take full advantage of new-generation free trade agreements (FTAs) in order to boost exports to these markets.

Rubber exports affected by decreasing demand

The decline in rubber prices due to the fluctuating world market and slow consumption in China means the industry's profit will be less positive until the end of the year, said the Viet Nam Rubber Association.

Specifically, the selling price of rubber has strong been fluctuating in the second quarter when it recovered in June and then decreased rapidly in July.

The market was strongly affected by the pandemic, political crisis, the lack of containers, high transportation costs, sharp increases in fuel prices and slow customs clearance affecting the global supply chain.

Rubber prices in the world market continued to decline in September due to concerns about slowing demand in China.

The price of rubber is often negatively correlated with the strength of the dollar. The uptrend of the US dollars in recent years also predicts that rubber prices will remain low in the near future.

Because of price fluctuations, especially market fluctuations, China is currently reducing the amount of rubber imported from Viet Nam. Thus, rubber exporters to this market expect their profits will be reduced greatly in the last three months.

A representative of the Viet Nam Rubber Group (VRG) said that the rubber business was facing many difficulties due to the unstable market, falling selling prices and slow consumption. In addition, rising input costs have affected revenue.

Viet Nam exported more than 11,000 tonnes of rubber to India in the first nine months of this year, up 45 per cent in volume and 44 per cent in value over the same period last year.

Thanks to the growth of the Indian market, it has balanced the decline of other markets. Customs statistics forecast that rubber export turnover is estimated at US$2.28 billion in the first nine months of this year, a year-on-year growth of 7 per cent.

Airport planning must ensure financial feasibility, efficiency
     
Careful consideration must be given to the planning and development of airports to ensure feasibility, experts have warned, as localities across the country propose the airports in their provinces.

During the past few weeks, three provinces, including Tuyen Quang, Son La and Kon Tum, sent documents to the Ministry of Transport proposing airports in their provinces be added to the national airport planning.

Ninh Binh, Ha Tinh, Ninh Thuan, Dak Nong, Ha Giang, Bac Giang and Binh Phuoc provinces also raised similar proposals in the past.

While four plans for road, maritime, inland waterway and railway are already approved, planning for the national airport system in the 2021-30 period has not yet been completed.

Aviation expert Nguyen Bach Tung said as the planning continues, localities are applying for permission to build airports to promote socio-economic development.

According to statistics of the Civil Aviation Authority of Viet Nam, there are currently 22 airports for civil use in Viet Nam, though only Van Don International Airport was developed with private investment.

Under the Ministry of Transport's draft, nine more airports will be developed by 2050, bringing the total airports for civil use to 31.

The six airports to be developed by 2030 are Long Thanh, Phan Thiet, Quang Tri, Sa Pa, Lai Chau and Na San. By 2050, a further three, Cao Bang, Hai Phong and a second airport for Ha Noi, will be developed.

Vietnam among top Asian exporters to Spain

Vietnam has become one of the top Asian exporter to Spain, only behind China, on par with Hong Kong (China) and above Japan, Taiwan, the Republic of Korea which are strategic markets of Spain. 

The latest statistics by the Spain Customs showed that two-way trade between Vietnam and Spain hit 2.19 billion EUR in the first half of this year. Of the figure, Vietnam’s export revenue hit 1.95 billion USD, up 56.41%. It continued to enjoy a high trade surplus worth 1.71 billion EUR, up 12.21%. 

Its major exports include mobile phones and spare parts, machinery and equipment, garment and textile, footwear, coffee, aquatic products, wood and wooden furniture, bamboo and rattan products.

HCMC carpark investor requests project extension

The Underground Space Investment Development Corporation (USI), the investor of the Le Van Tam underground carpark project, has written to the HCMC People’s Committee requesting consideration in the BOT contract termination policy and a two-year extension to find business partners.

The HCMC People’s Committee has recently decided to terminate the contract with the investor as it has violated the contract terms and failed to secure the capacity to implement the project.

USI started work on the Le Van Tam underground parking lot project in 2010, but it had not been realized until it was terminated by the city government.

According to USI, the reasons for the delay consist of preliminary design and construction cost adjustments, changes in scale and technical solutions, apart from other objective issues.

