In the context of enormous challenges caused by Covid-19, many companies consider diversifying their manufacturing and supply chain in order to stay resilient and competitive. To attract companies to explore Viet Nam as a possible destination for their investment, the Viet Nam Embassy in Singapore, together with the Viet Nam Ministry of Planning and Investment, as well as the Singapore Manufacturing Federation (SMF) organised the Webinar “Leveraging on Vietnam for your investments” on 17th August 2020. More than 300 participants attended the Webinar.
Speaking at the webinar, Deputy Minister of Planning and Investment Tran Quoc Phuong said “Vietnam encourages Singaporean companies to invest in high-technology sectors, innovation centres, research and development facilities, infrastructure in industrial zones (IZs), as well as the processing and manufacturing industries, supporting industries, and the equitisation of state-owned enterprises”. Singaporean investors have found success in infrastructure and IZ development in Vietnam. Vietnam-Singapore Industrial Park, a joint venture between a Singaporean consortium led by Sembcorp Development Ltd. and local group Becamex Corporation, is developing nine projects covering 8,600 hectares in total and has grown into a symbol of the two countries’ friendship. Besides this, Singaporean names like Ascendas, Boustead Projects Ltd., and Mapletree also operate large-scale industrial property projects in Vietnam.
In her remarks, H.E. Tao Thi Thanh Huong, Vietnamese Ambassador to Singapore, said “While Singapore has advantages in financial resources and science-technology knowhow, Vietnam has market potential, land, and human resources. There are great opportunities for cooperation and investment to capture the gains of these synergies”. She also called on Singaporean SMEs to explore investment opportunities in many cities and provinces in Vietnam, besides big cities like Hanoi, Ho Chi Minh City, and the central city of Danang, where there is little vacant land left and competition is quite fierce. “Vietnam welcomes all Singaporean investors and corporations to invest in its cities and provinces that offer great development potential and ample land, along with strong support from the local government to ensure the good performance of investment projects,” Huong added.
Mr. Douglas Foo, president of the Singapore Manufacturing Federation (SMF) and co-chairman of the Vietnam-Singapore Business Council confirmed, “Thousands of Singaporean manufacturers are interested in Vietnam, which is an ideal destination to invest in manufacturing, particularly in smart cities, energy, and new areas involving Industry 4.0 and startups”. The SMF champions the Singaporean manufacturing sector. With over 3,000 corporate members ranging from multinational corporations to small- and medium-sized enterprises (SMEs), such as Absotech, Daishin Engineering, Equiptest Engineering, Flexspeed Technology, and Hydratech Industries, the federation, which has successfully carried out a myriad of mutually beneficial investment and trade promotion activities with regional countries, will bring billion-dollar investment projects to Vietnam in the time coming.
At present, Singapore is the third-largest foreign investor in Vietnam with more than $55 billion in total investment capital and 2,554 projects. In the first eight months of the year, Singapore is the biggest foreign investor with $6.54 billion in registered investment, making up 33.5 percent of the country’s total foreign investment inflows.