Viet Nam saw more than 1.44 million turns of foreign arrivials from January to August, 13.7 times higher than same period last year, the General Statistics Office (GSO) reported.

The above figure includes 486.4 thousand arrivals in August alone, an increase of 38 percent compared to the previous month and 52.3 times higher than the same period in 2021.

Although the number of arrivals in the first eight months was only equivalent to 87.3 percent of the same period of 2019 when there was no Covid-19, the month-on-month growth shows that international tourism is recovering. Particularly in August, international visitors increased by 32%, equal to the total of the first four months.

Also, nearly 90% of tourism and accommodation units have resumed operations. The revenue from accommodation and catering services in the past eight months was estimated at VND377.8 trillion, up 48.1 percent on year.

The reason for this development is that people's demand for entertainment and tourism increases in the summer after more than 2 years of restricting travel and eating out. Travel revenue in the reviewed period was estimated at VND15.4 trillion, 3.4 times higher than last year.

The time since Viet Nam fully openned bordered to foreign tourists (in March) so far has not been the peak season for foreign tourists. The next four months are essential for Viet Nam tourism to create a competitive advantage over other regional countries.

To achieve the goal of five million international visitors this year, the overall strategy of the tourism industry is to reconnect markets with open policies for people to travel abroad, focusing on key markets such as Europe, the US, Australia and emerging markets such as the Middle East and India.

Vietnam increases import of auto parts from Chinese market

Vietnam spent a total of US$240 million importing auto parts and accessories during the first half of August, with Chinese-origin parts increasing sharply, according to details given by the General Department of Vietnam Customs.

Between the beginning of the year and mid-August, the country’s total import turnover of auto parts and components reached a figure of US$3.51 billion, representing an annual rise of 7.56%.

The leading exporter of auto parts to the country remains the Republic of Korea (RoK) with a total turnover of US$878.66 million, up 11% against the same period from last year, followed by China with US$748.9 million and Thailand with US$535.6 million.

Currently, imports from the RoK, China, and Thailand account for 66.3% of the nation’s total import turnover of auto parts and accessories.

Aside from importing components and spare parts, the country also imported completely built-up (CBU) vehicles from Thailand and China during the opening seven months of the year with 31,798 and 12,104 vehicles, respectively.

Thailand is projected to become the leading country in terms of exporting CBU vehicles and spare parts to the Vietnamese market in the long term.

Vietnamese automobile consumption output is anticipated to reach 500,000 vehicles this year, thereby making the Southeast Asian nation the third largest auto consumption market in the region behind Thailand and Indonesia.

Mekong Delta province targets 980 million USD from tra fish exports

The Mekong Delta province of Dong Thap expects to earn over 980 million USD from tra fish exports by 2025, according to a provincial development plan.

The locality’s total tra fish farming area is set to reach 2,450 hectares in the next three years with an output of 555,000 tonnes worth some 9.04 trillion VND (384.43 million USD).

Huynh Minh Tuan, Vice Chairman of the provincial People’s Committee, said tra fish farms in Dong Thap are expected to have their identification codes digitalised by 2025 for safe production, with 90% of household tra fish farms joining production chains.

Tra fish is one of the six sectors in Dong Thap’s agricultural restructuring scheme. Currently, more than 60% of tra fish farms in the locality are implementing a closed process, from incubation to breeding, processing and export.

Dong Thap’s tra fish products are exported to 134 countries worldwide, including Asia, the Middle East, China, Europe and the US.

Petrol prices down slightly

Petrol prices were reduced in the latest adjustment made on September 5 by the Ministries of Industry and Trade, and Finance.

The retail price of E5RON92 bio-fuel slid by 370 VND to a maximum of 23,350 VND (0,99 USD) per litre while that of RON95-III was cut by 430 VND to 24,230 VND per litre.

Meanwhile, the price of diesel oil was raised by 1,430 VND to 25,180 VND per litre, and that of kerosene was up by 1,390 VND to 24,440 VND per litre. Mazut oil 180CST 3.5S fetched 16,540 VND per kg, a decline of 470 VND.

