“They expect to approach investors who are looking to either invest in new plants or relocate their operating facilities to Vietnam in the sectors of electronics, electricity, consumer goods, food processing, logistics, and renewable energy,” said Nguyen Dinh Nam, founder and CEO of IPA Vietnam.

“Garment and textile, leather shoes, as well as labour-intensive sectors are not priority sectors because industrial parks’ land fund for these sectors has been narrowed down,” he added.

The Belt & Road Summit 2020 also offers many opportunities for the younger generation too look into developing their businesses and harness their creativity. A panel of young entrepreneurs will share their experiences and views on how new entrepreneurs can grasp opportunities arising from the initiative, VIR reported.

Regarding enterprises from Vietnam in particular, they had opportunities to join business matching meetings between enterprises from Vietnam and the Federation of Hong Kong Industries, Hong Kong Electronic Industries Association, as well as the Hong Kong-Vietnam Chamber of Commerce to introduce investment opportunities in Vietnam.

Nguyen Thi Thu Huong, general director of Kinh Bac City Development Holding Corporation told VIR, “Kinh Bac is proactive in approach and set up appointments with target investors to introduce our industrial parks and discuss the investment environment as well as incentives of Vietnam in general and Kinh Bac’s industrial park in particular.”

“After the event, we will keep in touch with the investors via phone, email, and online meetings so that the two parties can get to know each other. We target luring in foreign investors in manufacturing and processing, logistics, as well as investment funds and consultancy units,” Huong said.

Thanks to thorough connection activities during and after the events, numerous foreign investors decided to visit Vietnam for fieldwork or invest in projects.

According to the statistics from IPA Vietnam alone, three companies confirmed to develop plants in Vietnam, including Xingtechnology Electronics which manufactures various sensing products (conductive, infrared and IoT sensors), Shenzhen-based safety devices manufacturer Tower Switches Ltd.,and American Hygienics Corporation, one of the largest private label manufacturers of wet wipes in Asia and the largest baby wipe manufacturer in China with an investment of $30 million. The wipe manufacturer plans to develop a facility in Vietnam with the starting investment of $5-6 million and it expects to begin exporting products in 2021.

“They had already made the final decisions, however, these investments have been delayed due to COVID-19 pandemic. They will arrive to Vietnam right after the flights are opened again. They are high-tech projects that are not labour-intensive, which suits the new-generation foreign investment attraction strategy,” Nam said.

Besides this, many groups arrived in Vietnam for field works via other channels, including the Hong Kong Trade Development Council. These include Graphic Arts Association of Hong Kong, environmental printing service provider Green Production (Overseas) Group, and Safe Power Printing & Box Manufacturing Co., Ltd. which offers total customer support throughout the production process, enhancing communications and efficiency.

“Their projects match Vietnam’s new-generation FDI attraction orientations and investment ­incentives focusing on output quality and contributions to the domestic sectors,” Nam said.

Author: Oanh Nguyen