The company, therefore, requested HCMC to extend the project for an additional 24 months, creating conditions for it to seek business partners to develop the project.

USI said that if the BOT contract termination is the last resort, USI asked the authority to consider allowing the next investor to take over the entire technical file of the project developed by USI and repay the whole or part of USI’s investment capital of VND107 billion.

Under the contract, this four-story underground carpark with total investment capital of VND1,748 billion, which covers an area of 11,000 square meters, can accommodate over 2,000 bikes and nearly 1,300 cars.

Work on Khanh Hoa-Buon Ma Thuot expy project set to begin in mid-2023

The construction of an expressway linking the south-central province of Khanh Hoa with the Central Highlands province of Daklak is expected to start on June 1 next year.

The Khanh Hoa-Buon Ma Thuot expressway project will have a total length of 117.5 kilometers in phase one. It will cost an estimated VND22,000 billion, backed by public capital.

Can Tho welcomes RoK hydrogen project

The Mekong Delta city of Can Tho welcomes the Republic of Korea’s SK Energy Co., Ltd. to develop a hydrogen project in the city, given that clean energy is crucial for the city to promote sustainable development and environmental protection, Nguyen Van Hong, Vice Chairman of the municipal People’s Committee said.

He made the statement on October 11 while hosting a reception for Lee Dong Uk, a senior advisor at SK Energy who is visiting Can Tho to conduct a field survey for the project. The project aims to supply hydrogen for public transport and heavy vehicles.

Hong said more than that, Can Tho and the Mekong Delta at large can potentially use hydrogen at refrigeration plants, seafood processing factories and cold storage facilities.

Can Tho supports the project, he stressed, and looks forward to SK Energy developing more hi-tech projects in the city as well as the region.

 According to Lee Dong Uk, SK Group, SK Energy’s parent company, has plans for long-term development in the region, considering the Vietnamese Government has adopted a Mekong Delta Master Plan facilitating the development of clean energy in the region.

Green hydrogen is produced through water electrolysis, in which renewable electricity is used to split water into hydrogen and oxygen. Hydrogen produced from electrolysis has many advantages as it can be stored as liquified gas, making it suitable for many sectors due to its ease of storage and transport.

Green hydrogen is viewed by the International Energy Agency (IEA) as key to the future of clean, safe and sustainable energy.

Vietjet resumes direct flights from Da Nang to Tokyo

The route connecting Vietnam’s central city of Da Nang and Tokyo at “the land of Sunrise” – Japan has come back, being ready to welcome people and tourists.

With return flights daily, Vietjet makes it easy for people and tourists to fly between Da Nang, dubbed as the “most livable city in Vietnam”, and the interesting tourist, shopping and discoveries destinations of the most bustling city in Japan.

With just over 4 flying hours along with reasonable cost from 684,000 VND per flight, Vietjet is the only Vietnamese airline flying directly from Da Nang to Haneda Airport, offering more options to fly to Tokyo in particular and Japan in general besides familiar destinations including Narita airport, Osaka, Fukuoka, Nagoya.

Vietfood & Beverage – Propack exhibition slated for November

The Vietfood & Beverage – Propack, a reputable exhibition in the field of food, beverage and processing and packaging equipment and technologies, will take place from November 9-12 in Hanoi, according to the organiser, the Vietnam National Trade Fair and Advertising Company (Vinexad).

Covering 4,500 sq.m, the exhibition will feature 300 booths by 250 businesses from various countries, showcasing a diversity of products.

The event will gather prestige firms in the food industry, along with famous international brands such as Choya, Obsortech, Allanasons, India Frozen Foods, Rustam Foods and Al-sameer.

Vinexad said the exhibition will offer chances for domestic and foreign firms to access markets, popularise products, and strengthen the brand.

Fruit - vegetable exports likely to bring in US$3.2 billion this year

With an export turnover of only US$2.45 billion during the past nine months, Vietnamese fruit and vegetable processors are anticipated to rake in US$3.2 billion from exports this year, an annual decline of 10%.

Dang Phuc Nguyen, general secretary of the Vietnam Fruit and Vegetable Association, pointed out that although the export of fruit and vegetables to major markets such as the US, Japan, and the EU witnessed a sharp increase, that to China plummeted, leading to a decline in the entire year’s turnover.

