[Round-up] Vietnam Poised to Become Next Silicon Valley; Spandex Yarn Faces AD Probe in India

Tuan Minh

08:23 04/02/2016

BizLIVE - Vietnam has gathered factors to possibly become the world’s next Silicon Valley. India has initiated an anti-dumping investigation into spandex yarn imported from Vietnam.

[Round-up] Vietnam Poised to Become Next Silicon Valley; Spandex Yarn Faces AD Probe in India

Vietnam has gathered factors to possibly become the world’s next Silicon Valley. (Photo: neurovigil.com)

Vietnam’s real gross domestic product (GDP) growth accelerated to 6.7% in 2015, which Fitch forecasts as remaining roughly the same in 2016, the U.S. rating agency said in a press release.
“The conclusion of negotiations for a free trade agreement with the European Union in December 2015, and Vietnam’s inclusion in the TPP [Trans-Pacific Partnership], point to lowering trade barriers and enhanced access to key export markets in future,” the U.S. rating agency added.
Investment in real estate in Vietnam is forecast to surge thanks to global players, who have plans to boost their foothold here, said Alex Crane, general director of Cushman & Wakefield (C&W) Vietnam.
The Vietnamese government has been supporting foreign companies to settle down their operations here, Mr. Crane added.
U.S. fast food chain Burger King has closed two restaurants in Ho Chi Minh City as part of its plan to move them to other locations with more reasonable rents and stable contract terms, Managing Director of Burger King Vietnam (BKV) Nguyen Gia Thanh told the Dau Tu (Investment) newspaper.
The chain will expand its network in the city and in downtown Hanoi as well, Mr. Thanh added.
Total outstanding loans at banks in Vietnam grew 17.29% in 2015 from of 2014, lower than the 18% estimate of the central bank and industry insiders, according to data of the State Bank of Vietnam’s Credit Department.
T&T Group Eyes More Transport Hospitals
T&T Group, chaired by banking tycoon Do Quang Hien, has expressed its interest in buying majority stakes in two other hospitals under the management of the Ministry of Transportation, after acquiring the Vietnam Central Transportation Hospital,
T&T Group is eyeing stakes at two transportation hospitals in Vinh and Da Nang cities, as the local government is planning to privatize some other healthcare entities.
Everpia Scraps Foreign Holding Limit
Bedding producer Everpia, based in the northern province of Hung Yen, has got approval from State Securities Commission, Vietnam’s stock market watchdog, to increase the foreign ownership limit to 100%, from the existing 49%
The decision to slash the ownership limit came amid internal dispute between Everpia’s Korean chairman and CEO Jae Eun Lee and its large shareholder, Red River Holding.
Vietnam Internet Firm VNG to Buy 20% Stake in E-commerce Platform Tiki
E-commerce platform Tiki has reached a deal to secure $10 million funding from Internet company VNG Corporation, a source familiar with the development told the Deal Street Asia business newswire.
The Vietnamese major will take a significant minority stake of 20% in the e-commerce platform, the source added.
Meanwhile, the Dau Tu (Investment) newspaper cited its sources that VNG will invest $18 million in Tiki.
ABBank Appoints CEO
An Binh Commercial Bank, with a 20% stake owned by Malayan Banking Berhad (Maybank), has officially appointed Cu Anh Tuan, 46, to the general director post.
Tuan had been the caretaker general director of the bank since May 2015 when Pham Duy Hieu resigned for personal reasons.   
Vietnam May Become the Next Silicon Valley
There are some who believe Vietnam could even become the next Silicon Valley, British Broadcasting Corporation (BBC) reported.
“If you were here six or seven months ago, this was like a rice farm,” says Minh Nguyen Hieu, a Vietnamese-American investor and chairman of the Saigon Silicon City project.  
“But if you're here in six months, you will see Saigon Silicon City right here. We will build high-rise buildings, and along the river we will have a landscape with a park, and also a golf course and tennis, all kinds of entertainment,” he added.
Vietnam, Australia Seek TPP Trade Opportunities
Vietnamese and Australian businesses explored trade and investment opportunities that will be created by the Trans-Pacific Partnership (TPP) Agreement during a forum held in Sydney on Monday, according to the Vietnam News Agency.
The TPP plays a crucial role in trade relations between Vietnam and Australia, as it will supplement the ASEAN-Australia-New Zealand Free Trade Agreement (AANZFTA) and open doors for Vietnamese products to enter the two markets, said Minister of Industry and Trade Vu Huy Hoang.
Vietnam Gasoline Prices Touch 6-Year-and-A-Half Low
The price of 92 RON gasoline in Vietnam was been cut to 14,710 dong ($0.66) a liter on February 3, the lowest level since August 2009.
This was the third reduction in prices of gasoline in Vietnam from the start of this year.
India Initiates Anti-dumping Probe against Vietnam Spandex
India’s Directorate General of Anti-Dumping and Allied Duties has initiated an anti-dumping investigation on imports of elastomeric filament (spandex) yarn imported from China, South Korea, Taiwan and Vietnam.
This is the ninth anti-dumping investigation initiated by the Indian authorities against Vietnamese products.