Korean investors' projects are all aimed at advanced technology, very suitable for the company's selective investment attraction strategy.
Within the framework of activities commemorating the 30th anniversary of establishing diplomatic relations between Vietnam and Korea (December 22, 1992 - December 22, 2022), on the afternoon of April 15, the Hai Phong Economic Zone Authority (HEZA) coordinated with the Foreign Investment Agency and the Ministry of Planning and Investment to organize an Investment Promotion Conference with Korean businesses in 2019. 2022 with the theme “Hai Phong – Successful Destination”.
Speaking at the Conference, Mr. Do Nhat Hoang, Director of the Foreign Investment Department (Ministry of Planning and Investment) affirmed: "The attractiveness of the destination Hai Phong is not only for Hai Phong, because Hai Phong is the center of the northern key economic region, the gateway to Vietnam and because Hai Phong possesses many potentials and strengths".
According to Mr. Hoang, Korean investors' projects are all aimed at advanced technology, very suitable for Vietnam's selective investment attraction strategy and Hai Phong's dynamism. That is the opportunity for both sides to complement and support each other, so Korean investors have made very quick investment decisions, thereby contributing to the city's budget and social security. Hai Phong.
As of March 31, 2022, industrial parks (IPs) and economic zones (EZs) in the city. Hai Phong has 102 investment projects from Korea, with a total investment capital of more than 8.5 billion USD, accounting for 43.7% of total FDI investment capital in industrial parks and economic zones.
Total FDI investment attraction in all industrial parks and economic zones is 19.47 billion USD, accounting for 36.6% of the city's total FDI investment capital. Hai Phong. Projects mainly focus on the electronics and automobile industries such as manufacturing electrical and electronic products and components; automobile components and spare parts; machinery, equipment and plastic products...
Mr. Le Trung Kien, Head of HEZA, said that among Korean investors who have come to Hai Phong, the most prominent is LG Group, with 7 projects in Trang Due Industrial Park. These projects are all projects to produce high-tech products (audio-visual, mobile, household and refrigeration equipment to supply the global market).
All 7 LG projects have a total investment capital of 7.24 billion USD, accounting for 84.9% of total FDI investment capital in Trang Due Industrial Park. It is worth mentioning that LG's network of satellite and auxiliary manufacturing projects was formed with more than 50 investment enterprises in Trang Due Industrial Park with a total investment capital of nearly 1 billion USD.
“LG Group's complex of projects has made many positive contributions to the city's socio-economic development, promoting the modernization of industry, applying high technology in production, forming linked production chains between foreign and domestic enterprises, increasing the localization rate of production and developing supporting service industries; at the same time, solving the city's large employment needs, maintaining revenue. stable income for workers," Mr. Kien affirmed.
In 2021, revenue of businesses with investment capital from Korea reached 13.1 billion USD; export value reached 13.59 billion USD (of which, LG's ecosystem was 12.4 billion USD); Import value reached 12.13 billion USD, contributing to the budget about 3,249.02 billion VND, equivalent to 142 million USD (LG's ecosystem alone contributed more than 95.3 million USD).
The total number of employees working at enterprises with investment capital from Korea is about 40,940 people. Of these, there are 39,230 Vietnamese workers and 1,710 foreign workers; Average income is about 10,500,000 VND/person/month.
It is expected that in 2022, the total number of Korean investors who need space that the Hai Phong Economic Zone Management Board and companies investing in developing industrial park and economic zone infrastructure are approaching and exchanging information is more than 20 investors, with a total need of about 200 hectares, total expected investment capital of about 2-4 billion USD, create an additional 10,000-12,000 jobs.
Hai Phong currently has Dinh Vu-Cat Hai Economic Zone (total area of 22,540ha) located in 5 groups of national key economic zones and 25 planned industrial zones (total area of 12,702ha). Dinh Vu-Cat Hai Economic Zone is planned as a general economic zone, a multi-industry and multi-sector marine economic center, a modern industrial, commercial and tourist urban area, becoming a driving force for the development of Hai Phong and the provinces of the Northern key economic region, and is the gateway to integration of Vietnam.
Hai Phong has 12 industrial zones that are implementing infrastructure investment, construction and business activities, of which 8 zones are located in the Dinh Vu-Cat Hai Economic Zone with an area of 5,230 hectares. During the 2021-2025 period, the City is expected to deploy the construction of 15 new industrial parks with a total area of over 6,200 hectares. This will be a source of clean space to attract investors to Hai Phong.
At the event, HEZA introduced the potential, advantages, investment opportunities, and policies to attract investment into Hai Phong; listen to the opinions of Korean investors and businesses, remove difficulties and obstacles for businesses during the implementation of projects in industrial parks and economic zones.
Mr. Min Moon Ki, Commercial Attaché, Representative of the Korean Embassy in Vietnam, said that in 2022, the Governments of the two countries will raise the cooperation framework to a comprehensive level and Hai Phong will have important contributions in this relationship.
“This year, we will witness a new wave of investment in Vietnam with large capital and advanced technology. Hai Phong is a locality that has the advantage of being close to Hanoi and has developed infrastructure, so investors always prioritize considering the destination Hai Phong", Mr. Min Moon Ki shared.
The conference witnessed many agreements being signed.
Cooperation agreement between the Center for Investment Promotion and Employment Services of Hai Phong Economic Zone and Joint Stock Commercial Bank for Foreign Trade of Vietnam Hai Phong branch on cooperation in providing banking and financial services for projects and businesses in industrial parks and economic zones in the City.
Memorandum of understanding between Deep C Industrial Park and LogisValley HTNS Co., Ltd. on research on solar panel roof installation.
LogisValley HTNS Hai Phong logistics center is an optimal circulation center that reflects customer needs by combining KNOW-HOW. Operating the circulation center is Hanaro TNS, a composite materials company based on Korea's representative logistics information technology solution.
LogisValley HTNS Hai Phong logistics center has a construction area of 39,755m² and cold storage area of 19,877m². The warehouse is under construction and expected to be rented from July 2022 after completion at the end of June 2022.
Also at the Conference, Mr. Le Trung Kien, Head of HEZA, awarded the Certificate of investment capital increase adjustment to Halla Electronics Vina Co., Ltd. (Trang Due Industrial Park) with an additional capital of 30 million USD.
Thu Le, Thanh Son
thanhphohaiphong.gov.vn
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