A series of seminars and forums will be held during HortEx Vietnam 2023 to strengthen connectivity among businesses and help local firms to boost exports to foreign markets.

HortEx Vietnam 2023 is expected to welcome the participation of roughly 250 exhibitors from 30 countries worldwide and about 7,000 visitors.

Vietnam and Croatia to raise bilateral trade to US$200 million by 2025

Vietnam and Croatia will strive to make an effective use of existing cooperation mechanisms and expand cooperation in potential fields in an effort to raise their two-way trade to US$200 million by 2025.

The agreement was reached during talks in Zagreb on October 11 between Vietnamese Vice President Vo Thi Anh Xuan and Croatian Prime Minister Andrej Plenkovic.

The two sides held that although bilateral trade turnover has made great progress in recent times, it remains modest compared to the potential and expectations of both countries.

They agreed on a number of measures to enhance the efficiency of economic - trade - investment cooperation between the two countries, including establishing an inter-governmental cooperation mechanism, and implementing cooperation projects in potential fields such as maritime, transportation, light industry, clean energy, information technology, and innovation.

They vowed to work closely to take advantage of new opportunities brought by the EU-Vietnam Free Trade Agreement (EVFTA) and the Vietnam-EU Investment Protection Agreement (EVIPA), striving to raise bilateral trade turnover to US$200 million by 2025.

Deal signed to disburse loans worth $836m to wean workers away from sharks
     
HDBank subsidiary HD SAISON Finance Company Limited and a finance company owned by VPBank have signed an agreement with the Vietnam General Confederation of Labour to provide loans of VND20 trillion (US$836.6 million) to workers at industrial parks around the country.

The agreement followed directions by the Prime Minister and the State Bank of Vietnam to provide workers with loans at preferential interest rates to protect them from loan sharks.

The signing ceremony in Ha Noi on October 7 was attended by the central bank’s standing deputy governor Dao Minh Tu, vice chairman of the Vietnam General Confederation of Labour, Phan Van Anh, general director of HD SAISON, Nguyen Huu Nhan, and the general director of Fe Credit.

Da Nang, Viettel to accelerate IT co-operation in 2022-30
     
Da Nang and military-owned telecommunications group Viettel have inked a memorandum of understanding (MoU) on digital transformation in economy, education, healthcare, tourism, trade and industry, agriculture and e-Government in 2022-30.

Director of the city’s Investment Promotion Department, Huynh Thi Lien Phuong confirmed that the MoU, which was signed last weekend, will include four key projects with an estimated investment of VND4.45 trillion (US$193.48 million).

She said Viettel planned to commence construction of a 8.6ha smart logistics centre using AI and robotics in Lien Chieu District, as well as an 18-storey site for 1,600 members from the first quarter of 2023.

The group would launch 5G coverage throughout the city from 2023 before piloting the service at industrial zones and hi-tech parks, as well as building 5G stations.

It would build a database centre for telecommunication services and e-Government in Lien Chieu and Hai Chau districts from 2023.

Following the MoU, Viettel proposed construction of a coastal cable gateway in Ngu Hanh Son District, a database centre, and a training and research centre at Da Nang Hi-Tech Park in 2023-25.

Viettel has built five coastal gateways including a submarine cable Asia-Africa-Europe 1 (AAE-1), Asia-American Gateway (AAG) and the submarine cable TNG-Intra Asia in Vung Tau City; Asia Direct Cable in Quy Nhon and Asia Pacific Gateway (APG) in Da Nang.

Viettel and Da Nang also agreed to boost cooperation in turning Da Nang into a ‘smart city’ by 2025.

Da Nang launched an e-government system in 2014, making IT infrastructure available for smart connections in air control, water management, garbage collection and meteorology, earthquake and tsunami warnings, floods and erosion and sewage management systems.

The city has invested S$43 million in software park No 2, creating a workplace for 6,000 IT engineers.

The 341ha Da Nang IT Park, which was designed as the ‘Silicon Valley’ in central Viet Nam, will provide 25,000 jobs and an urban area for 100,000 people from 2030.

South Korea’s LG Electronics agreed to build the first research and development (R&D) centre in the city to create a space for software research and production in electronics manufacturing in Viet Nam.

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