The two ministries also determined to extract 451-493 VND per litre from petrol price and 100-300 VND per litre from diesel and kerosene prices for the petrol price stablisation fund.

Shrimp export falling, tra fish up

While Vietnam’s shrimp export was on downward trend in August, tra fish posted an impressive export growth, reported the Vietnam Association of Seafood Exporters and Producers (VASEP).

From 456 million USD in May, shrimp brought home only 365 million USD in August.

In the first eight months of this year, shrimp export hit 3 billion USD, up 22.5% year-on-year.

Deputy Director of the VASEP’s Training and Trade Promotion Centre Le Hang attributed the falling shrimp export to rising input costs and unfavourable weather conditions while the market demand stalled due to increasing inventories. Because of inflation, exports to the US and China have fallen since July.

In the US, Vietnamese shrimps account for nearly 10% of market share while India and Indonesia make up around 20% each, and Ecuador alone 40% thanks to its proximity to the US which results in cheaper transport costs.

Meanwhile, tra fish export soared by 114% annually to 187 million USD in August. Its shipments maintained 2-3 digit growth.

On an eight-month calculation, tra fish raked in some 1.8 billion USD, up 81% year-on-year.

Viglacera sells made-in-Vietnam construction materials in 40 countries

Viglacera Corporation JSC has exported made-in-Vietnam construction materials to over 40 countries across the world, becoming one of the leading construction material production businesses in the country.  

Last year,  it was the only Vietnamese construction material producer to win the World Class Award of the 2019-2020 Global Performance Excellence Award (GPEA). As of the end of 2021, Viglacera entered the top 20 ceramic tile production companies, and top 30 producers of ceramic sanitary wares worldwide.

Maintenance of Dung Quat oil refinery slated for mid-2023

Dung Quat Refinery will undertake the fifth maintenance that will last for 50 days from June 22, 2023, according to Binh Son Refining and Petrochemical Joint Stock Company (BSR).

The company said that during this maintenance, it will focus on strengthening risk management and optimising the bidding package distribution plans. It will strive to shorten the maintenance period to about 43-45 days.

There will be six main bidding packages in which BSR's personnel directly conduct the maintenance of several parts, including the compressor system, rotating equipment, automation system, and electric equipment.

The last overall maintenance of Dung Quat Refinery took place in June 2021.

Dung Quat Refinery, which is located in the Dung Quat Economic Zone, Binh Son district of central Quang Ngai province, has a refining capacity of 148,000 barrels per day (6.5 million tones crude oil annually) and can process 67 types of crude oil from various parts of the world. The plant’s products include Mogas A92/A95 and E5/10; Jet A1/Jet A1K fuels; kerosene; diesel; fuel oil (FO); liquefied petroleum gas (LPG); propylene; polypropylene resins and sulfur.

Vietnamese-funded firm opens headquarters in Germany

EATC Germany has freshly opened its headquarters in Bad Schwalbach in Germany's Hessen state, becoming the first Vietnamese-invested company to operate in the city.

Licenced in December 2021, the company aims at gaining a direct access to the developed scientific and technical industries of Germany and Europe; learning more about the specialised wastewater and environment analysis and treatment; and cooperating in technology transfer for treating waste water, exhaust gas and solid waste.

EATC Germany said it wants to gather experience in managing treatment systems for wastewater, especially in residential and urban areas, then transferring the knowledge to and applying it in Vietnam.

The firm also affirmed its commitment to operating sustainably, complying with the laws of the two countries, generating jobs, and protecting the environment.

At the headquarters opening ceremony, the German side lauded EATC Germany’s cooperation areas.

They said there remains large room for cooperation between Vietnamese and German enterprises in wastewater and environmental treatment.

Vietnam, Denmark enjoy potential for cooperation in green growth

Vietnam and Denmark have a lot of potential to expand and deepen their cooperation in the time ahead, especially in green growth, Danish State Secretary for Trade and Global Sustainability Lina Hansen has affirmed.

Denmark will earmark at least 1 billion USD for developing countries, including Vietnam – one of its priority partners, helping them respond to climate change from 2023, according to the official.

