At the 2012 Trade and Investment Promotion Forum that was held recently in Ho Chi Minh City by the Ho Chi Minh City Business Association and hosted over 200 domestic businesses, representatives of foreign business associations, general consulates, consulates and trade offices of foreign countries in Vietnam said that despite the global economic recession, most businesses in their countries still considered Vietnam an ideal investment destination in 2013.
The Indonesian Consulate General in Vietnam said that the Association of Southeast Asian Nations (ASEAN) would transform into an economic community by 2015. As an ASEAN member, Vietnam has much to do, including continuing to reform administrative procedures and calling on foreign businesses including Indonesian companies to invest in Vietnam. In the short term, Vietnam will need to deepen its integration with neighboring countries including Indonesia before it expands to the European Union (EU) and the Americas. Indonesia is renewing its economy, politics and society, and is becoming an attractive destination for foreign direct investment (FDI) businesses including those from Vietnam. With a population of over 240 million and the G20 membership, Indonesia offers many opportunities for Vietnamese businesses to expand trade with Indonesia.
Hiep Phuoc Industrial Park in Ho Chi Minh City
The Malaysian Consulate representative in Ho Chi Minh City said that capital resources and the demand for production and trade is shifting from the west to the east and that ASEAN countries including Vietnam should be able to receive and cope with the shift in an effective manner. The shift would also help Asian businesses expand their operations within ASEAN, ASEAN+1, ASEAN+2 and ASEAN+3. It also offers opportunities for businesses of both countries to partner with each other for development in a new Asia.
US Consul General in Vietnam Le Thanh An said that despite the challenges, many US companies wanted to be in Vietnam. The US Embassy in Vietnam regularly receives US businesspeople who visit the country to seek business opportunities, particularly those in the high-tech sector. US companies are very optimistic about industrialization in Vietnam. For instance, Intel has invested tremendously and has enjoyed success in Vietnam. For years, trade between the two countries has increased, reaching about US$25 billion in 2012. The US Embassy will continue to closely work with AmCham in 2013 to increase the presence of US businesses in Vietnam. Vietnam's sound policies applied in the last two decades have changed its economy and helped Vietnamese businesses become good partners for US companies. However, Vietnam has to overcome great challenges in terms of education, health, the environment, intellectual property and more. For this reason, it should prioritize the development of these sectors via privatization.
The Finnish Honored Consult in Vietnam said that Vietnam was an investment destination for foreign countries and is a place of investment shift from China. However, it is facing strong competition with neighboring countries like Indonesia, Myanmar and India. Despite improvements, Vietnamese investment procedures are still complicated and troublesome. Specifically, existing regulations on establishing FDI enterprises, which must include an investment license, took FDI enterprises too much time and caused tax losses for the country. In this light, Vietnam should look to modify the regulations on the establishment of FDI enterprises and management of direct and indirect FDI businesses to benefit both parties.
The Australian Business Association representative also said that many Australian projects had succeeded in Vietnam such as those in the areas of flour processing, university education, banking and energy, which have created a good premise for other businesses to expand their investment in Vietnam. Despite huge difficulties in 2013, the Australian Business Association in Vietnam will continue supporting businesses of both countries and increasing its ties with Vietnamese business associations.
Representatives of general consulates and trade offices of Japan, Indonesia, Myanmar, the US, Canada and more also presented their cooperation policies and opportunities to foreign countries to help businesses connect with each other, expand their markets and find investment and cooperative opportunities./.
By Ngoc Long