19:15 | 25/03/2018 VGP – PM Nguyen Xuan Phuc has affirmed the Government commits to placing local and foreign automobile manufacturers on equal footing while attending the inaugural ceremony of Thaco-Mazda automobile manufacturing plant in Quang Nam province on Sunday. PM Nguyen Xuan Phuc (6th from left) cuts the ribbon to launch Thaco Mazda automobile manufacturing plant- the most modern and biggest one in ASEAN - at the Chu Lai Open Economic Zone in the central province of Quang Nam on March 25, 2018. Photo: VGP National Assembly Vice Chairman Uong Chu Luu, Special Adviser to the Japanese Cabinet Isao Iijima, and leaders of a number of ministries, agencies and localities also attended the event. The Government will have issue proper policies to ensure fairness between locally-manufactured and imported cars and protection of local manufacturers must be in line with Viet Nam’s international commitments, PM Phuc emphasized. Import … [Read more...] about Gov’t chief commits to equal treatment for automobile manufacturers
Manufacturing
Nexen Tech builds first manufacturing facility in Vietnam
South Korea's Nexen Tech established a new facility to improve production capacity to meet customer demand and enhance its competitiveness through the systematic production of specialised parts for hybrid and electric vehicles. Nexen Tech and Hoang Dan join hands for the project A pioneer in automation, Nexen Tech Corporation Limited Company has realised its expansion strategy to Southeast Asia by developing a new facility in Gia Phu Industrial Complex (Ninh Binh) which is 140 kilometres from Haiphong Port. Nexen Tech signed a memorandum of understanding with Hoang Dan Investment and Construction Single Member Limited Company on land leasing for the construction project. The signing ceremony was attended by Nguyen Cao Son, director of the Ninh Binh Department of Planning and Investment, Lee Hyun Chul, vice chairman of Nexen Tech, and Nguyen Van Dan, director of Hoang Dan. The facility will focus on manufacturing wiring harness—the company's flagship product with a … [Read more...] about Nexen Tech builds first manufacturing facility in Vietnam
Decree 116 and a mounting investment in automobile manufacturing
While imports are falling, a huge wave of investment goes into domestic car manufacturing The issuance of Decree 116 Three months ago, Decree 116 has tightened controls for imported automobiles in terms of origin, types, technical safety, and environment protection requirements. The government has confirmed that Decree 116 aims to develop the Vietnamese automobile industry. Besides the tightened regulations and high standards, there are many opportunities for firms to develop the automobile industry, raise localisation rate, and create jobs. However, there are still many arguments around Decree 116. The tightened regulations, along with Circular No,03/2018/TT-BGTVT which came into effect on January 1, 2018, have set various challenges for automobile importers. Recently, automobile branches like Toyota and Honda have announced stopping bringing cars to Vietnam because they cannot obtain a Vehicle Type Approval (VTA) certification issued by authorities in the exporting country. … [Read more...] about Decree 116 and a mounting investment in automobile manufacturing
Vietnamese electricity manufacturers seek cooperation opportunities at Indian event
The trade fair, held every two years, is a major and important event for the electricity sector in India. This year, it attracted 1,500 companies and organisations from more than 60 countries and territories, showcasing electrical products, machinery and manufacturing techniques, renewable energy technologies, and services. In addition to the exhibition of technological products and solutions, numerous forums, conferences, and seminars covering electrics and industrial electronics have been organised within the framework of the event. Vietnam sent a delegation of 40 companies and trade promotion units to the Elecrama 2018, with the aim of exchanging with and seeking partners in the field. The event offered an opportunity for producers, distributors and customers to present their products and services while sharing knowledge in electrics and industrial electronics. The five-day event has welcomed around 20,000 visitors. Around 20,000 visitors have attended the five-day event. (Photo: … [Read more...] about Vietnamese electricity manufacturers seek cooperation opportunities at Indian event
Processing, manufacturing sectors top the list for bad debt
The National Financial Supervisory Commission has announced a report listing six areas with the highest rates of bad debts in Vietnam. Processing, manufacturing sectors top the list for bad debt The processing and manufacturing sector topped the list, with an estimated bad debt rate of 21.15%, followed by the wholesale and retail, with 16.93%; other portions of the service sector clocked in at 12.51%. After these came real estate at 11.37%, construction at 10.13% and transport and depot service area with 9.43%. The rate of bad debt within these sectors is between two and five times more than average in other areas. In the first half of this year, only the transport and depot service sectors saw any considerable decrease in bad debt, down to 9.34% at the end of April from 13.4% by late 2011. Meanwhile, for the rest of the areas mentioned, bad debt has only slightly decreased or even gone up. The report indicated that state-owned enterprises account for 11.82% of credit … [Read more...] about Processing, manufacturing sectors top the list for bad debt