She noted Denmark hopes that the two countries will establish a green strategic partnership to facilitate collaboration between their governments, peoples and businesses in sustainable development.

Ambassador Luong Thanh Nghi affirmed that economic, trade and investment cooperation remains a bright spot in the Vietnam-Denmark comprehensive partnership.
 
He briefed the participants on Vietnam’s green growth strategy for 2021-2030 with a vision towards 2030, and reiterated the Vietnamese government’s resolve and commitment to reducing greenhouse gas emissions, reaching the target of net zero emissions by 2050.

The ambassador also highlighted Vietnam’s efforts in green transition and digital transformation towards a green, circular and sustainable economy.

Vietnam hopes to cooperate with friends and partners, especially the countries leading in green growth and having experience in energy transition like Denmark, he noted.

On this occasion, Vietnam’s software giant FPT and VidoGroup that offers travel and related services opened their representative offices in the European country.

Vietnam promises to facilitate Standard Chartered’s operations: PM

The Vietnamese Government pledges to create favourable conditions for Standard Chartered Bank to maintain and expand its business operations in the country, Prime Minister Pham Minh Chinh said on September 5.

At a Hanoi reception for Bill Winters, CEO of Standard Chartered PLC, PM Chinh praised foreign businesses and investors, including Standard Chartered, for accompanying and supporting Vietnam in pandemic prevention and control, and promoting socio-economic recovery and development.

He shared Vietnam's priorities on attracting green finance and resources to take advantage of sustainable growth drivers, especially green growth, digital transformation, and sustainable energy transition; and strengthening cooperation with development partners, international financial institutions and global financial groups, including Standard Chartered.

The Government leader asked the bank to increase its support for Vietnam in the process of digital transformation, green transformation and energy transition towards sustainability and climate change adaptation.

He also urged the bank to create favourable conditions for Vietnamese businesses as well as foreign investors to access preferential capital resources to invest in strategic infrastructure, including digital infrastructure, green infrastructure and key infrastructure projects.

For his part, Bill Winters said he is impressed with Vietnam's rapid and positive changes in recent years, especially its achievements in epidemic prevention and control, and socio-economic recovery and development.

Affirming that Vietnam is an important area of Standard Chartered's activities in the Asia-Pacific region, he said Standard Chartered will promote cooperation with and support the country in mobilising capital sources, attracting green finance and promoting green growth associated with implementing commitments made at the 26th UN Climate Change Conference (COP26).

The bank will also continue to boost collaboration with Vietnamese Government agencies in national credit rating, he added.

Standard Chartered wishes to increase consultations and policy dialogues with Government agencies and partners in Vietnam on economic and development issues as well as areas of mutual interest, he stressed.

Vietnamese rice hits hypermarket shelves in France
     
A Vietnamese rice product has gone on sale for the first time at E.Leclerc Viry Chatillon, a hypermarket run by top French retailer E.Leclerc.

The product, labelled "Com Viet Nam", was produced by Loc Troi Group and introduced to the hypermarket on September 2 during the Vietnamese mid-autumn week event.

Nguyen Duy Thuan, CEO of Loc Troi, said that his firm became the first to export Vietnamese rice to Europe two years ago under the EU-Vietnam Free Trade Agreement (EVFTA).

Thierry Jodet, Director of E.Leclerc Viry Chatillon, revealed that the Loc Troi product was chosen as it ticked all the boxes of quality, flavour, and price.

"Com Viet Nam" is also expected to be available at a hypermarket run by French multinational corporation Carrefour on September 6.

Carrefour and E.Leclerc operate nearly 800 hypermarkets and over 3,000 supermarkets across France.

Industrial production recovers quickly with growth of 9.4% in eight months
     
The index of industrial production (IIP) in the first eight months of 2022 surged 9.4 per cent over the same period last year, according to the General Statistics Office (GSO).

The office said that industrial production in August 2022 continued the trend of rapid recovery with an increase of 2.9 per cent over the previous month and 15.6 per cent year on year due to the efforts of enterprises in expanding production to offset the period affected by the COVID-19 pandemic.

