Foreign investment attraction - silver lining in Hung Yen province

Foreign investment attraction - silver lining in Hung Yen province (Photo: baohungyen.vn)

Hanoi – Foreign investment attraction has been considered a bright spot in the northern mountainous province of Hung Yen, generating jobs, contributing to the State budget revenue while becoming a crucial driving force for the locality’s socio-economic development.

According to the provincial management board of industrial parks, in the first half of 2023, the province attracted more than 360 million USD of foreign investment capital, of which 251 million USD came from 18 newly registered projects and 99 million USD from 19 existing projects with additional capital.

As of May 2023, there were 520 valid foreign invested projects in local industrial parks, with a total registered capital of over 7.1 billion USD.

Foreign invested projects focus on a number of areas such as electrical and electronic equipment components, informatics, mobile phones, manufacturing products from steel, aluminum and aluminum products, metal processing; spare parts for automobiles and motorcycles, among others.

Many projects are operating effectively in the province such as projects of Toto Vietnam Co., Ltd (403 million USD), Kyocera Vietnam Co., Ltd (379 million USD), Mektec Manufacturing Vietnam Co., Ltd (300 million USD), Hoya Glassdisk Co., Ltd (214 million USD), Canon Electronics Vietnam Co., Ltd (128 million USD), among others.

The engagement of FDI businesses in several industries is a significant factor to boost economic restructuring towards modernity, contributing to developing a dynamic economic environment while increasing production capacity in the locality.

Besides, foreign capital flows also help the province to beef up exports, increase budget revenue, and boost its Gross Regional Domestic Product (GRDP).

In 2022, domestic budget revenue from foreign invested enterprises in the province’s industrial parks reached more than 2.8 trillion VND (118 million USD).

Job creation is one of the important and undeniable contributions of foreign investors in the province, which have so far generated jobs and stable incomes for over 78,000 local labourers.

In addition to direct jobs, the FDI sector has also created indirect jobs for millions of workers in supporting industries or other enterprises in the supply chain of goods for businesses in this sector.

Foreign investment attraction - silver lining in Hung Yen province hinh anh 2

As of May 2023, there are 520 valid foreign invested projects in local industrial parks, with a total registered capital of over 7.1 billion USD. (Photo:baodautu.vn)

Pham Truong Tam, head of the provincial management board of industrial parks, said that the quality of labourers in foreign-invested enterprises in the province has improved markedly through internal training system, from on-the-spot and overseas training.

In late June 2023, Tran Quoc Van, Chairman of the provincial People's Committee had a meeting with Japan’s Sumitomo Corporation. During the meeting, the group's representative thanked the province for creating favourable conditions for Japanese businesses to operate and expressed a desire to expand the company's operations at Thang Long II Industrial Park.

The industrial park currently has 104 foreign investment projects, with a total registered capital of about 3.274 billion USD, mainly from Japanese investors such as Kyocera, Hoya, Nippon, Daikin, Toto and Panasonic.

Nguyen Huu Nghia, Secretary of the provincial Party Committee, affirmed that the province has focused on attracting investors, large-scale enterprises, multinational companies, businesses with a leading role in regional and global supply chains, large-scale, hi-tech and environmentally friendly industrial and service investment projects.

The province is committed to continuing to further promote administrative procedures reforms, building a government that fabricates, serves, and creates more attraction for domestic and foreign businesses, he added.

Hung Yen is striving to become a smart, green urban area with modern infrastructure.

Its GRDP is expected to grow 8 per cent per year from 2021-2025 and 8.5 per cent from 2026-2030, while its social investment is set at about 250 trillion VND and 450 trillion VND in the two periods, respectively.

By 2025, the local poverty rate is projected at below 1 per cent and the rate of trained labourers will reach 71per cent of the local workforce.

Hung Yen will work to soon complete its planning scheme for 2021-2030 with a vision towards 2050, ensuring its contents match the new situation.

It will also concertedly and effectively roll out programmes, directives, projects, resolutions and conclusions of the provincial Party Committee and the committee's standing board on socio-economic affairs.

The provincial will urge investors to speed up technical infrastructure building, continue to put into operation industrial parks and clusters, push ahead with site clearance, further improve the investment environment and ensure social welfare, becoming a bright spot in terms of socio-economic development, national defence and security in the Red River Delta.

Hung Yen boasts FDI investment appeal Foreign direct investment (FDI) has become Hung Yen’s highlight, making significant contributions to the province’s socioeconomic development by creating jobs and increasing revenue for the provincial budget.

Hung Yen lures in $374 million to industrial zones Industrial zones in the northern province of Hung Yen have taken in $374 million in newly committed and supplemental capital so far this year, bringing total cumulative investment to nearly $7.2 billion.

Hung Yen focuses on high-tech and supporting industries By prioritising large-scale projects in high-tech and supporting industries along with developing associated facilities, Hung Yen province is creating leverage for economic development.