Nearly half of processing-manufacturing firms upbeat about next year
Nearly half of processing-manufacturing firms upbeat about next yearThe Saigon Times Daily HCMC – Up to 48.2% of enterprises surveyed in the processing-manufacturing sector have expressed optimism about business in the first quarter of next year, news website Vietnamplus cited a report of the General Statistics Office as saying. The survey on production trends of the sector in quarter four and forecasts for next year showed 35.7% of respondents hope their operations would be stable while only 16.1% are concerned about more difficulties in January-March 2018. In addition, 44.8% of corporate respondents said their performance in the last quarter of this year is better than in three previous months while 36.5% have had stable performance and 18.7% have had more difficulty doing business. A competitive business environment and opportunities have helped boost the startup movement. Nearly 126,900 enterprises have been set up with total registered capital of VND1,290 trillion (US$56.81 … [Read more...] about Nearly half of processing-manufacturing firms upbeat about next year
Manufacturing still mired in stagnation: ministry
Manufacturing still mired in stagnation: ministryBy Ngoc Lan - The Saigon Times DailyHANOI – Manufacturing in May was still mired in stagnation due to rising inventories, as the month’s Producer Price Index (IPP) rose by only 4.4% against April, the Ministry of Industry and Trade reported.The IPP in May increased by 6.8% year on year, but the index in the January-May period only inched up by a mere 4.2% compared to an increase of up to 9.2% of the year-ago period, said the ministry.Out of the nation’s key industries, the IPP of the processing and manufacturing sectors is still modest in comparison with a surge of 12.6% in 2011. Inventories of the industries are still high, at approximately 29.4%, as of early last month, the ministry pointed out.According to Nguyen Xuan Chien, deputy director of the Domestic Market Department under the ministry, inventories of steel makers declined by 40,000 tons last month. However, some industry players are still struggling while … [Read more...] about Manufacturing still mired in stagnation: ministry
Japanese escalator manufacturer makes foray into Vietnamese market
As the world leading hi-tech group operating in 45 countries across the globe, its turnover rose to US$30 billion last year. Since its operation in Ho Chi Minh City starting in 1998, Nidec has injected a total investment capital of nearly US$800 million into a number of projects in the city.The bilateral cooperation promises the good supply of high quality and eco-friendly elevators and escalators in line with Vietnamese customers’ aesthetic criteria and their economic conditions.Alpec is the first domestic manufacturer of gearless elevator motors as well as an installer of longest outdoor escalators in Vietnam.It specializes in manufacturing, installation and maintenance of elevators, escalators, car parking systems with various outstanding features, absolute safety, advanced technologies, unique design concept and especially affordability. … [Read more...] about Japanese escalator manufacturer makes foray into Vietnamese market
Ministry says auto manufacturers need more than a tax cut
VietNamNet Bridge - At a workshop held on the automobile industry recently, a representative from the Vietnam Auto Manufacturers Association (VAMA) cited difficulties of the Vietnam industry – the small market, small output and high production costs, which all make it more costly to manufacture car parts in Vietnam.Because of the weak support industries in Vietnam, most car parts need to be imported, for which automobile manufacturers have to pay additional fees such as packaging, transportation and import tax. This raises the total production cost of a car in Vietnam, more than that in Thailand and Indonesia.“In a word, the production costs of cars in Vietnam are higher than CBU imports. From 2018, the import tariff on CBU imports from ASEAN will be cut to zero percent, but car parts imports will still be higher than zero percent. Therefore, it will be very difficult for Vietnam automobile industry to compete and exist,” a representative of VAMA said.VAMA has … [Read more...] about Ministry says auto manufacturers need more than a tax cut
Kyodo Sojitz: A leading feed manufacturer in Vietnam
Why did the Sojitz Corporation decide to establish Kyodo Sojitz, a feed manufacturing business, in Long An Province in 2011 when the Vietnamese economy was experiencing a crisis?At that time, the Vietnamese economy was experiencing a short-term crisis, but we believed it would grow further in the medium and long term. The rapid growth of Vietnam’s population is also an important factor that interests most businesses operating in food-related fields like Sojitz. These positive assessments have encouraged us to decide to invest in Vietnam.Sojitz Corporation and Feed One Co., Ltd are the two investors of Kyodo Sojitz. The Sojitz Corporation entered the Vietnamese market in 1986 and has gradually built value chains in the fields of food and retail to serve domestic consumer needs. The corporation has associated with the Feed One Co., Ltd to establish the Kyodo Sojitz Feed Co., Ltd.We decided to choose Long An to base our business because the province has a favorable geographical … [Read more...] about Kyodo Sojitz: A leading feed manufacturer in Vietnam