Compared to the same period last year, the IIP growth rate in August reached 16.2 per cent for the processing and manufacturing industry; 14.8 per cent for electricity production and distribution; 11 per cent for water supply, and management and treatment of garbage and wastewater; and 10.2 per cent for the mining industry.

During the eight months, the processing and manufacturing industry posted the highest IIP growth of 10.4 per cent. It was followed by electricity production and distribution (6.8 per cent), water supply industry, garbage and wastewater treatment and management (5.8 per cent) and the mining industry (4.2 per cent).

The GSO report also showed that, in the past eight months, IIP of some key industrial products increased sharply compared to the same period last year, including beer (31.2 per cent); processed seafood (20.7 per cent); phone components (19.6 per cent); automobiles (13.9 per cent); casual wear (12.7 per cent); leather shoes and sandals (12.5 per cent); and tobacco (9.6 per cent).

Meanwhile, some other products saw a decline of IIP compared to the same period last year, such as iron and crude steel (12.3 per cent); televisions (10.7 per cent); fertiliser NPK (6 per cent); fabrics made from man-made fibers (5.8 per cent); mobile phones (5.4 per cent); aquatic feed (4.9 per cent); liquefied petroleum gas (LPG) (2.4 per cent); and crude oil exploitation (1 per cent).

GSO also reported 61 out of 63 provinces and cities gained growth, while the rest of two localities had IIP reduction in the first eight months of 2022.

E-commerce: the key to increase bilateral trade between Viet Nam and the UK
     
Vietnamese firms are urged to use online platforms to expand their market reach in the UK now that the UK-Viet Nam Free Trade Agreement (UKVFTA) has come into effect, experts said.

With revenue of US$117.7 billion in 2021, the UK is the fourth largest market for e-commerce in the world, placing it ahead of Germany and behind Japan, according to global provider of market and consumer data Statista.

Last year, the UK e-commerce market contributed to a worldwide growth rate of 15 per cent with an increase of 12 per cent, Statista said.

The biggest player in the UK e-commerce market is amazon.co.uk. The store had revenue of $17.1 billion in 2021. It was followed by tesco.com and argos.co.uk which gained respective revenue of $9.5 billion and $6.3 billion. Altogether, these top three stores account for 30 per cent of online revenue in the UK.

Meanwhile, Viet Nam is regarded as the second largest e-commerce market in Southeast Asia, only after Indonesia, according to a global e-commerce report in the first half of 2022 by Metric.vn.

The prolonged COVID-19 pandemic has also given fresh impetus to the country’s e-commerce industry which recorded growth of up to 53 per cent in 2021, making it the optimal form of transactions for individuals and firms.

With such rapid growth, experts said it is time for both sides to raise the bar on this platform in order to facilitate online business.

In order to help firms keep pace with these innovations, the government is urged to continue to refine the legal framework and develop programmes that improve firms’ capacity. At the same time, firms themselves should embrace digital transformation and put it on top of their agenda to be able to expand their market footprint via e-commerce.

In a bright spot, Vietnamese businesses have effectively taken advantage of Amazon's innovations to strongly develop and build the "Made-in-Viet Nam" brand on the world map, thereby leaving a strong mark of the country's economy on the international market including the UK.

At the same time, several Vietnamese goods have affirmed their positions in another e-commerce platform in the UK, alibaba.com. In 2021, the UK positioned itself among the top 10 buyers of food and beverage, top six for clothes, and came in fourth in terms of furniture from Viet Nam.

Notably, it was the second-largest buyer of Vietnamese cosmetics on that e-commerce website.

Vietnamese pineapples seek new chance in UK market
     
Even though there are requirements to meet, Vietnamese pineapple products have seen huge potential in the European market, including the United Kingdom.

Europe is one of the largest export markets for Vietnamese agricultural products, Nguyen Thi Thuy, deputy director of the Export Promotion Centre, Vietnam Trade Promotion Agency, said at the consultation session on exporting pineapple products to the European market at the end of last month.

