The Flow of Korean FDI into The Central Region and Highlands of Vietnam | ANT Consulting

According to the Foreign Investment Agency (Ministry of Planning and Investment), nearly 4.4 billion USD has been invested by Korean businesses in the Central Region and Highlands so far. 

In mid-December 2020, LG Electronics (Korea) put LG VS Research Center into operation at DITP building – Trung Nam Land (Da Nang). This is the third center in Vietnam that LG has established, after the centers in Hanoi and Ho Chi Minh City. 

According to Vice Chairman of Da Nang City People’s Committee, recently, the city has received the attention of Korean businesses and investors. The most recent is the ICT Vina II medical equipment factory project of ICT Vina Company in Da Nang Hi-Tech Park, with a total investment of 60 million USD. This is one of the typical foreign direct investment (FDI) projects of Korean investors in the Central Region – Highlands of Vietnam. 

According to the director of the Korea Trade-Investment Promotion Agency (Kotra) in Da Nang, in previous years, Korean businesses were interested in investing in the tourism sector in Da Nang, but in recent years, they pay much attention to the field of processing, manufacturing and outsourcing technology. 

In Da Nang, as of November 2020, Korea is the foreign investor with the most number of projects, with 232 projects, total registered capital of 376 million USD, focusing in the fields of services, real estate, industrial production and information technology. 

In fact, in terms of FDI inflows from Korea in the Central Region, it must be mentioned the appearance of the Doosan Vina brand in Dung Quat Economic Zone (Quang Ngai). This is the first FDI enterprise, also the most successful enterprise today in the heavy industry sector in Quang Ngai. 

With the estimated revenue of 200 million USD/year, Doosan Vina makes a great contribution to the budget revenue and enhances the export value of Quang Ngai. Doosan Vina is creating jobs for about 2,000 employees, of which over 85% are Quang Ngai citizen. 

Binh Dinh is also a locality that has been interested by Korean businesses recently. According to the Center for Investment Promotion of Binh Dinh Province, the projects coming from Korean investors are the 70 million USD solar power projects invested by QN Korea Energy Company; Project of high-tech pork farm of New Hop Livestock Company Limited, invested nearly 5 million USD; Wesbrook Vietnam wood processing factory project, invested USD 2.5 million… 

In the Central Region – Highlands of Vietnam, in the first 9 months of 2020, Korea is the leading partner in terms of total registered capital in the region, reaching 79.41 million USD with 23 new projects, focusing on processing sectors, manufacturing, technological expertise, accommodation and catering services. 

Accumulated to date, Korea is second only to Singapore in this area. Korean enterprises are present in most of the strong sectors and fields of localities such as heavy industry, real estate, tourism, textiles, manufacturing, processing and investment in industrial zone infrastructure. 

With the potentials of strategic location, natural resources, abundant human resources, an increasingly complete infrastructure system, the advantage of developing tourism real estate with a series of cultural heritages, long and beautiful coastlines… Combined with new strengths such as trade and investment agreements, breakthrough investment incentive mechanisms and policies, many provinces in the Central Region – Highlands are becoming trust and safety investment destinations of foreign investors, especially Korean businesses.

Read More

Vinh Phuc Wants to Attract Investment in High Technology | ANT Consulting

The results of investment attraction are not commensurate with the potential and advantages of Vinh Phuc province, not meeting the expectation of attracting resources for development investment. Therefore, Vinh Phuc urgently needs investors come to set up company in Vinh Phuc, especially technology projects, high quality, environmental-friendly and great socio-economic efficiency. 

According to the Chairman of the Provincial People’s Committee, although Vinh Phuc is considered a bright spot in attracting investment in the Northern region with 752 domestic direct investment projects in the country (DDI) with a total capital of over 78,000 billion VND (3.3 billion USD) and 378 FDI projects with a total registered capital of over 5 billion USD, but this result is not commensurate with the potential and advantages of the province, not meeting the expectation of attracting resources for development investment to achieve long-term goals. 

Many large corporations in the world such as Toyota, Honda, Daewoo, Samsung, Compal,… have invested in Vinh Phuc, focusing mainly on the fields of processing technology, manufacturing and assembling electronics. Foreign investors in Vinh Phuc are mainly from Northeast Asian countries, such as Japan, Korea. European and US investors account for a relatively modest proportion. 

Vinh Phuc currently has 10/376 FDI projects, accounting for nearly 3% of the total FDI projects from European countries and the US. 

In the coming time, Vinh Phuc needs technology projects, high quality, environmental- friendly, bringing great socio-economic efficiency. In particular, in order to encourage investment in the development of supporting industries for automobiles, motorcycles, electronics, telecommunications, and food processing industry. 

Regarding agriculture, Vinh Phuc hopes to develop high-tech agriculture, clean vegetable production projects and high-tech cattle and poultry breeding, and agricultural product processing projects. The province gives priority to attracting investment projects on infrastructure business of industrial parks and clusters, especially investment in specialized infrastructure, creating connections and linking clusters. 

