IBM has appointed Eric CW Yeo to chief executive officer of its Vietnam unit starting January 12, substituting Jee Toon Tan, who will be in charge of IBM ASEAN’s business analytics solutions.
The appointments are part of IBM’s strategy to become a business solutions company based on cognitive business and cloud computing, according to ICTNews.vn
E.SUN Plans to Establish Banking Unit in Vietnam
Taiwanese bank E.SUN, the first branch of which opened in Dong Nai province last September, plans to open a 100% foreign-owned subsidiary in Vietnam as the Vietnamese market has much potential for financial and banking services, according to the Vietnam Investment Review.
Vietnam is important in E.SUN’s Asian strategy and in Vietnam the banks targets not only Taiwanese companies but also Vietnamese and other foreign companies, said Huang Nam Chou, general director of E.SUN.
He added that E.SUN was going to expand to individual Vietnamese customers as well, not just companies, thanks to Vietnam’s rising income per capita and demand for consumer loans.
U.S. Tops Export Partners of Vietnam Province
Vietnam’s province of Dong Nai exported more than $4 billion worth of goods to the U.S. while importing $1 billion from that market in 2015, making the U.S. its leading trade partner, said a provincial official.
The province’s trade turnover with Japan and six ASEAN countries including Indonesia, Thailand, Cambodia, the Philippines, Singapore and Malaysia, reached approximately $1.9 billion and over $2.1 billion, respectively.
Ho Chi Minh City’s taxman has told Uber that it must declare and pay taxes as the ride-sharing service provider has consistently refused to do so, otherwise it will face possible fines for tardiness in tax declarations and payments, according to a tax official.
Uber has about 4,000 taxis operating in HCM City. Its parent company is located in the Netherlands, according to the Transport Department.
Meanwhile, the Vietnamese unit of Uber has registered only as a marketing company. Thus Uber has paid only taxes for marketing fees it receives from the Amsterdam-based Uber B.V.
Long An Province Leads Mekong Delta in FDI Attraction
The Mekong Delta province of Long An granted investment licenses to 105 FDI projects with a total registered capital of $904 million in 2015, making it the leading destination for foreign investment in the region, according to the Vietnam News Agency.
The province has attracted 680 projects from 34 countries and territories with a total registered capital of $4.5 billion to date.
It is home to 28 industrial zones with a combined area of 10,000 ha. Sixteen of these zones are operational with occupancy rates of 50%.
Ban Imposed on Russia Travel Firms May Hit Arrivals to Vietnam
Tourism industry insiders are worried about a sharp decline in Russian arrivals to as three major tour operators have failed to secure license renewals in Russia, the Thanh Nien (Young People) newspaper reported.
Pegas Touristik, Anex Tour and Coral Travel, which bring 70% of the Russian tourists to Vietnam, are among 19 companies unable to secure license renewals last month, which means they will not be allowed to run tourism operations in Russia.
Australian Firm Eyes to Boost Software Industry in Central Vietnam
Australia’s WorrkWithAnyOne Company has expressed hopes to cooperate with universities, schools and information technology (IT) centers in the central province of Thua Thien-Hue in IT training and software development, said its Director Ken Standfield.
Vice Chairman of the provincial People’s Committee Phan Ngoc Tho pledged to create favorable conditions for the Australian firm to invest in human resource training and the software industry in the province.
Vietnam Car Sales Hit Record High in 2015: VAMA
Auto sales by members of the Vietnam Automobile Manufacturers’ Association (VAMA) increased 55.2% year-on-year to 244,914 units in 2015, setting an all-time record high, beating earlier forecast of 200,000 units for the year.
The number of passenger cars sold in the year soared 43% year-on-year to 143,392 units while sales of commercial vehicles and special purpose vehicles stood at 89,327 and 12,195 units.
Truong Hai Auto Corporation (Thaco) took the lead with 80,421 vehicles sold, rising 90% from a year earlier and taking a 38.6% market share.
Some 37% of German companies surveyed in 2015 confirmed plans to establish new operations or expand current operations in Vietnam, which has a rapidly growing market, Marko Walde, chief representative of the German Industry and Commerce Vietnam, told the Vietnam Investment Review.
Around 300 German companies, including big players such as Siemens, Mercedes and BMW, are already operating in Vietnam.
The market capitalization of Hochiminh and Hanoi stock exchanges dropped 46.17 trillion dong ($2.05 billion) since the start of this year through January 11. The VN Index lost 3.3% and the HNX Index 4.7% in the period due to turmoil in the international financial market.
State-controlled Vietnam Airlines (VNA), the largest air carrier in the country, has signed a memorandum of understanding under which the airline will sell an 8.8% stake to Japan’s All Nippon Airways (ANA) for $108 million, VNA has said in a press release.
The partnership will mark ANA’s first investment in a foreign flag carrier, as well as the first time Vietnam Airlines receives funds from a foreign company, according to the Nikkei Asian Review.
Ho Chi Minh City, Vietnam’s largest economic engine, will set up a Japan desk this year to support Nippon investors in anticipation of a strong investment wave from the Northeastern Asian country, according to the city’s website and Saigon Times newspaper.
The city is targeting investors from other five major markets namely the U.S., Canada, New Zealand, South Korea, and Australia in 2016 as the country is seeking to reduce economic reliance on China.