[Round-up] Works on Saigon Silicon City Starts, Car Sales Hit Year-High Record

Tuan Minh

17:44 10/11/2015

BizLIVE - Saigon Silicon City JSC on Tuesday kicked off the construction of the Saigon Silicon City in Ho Chi Minh City. Car sales in Vietnam hit year-to-date high in October.

[Round-up] Works on Saigon Silicon City Starts, Car Sales Hit Year-High Record
Italy to Aid Vietnam in Building Apparel, Footwear Centers
The Italian government will help Vietnam set up two technology centers for the apparel and footwear industries next year, with a facility to be built in Ho Chi Minh City University of Technology.
Italy will send machinery, technologies as well as experts to aid Vietnam in developing these two industries them, said a trade officer of the Italian Embassy in Vietnam last weekend, on the occasion of Italian President Sergio Mattarella’s visit to the Southeast Asian country.
Work on Saigon Silicon City Starts
Saigon Silicon City JSC, chaired by overseas Vietnamese Nguyen Minh Hieu, on Tuesday kicked off the construction of the Saigon Silicon City in the Saigon Hi-tech Park in Ho Chi Minh City.
The project, which follows the U.S.’s Silicon Valley model, will have an investment of $40 million and be developed on an area of 52 hectares.
Once finished, the Saigon Silicon City will have infrastructure and services ready to host domestic and foreign hi-tech companies to set production bases there.
Vietnam No. 1 Bank Estimates 2015 Profit at 3.5 Trillion Dong in 2015
Vietnam Bank for Agriculture and Rural Development (Agribank), the country’s largest lender by assets, expects to earn a pretax profit of 3.5 trillion dong ($155.6 million) this year, an 8.6% year-on-year rise.
At the end of October 2015, the bank’s total mobilization increased 11.3% from the end of 2014 to 768 trillion dong ($34.13 billion) while its credit expanded 9.2%. Its bad debt ratio was put at 2.41%.
Vietnam Car Sales Hit Year-high Record in October  
Car sales in Vietnam reached 22,368 in October, the highest volume since the start of this year, according to the Vietnam Automobile Manufacturers’ Association (VAMA).
Sale volume hit 185,811 autos in the first ten months of this year, rising 53% from the same period of last year and surpassing a total of 157,810 in the whole 2014.
VietJetAir Signs Deal to Buy 30 Airbus Planes for $3.6 Billion
Low-cost carrier VietJetAir has signed a deal worth $3.6 billion to acquire 30 A321 aircraft from Airbus, aiming to serve its plan to expand to the Asian region. The jets will be delivered between 2016 and 2020.
VietJetAir now operates 29 A320 and A321 planes on 35 domestic and foreign air routes.
Japan Firm to Build Furniture Production Plant in Southern Vietnam
Nitori Ba Ria-Vung Tau Company, a subsidiary of Japan’s Nitori Holdings, has won a license to develop a manufacturing wooden furniture plant at a cost of $150 million in the southern province of Ba Ria-Vung Tau.
The plant, which is slated for operation in 2017, will provide 8,000 interior and exterior wooden furniture items for export a day.
Vietnam to Benefit from Immediate TPP Tariff Removal
After the Trans-Pacific Partnership deal comes into force, member countries of the trade bloc will immediately eliminate considerable tariffs on imports from Vietnam, enabling Vietnamese exporters to get wider access to the world’s leading markets such as the U.S., Japan, Canada and Australia.
Tariffs on imports from Vietnam will be abolished five to ten years after the TPP trade agreement takes effect, a Ministry of Finance official said at a press briefing on Monday.
U.S. to Abolish Sizeable Tariffs on Vietnam Imports under TPP Commitments
The United States will remove nearly 100% of tariffs on imports from Vietnam under commitments of a mammoth Pacific Rim trade deal.
The U.S. will abolish 55.4% of import tariffs on Vietnamese farm produce as soon as the Trans-Pacific Partnership (TPP) agreement comes into force. From the 10th year onwards, the U.S. will eliminate as many as 97.4% of tariffs on Vietnamese produce.
A large number of other Vietnamese export staples such as apparel, footwear to America will enjoy zero tariffs.  
Vietnam Economic Growth Set to Quicken to 6.7% in 2016
The National Assembly (NA), Vietnam’s top legislative body, on Tuesday unanimously approved a socio-economic plan for 2016 under which the local economy is set to grow 6.7%, the highest rate since 2011.
Vietnam Parliament Asks Government to Control Public Debt
The National Assembly (NA) has requested the government to closely control the nation’s public debt, government debt and foreign debt in the context the nation’s public debt is approaching the permitted ceiling.
A number of NA deputies have voiced concerns that the country’s public debt would have already surpassed the permitted cap if debts of state-owned enterprises, insurance companies, commercial banks and infrastructure project were included.
Singapore, Japan Investors Eye to Acquire Stake in Vietnam Retailer Media Mart
Media Mart Vietnam Corporation (Media Mart), among the leading electronics retailers in Vietnam, is in talks with investors from Singapore and Japan for funding injection, Nguyen Thanh Hai, the firm’s marketing director, told the Vietnam Economic newspaper.
Saigon Tourist to Divest from Saigonbank
Tour operator Saigon Tourist has announced the divestment of its entire 3.495 stake in Saigon Bank for Industry and Trade (Saigonbank), part of its plan to withdraw from 31 non-core enterprises by this year end.
The share auction will take place on December 2.