With a very diverse and abundant number of businesses both domestically and abroad, Vinh Phuc has created an extremely convenient industrial ecosystem in recent years, in accordance with the requirements of businesses and investors from Europe and the US who are inherently high technology, source technology and want to take advantage of existing businesses as a supply and support partner in the province. 

In addition to the advantages of transportation system, Vinh Phuc has advantages that locating in the Northern key economic region, Kunming – Lao Cai – Hanoi – Quang Ninh economic corridor and the Northern industrial development belt. 

With these potentials, advantages and the supportive attention of authorities at all levels in solving difficulties and obstacles for businesses, it is believed that Vinh Phuc will become a favorite destination for European the US investors.

Read More

Quang Ninh Tourism Industry Collect Nearly 29,500 Billion VND in 2019 | ANT Consulting

2019 continues to be evaluated as a year of strong growth of the Quang Ninh tourism industry in both the number of tourists and revenue, contributing to the provincial budget up to 30% compared to 2018, creating an attraction for foreign investors to come and set up company in Quang Ninh. 

According to the Quang Ninh Department of Tourism, in 2019, the total tourist arrivals to Quang Ninh reached over 14 million, an increase of 14% compared to 2018, of which international visitors reached 5.7 million. The length of stay has changed significantly from 2.16 days in 2017 to 2.74 days in 2019. 

In 2020, Quang Ninh tourism industry strives to welcome 15.5 million visitors, including 6.5 million international visitors; total revenue is more than 34,000 billion VND; The total contribution to the provincial domestic budget is not less than 11.5%. The length of stay of tourists must increase and reach from 2.8 to 2.85 days and the average spending will be 2.3 million VND/tourist. 

To accomplish this goal, the Department determined to further promote the promotion of tourism into key domestic and foreign markets, strengthen the state management of the business environment, tourism, travel management, tourist accommodation establishments, shopping establishments. Develop and put into operation strong tourism products, expand tourism space to increase attractiveness and extend the length of stay… 

According to the Quang Ninh Department of Tourism, in order to achieve the above results, in 2019, apart from continuing to focus on promoting through Roadshow programs to effectively exploit traditional markets such as China; Northeast Asia (Korea, Japan, Taiwan); ASEAN visitors (Singapore, Malaysia, Thailand…), Quang Ninh tourism industry has focused on promoting the development of large potential and high-paying tourist markets such as tourists traveling by ship, European visitors (England, France, Spain…). 

For the domestic market, focusing on promoting and exploiting domestic tourists from southern provinces to Quang Ninh via Van Don international airport. Collaborate with organizations, businesses, media agencies at home and abroad to organize Famtrip delegations, presstrips to localities and tourist destinations to enhance the effectiveness of advertisement. 

Closing Ceremony of National Tourism Year 2018 – Ha Long – Quang Ninh, ASEAN Tourism Forum 2019 (ATF 2019), North East Asia Tourism Forum Permanent Meeting (EATOP) towards the EATOP General Assembly in 2020 are major events of Quang Ninh tourism industry in particular and of Quang Ninh province in general, contributing strongly to Quang Ninh – Ha Long tourism brand. 

In 2020, many new tourism products of Quang Ninh such as Quang Hanh Cam Pha Onsen Resort; tourist service complex in Van Don; tourist destinations in Binh Lieu, Tien Yen… will soon be put into operation together with a series of new transport infrastructure projects. These will be important prerequisites for Quang Ninh Tourism to increase its attractiveness and create breakthroughs.

Read More

Flourishes in Attracting Investment in Can Tho | ANT Consulting

Can Tho has welcomed many large-scale investment projects from foreign and domestic investors come to set up company in Can Tho. 

The city has issued investment policy decisions for 18 domestic projects, with a total registered capital of over 25,046 billion VND and 9 projects with foreign direct investment (FDI) with a total registered capital of 65.28 million USD. Accumulated to date, Can Tho has a total of 103 domestic investment projects, with a registered capital of over 63,324.76 billion VND and 86 FDI projects, with a total registered capital of over 748 million USD. 

Business development situation of Can Tho also has positive changes. It is estimated that in 2019, the city issue new business registration certificates to 1,500 enterprises of all types, with a total registered capital of 11,500 billion VND, an increase of 7.37% in the number of businesses and an increase of 46.98% of registered capital compared to 2018, bringing the total number of active businesses to about 10,000; accounting for about 26% of all businesses in the Mekong Delta region. 

Over the years, Can Tho has invested strongly in the infrastructure system, especially the transport infrastructure, step by step completed in a synchronous and modern manner, better meeting the needs of socio-economic development and attracting investment not only for Can Tho, but also for the whole Mekong Delta region. 