The European Union-Vietnam Free Trade Agreement (EVFTA) and the UK-Vietnam Free Trade Agreement (UKVFTA) are not only considered opportunities for Vietnamese agricultural products to integrate deeply into large markets with high selling prices but also challenges that require production and export enterprises entering these fastidious markets to make drastic changes for sustainable export growth.

With 119.6 million tonnes worth US$78.2 million in 2021, the UK was the world’s tenth largest pineapple importer and the Europe’s sixth largest after the Netherlands, Spain, France, Germany, and Italy, Hang added.

The demand for pineapple products in this market is quite stable, with the main source of imports coming from Costa Rica (accounting for 80 per cent of the market share), Brazil, the Philippines, and Thailand. During 2022-2017, the growth rate of the fresh pineapple market in the UK is expected to be 3.2 per cent, while pineapple juice consumption averaged 0.43 litres/person in 2021.

Vietnamese businesses can sell pineapple products through trading firms, or directly to supermarkets and retail groups in the UK. Other successful marketing strategies include participating in trade fairs and exhibitions, and practising digital marketing.

Recent years, the Vietnam trade office in the UK has made great efforts to persuade a businessman to build a pineapple processing plant in Hau Giang Province, said Nguyen Canh Cuong, trade counsellor at Viet Nam's Embassy to the UK.

He hopes that the factory will be completed by the end of this year, and there are opportunities for pineapples from Hau Giang and Tien Giang provinces to be supply sources for this factory.

EVN approved to become investor of O Mon III thermal power plant

EVN has been approved to become the investor of the $1.19 billion O Mon III thermal power plant, which is located in Can Tho city.

Vice chairman of Can Tho People’s Committee Nguyen Van Hong on September 5 signed Decision No.2447/QD-UBND to approve the investment plan of the O Mon III thermal power plant and allow EVN to become the investor.

The project will be valid within 31 years since the decision for renting land come into effect.

O Mon III thermal power plant project has a capacity of 1,050MW with a total preliminary investment cost estimate of about $1.19 billion, with $431.3 million coming from the investor’s equity and $768.26 million from other sources. The project covers over 8,300 hectares, in which the investor will have to pay the land renting fee every year.

The project will be valid within 31 years since the decision for renting land come into effect.

According to the plan, in the fourth quarter of this year, the plant’s feasibility report would be approved. The construction is expected to kick off in the first quarter of 2025 and the plant starts to receive gas in the third quarter of 2027. The plant is expected to go online in the fourth quarter of 2027.

O Mon III is one of four power plant projects in the O Mon power complex including with a total installed capacity of up to 2,910MW.

Germany’s Geuther to fuel boom of Vietnam’s mum and kid market

Geuther, a premium kid’s furniture brand from Germany, has officially joined Vietnam's mum and kid market, which has been rising very fast and attracting many domestic and foreign corporations.

According to Grand View Research, the global kid furniture market size was valued at $38.82 billion in 2021 and is expected to expand at a compound annual growth rate of 18.9 per cent from 2022 to 2030.

In Southeast Asia, Vietnam is the country with the highest proportion of families with children, with 32 per cent of them having children aged 1-2 years old.

Since 2016, Geuther Vietnam has been operating a production plant of 1.5-hectare factory in Binh Duong and employs 239 people.

MSB gets nod to hike charter capital

The State Bank of Vietnam has approved Vietnam Maritime Commercial Joint Stock Bank’s plan to increase its charter capital by over VND4.7 trillion to VND20 trillion.

The lender, which trades its MSB shares on the Hochiminh Stock Exchange, will issue a maximum of 472.5 million shares, including over 458 million bonus shares for its existing shareholders and 14.3 million shares under the 2022 employee stock ownership plan.

After the issue, the total number of outstanding MSB shares will reach two billion, or VND20 trillion in charter capital given the nominal share value of VND10,000 each, the local media reported.

The charter capital increase will help the lender improve its financial capacity and expand its operation and investment in multiple strategic projects, especially in digitalization.

In the first half of the year, MSB posted over VND3.3 trillion in pre-tax profit. As of the end of the second quarter of the year, the lender’s total assets stood at VND195 trillion, down 4% against early 2022.

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