[Round-up] Foreign Firms in Vietnam Post $8.34 Billion Trade Surplus, Canadian Biz Welcomed

Tuan Minh

19:12 16/06/2016

BizLIVE - Deputy PM Vuong Dinh Hue has encouraged Canadian enterprises to invest in a wide range of fields in Vietnam. Foreign-run companies reported a trade surplus of $8.34 billion in the January-May period.

[Round-up] Foreign Firms in Vietnam Post $8.34 Billion Trade Surplus, Canadian Biz Welcomed

Deputy PM Vuong Dinh Hue shakes hands with President and CEO of Canada's Northstar Scott M. Shepherd on June 15. (Photo: VNA)

Foreign Firms in Vietnam Post Trade Surplus of $8.34 Billion in Jan-May
Foreign-invested enterprises recorded a trade surplus of $8.34 billion in the first five months of this year, compared to a surplus of $2.61 billion in the same period of 2015, according to data of the General Department of Vietnam Customs (GDVC).
Their exports increased 9.4% year-on-year to $47.13 billion while imports declined 2.8% to $38.8 billion.
Vietnam Reports $177 Million Trade Deficit in May: Customs
Vietnam incurred a trade deficit of $177.26 million in May, causing the surplus to narrow to $1.64 billion in the first five months of this year, data of GDVC showed.
Between January and May, Vietnam’s export turnover increased 6.2% year-on-year to $67.44 billion while imports slid 1.7% to $65.8 billion.
Vietnam Invites Canadian Businesses to Invest
At a meeting with a group of visiting Canadian businesses on June 15 Deputy Prime Minister Vuong Dinh Hue encouraged Canadian businesses to invest in the fields of consultancy, finance and credit to support small- and medium-sized businesses, and called for foreign private risk investment funds to assist the startup community in Vietnam.
The Vietnamese government has taken measures to increase macro-economic stability and restructure key sectors such as finance and banking, state-owned businesses, industrial production, agriculture and public investment, along with drastic efforts to improve the business and investment environment to improve national competitiveness, the deputy PM added.
Seminar Discusses Development of Vietnam’s Private Sector
Business players and experts discussed ways to develop the private sector towards realizing the country’s goal of becoming a modern industrialized country by 2035 during a seminar held in the central city of Da Nang on June 15, the Vietnam News Agency reported.
Economist Pham Chi Lan called for a favorable environment to enhance the private sector’s competitiveness and productivity, comprehensive reform of state-owned enterprises, market-oriented agricultural reform, tapping external trade opportunities, and joining global value chains.
Int’l Fairs to Connect Support Industry Firms
The Ho Chi Minh City Investment and Trade Promotion Center, the Japan External Trade Organization (JETRO) and Thailand’s Reed Tradex Company on June 16 signed an agreement to hold international fairs and business connectivity programs for Vietnam’s supporting industries, VNA reported.
JETRO Chief Representative in Ho Chi Minh City Hirokata Yasuzumi called for raising domestic supply, adding that JETRO will give priority to new exhibitors who are yet to join any support industry’s business alliance fairs, not only those from Ho Chi Minh City but also adjacent provinces.
Romania Looks to Invest in Transport Infrastructure in HCM City
Romanian businesses want to invest in Ho Chi Minh City, particularly in transport infrastructure and urban development, said Vlad Vasiliu, state secretary of the Romanian Ministry of Economy, Trade and Business Environment.
He made the statement when leading a senior delegation to meet with Tran Vinh Tuyen, vice chairman of the HCM City People’s Committee, in the southern city on June 15.
Vietnam Hopes to Expand Economic Ties with South Korea: Deputy PM
Deputy Prime Minister Vuong Dinh Hue has affirmed Vietnam’s wish to further elevate its comprehensive economic partnership with South Korea, during a roundtable on business cooperation between the two countries in Hanoi on June 15, according to VNA.
He called on South Korean businesses to invest more in areas like the manufacturing industry, electronics, automobiles, finance and banking, high quality services, creative products development and infrastructure, as well as startup projects.
1337 Ventures: Vietnam Ecosystem Doing Well
The Vietnamese startup ecosystem is growing in strength as the government has introduced new initiatives to build a sustainable and advanced ecosystem for startups in Vietnam, Bikesh Lakhmichand, CEO and founder of 1337 Ventures, told VNA.
At our fintech program last year held in Malaysia, we noticed there were some amazing fintech startups from Vietnam. We were impressed with how far such a small team could go and in such a short duration. That’s when we started keeping a close eye on Vietnam’s ecosystem, he added.
VinaCapital Vietnam Opportunity Fund (VOF), a fund run by Ho Chi Minh City-based money manager VinaCapital, and DEG, a member of KfW Group, are finalizing an investment of nearly $30 million in An Cuong Wood Working JSC (An Cuong).
VinaCapital will put 70% of the capital in the deal while the German firm will finance the rest.
Formosa Plastics Group, a leading Taiwanese industrial conglomerate, will not start operating the first furnace of its steel complex in the Vung Ang Economic Zone in Vietnam’s central province of Ha Tinh on June 25 as scheduled, Taiwan’s Central News Agency (CNA) reported.
No new schedule for the kickoff of production has been set, CNA quoted Chang Fu-ning, vice president of Formosa Ha Tinh Steel Corp (FHS), as saying.