In terms of maritime, the central port of Can Tho including Hoang Dieu and Cai Cui wharves has completed upgrading and basically completed to accommodate such vessels as 10,000 DWT full-load and 20,000 DWT to reduce loading. The shipping channel project for large vessels entering the Hau River has been completed and cleared with technical channels, creating favorable conditions for transporting import and export goods. 

Regarding aviation, Can Tho International Airport has strengthened the exploitation of more domestic routes to and from major cities in the country, along with two international routes to Thailand and Malaysia. Especially, from the beginning of 2020, the route of Can Tho – Seoul (Korea) operated by VietJet will officially open with the frequency of 3 flights/week. 

Regarding road traffic, as planned, in April 2021, Trung Luong – My Thuan expressway will be put into use. Along with that, the My Thuan – Can Tho expressway deployed to invest will connect smoothly and quickly Can Tho with Ho Chi Minh City – the largest economic center of the country. 

Besides, the investment promotion and image promotion of the locality are paid special attention. In 2019, the City has organized many missions to promote domestic and foreign investment cooperation, focusing on potential markets suitable to local investment attraction needs, such as Japan, Malaysia, Singapore, Czech Republic, Russia…

Read More

Bac Ninh Land Plots Promise to Create Strong Wave of Investment In 2020 | ANT Consulting

Bac Ninh’s land plot segment in 2019 has many positive changes and there has been no cooling in early 2020. With outstanding economic development and strong investment attraction, Bac Ninh is having all potentials and strengths to develop real estate investment and attract foreign investors to set up company in Bac Ninh. 

Bac Ninh fully converges all elements of the weather and favorable conditions with the geographical location favored by nature, socio-economic conditions for sustainable development in all aspects. Along with economic development, the real estate market in general is at the same time hot again. 

Over the past years, the whole country has witnessed the remarkable development of Bac Ninh province with the economic development speed and per capita income always in the top of the whole country. 

Bac Ninh attracts many large economic corporations in the world such as Samsung (Korea), Hong Hai (Taiwan), Canon (Japan), Microsoft, ABB, Foxconn… forming many large industrial zones. This has pushed the economy of Bac Ninh to develop strongly, the income and living standards of Bac Ninh people in general and people in the district area adjacent to Bac Ninh city in particular have also increased significantly. The quality of life is higher and higher. 

In addition, the expansion of large FDI projects in Bac Ninh has satisfied the employment needs for millions of workers and brought a large number of foreign experts to work in industrial parks and high technology zones. The number of employees is increasing but the infrastructure and services in Bac Ninh do not fully meet the strict requirements of experts, technicians, senior management of Korea, Japan, and Taiwan… Therefore, most of them rent houses in Hanoi or choose big hotels to stay. Experts say the shortage of supply is a good signal for real estate investors who want to pour capital into Bac Ninh, anticipating strong profit opportunities with huge customer demand. 

Especially, in the development plan, Bac Ninh is planned to become a city directly under the Central Government by 2022. That has made Bac Ninh becoming a magnet to attract many real estate giants coming to hunt for land funds for project development.

Read More

Super Energy Invests in 4 Solar Power Projects | ANT Consulting

The Board of Directors of Thailand’s Super Energy Corporation Company Limited (Super Energy) in late March 2020 sent a letter to the Thai Securities Commission announcing the decision to spend 456.7 million USD to set up business in Binh Phuoc, specifically into 4 solar power plant projects, including Loc Ninh 1 (200 MW), Loc Ninh 2 (200 MW), Loc Ninh 3 (150 MW) and Loc Ninh 4 (200 MW) in Binh Phuoc province (Vietnam). 

Previously, when approving this investment in the meeting on March 25th 2020, the Board of Directors of Super Energy stated that the above projects will help enhancing the business competitiveness of the enterprises. 

According to the announcement, the investment in Loc Ninh 1 is 99.7 million USD; in Loc Ninh 2 is 140 million USD; in Loc Ninh 3 is 105 million USD and in Loc Ninh 4 is 112 million USD. 

Specifically, only 72.9 million USD is planned to buy shares. Currently the first payment took place with the amount of 5.732 million USD. The remaining payments will be accompanied by detailed conditions such as when there is a land lease decision, construction permit, grid connection contract, land use right certificate, or certificate of eligibility for commercial electricity generation with the purchase price of electricity of 7.09 UScents/kWh… 

Thus, the remaining amount (383.8 million USD) is for the implementation of specific project construction.

The 456.7 million USD investment of Super Energy in 4 projects is estimated at 26.23% of the Company’s total assets. 

According to solar investors, the acquisition of projects or shares in this field is quite popular in recent years, because foreign investors want to shorten the time to process procedures in Vietnam because they are often not as fluent as the local businesses. 

Due to its experience in all fields and industries, and local understanding, many Vietnamese private enterprises have certain advantages in persuading the authorities to supplement the project that they proposed to the Power Planning when the competitive bidding mechanism to select project developers has not been applied since the Decision 11/2017/QD-TTg on solar power development, which was issued on April 2017.

Read More