VN, South Korean firms join business matching event

The event, “The Vietnam-Korea Business Matching”, have been jointly held by Korea Industrial Complex Corp (KICOX) and the Vietnam Chamber of Commerce and Industry (VCCI).

KICOX, an industrial complex management and supervision agency, was established in 1964 after integrating five regional industrial complex management corporations.

The 14 Korean firms joining the event operate in industrial machinery, information technology, electronics, semi-conductor production, solar energy, foodstuffs, fashion and cosmetics.

“They are the most outstanding ones who have joined the latest event,” said Chae Byeong Yong, KICOX general director and senior director of Chungcheong Areas Headquarter.

“This is the fourth of such business matching event organized by KICOX recently, aiming at boosting bilateral trade and deeper bilateral market penetration,” he said.

“Bilateral deals signed in the last 3 events totally amounted to some $7.7 million, of which the value reached $5.6 million in the first time, and slipped to $1 million and $1.1 million in the next two events.”

“The reduction in deal value was caused by the world economic turbulence.”

“Korean businesses not only want to increase trade promotion and export-import activities, but also develop trademarks and relations with Vietnamese partners,” he added.

The two countries’ businesses should share information on products and market prices to seek customers and strategic partners, said Nguyen Doan Thong, representative of the VCCI branch in HCMC.

“In the last two years, Korea has become Vietnam’s second largest supplier, surpassing Japan, with main export commodities including garment materials, leather and footwear, machinery, equipment, spare parts and plastics,” he said.

“The Korea has also Vietnam’s fourth largest importer in the world, with key products like farm produce and footwear worth nearly 4 per cent of Vietnam’s total annual exports,” he added.

Regarding difficulties Korean firms are facing when doing business in Vietnam, Chae Byeong Yong said the biggest thing to concern is the slow progress of infrastructure projects.

Minor things include different culture in working, like Vietnamese often takes a nap in the afternoon, while Korean does not, he said.

“We are getting used to have a brief lunch to have time to work in the afternoon.”
“Another disadvantage of Vietnamese business sector is the lack of technologies.”

“But, above all, Vietnam has a good annual growth rate and a young and dynamic demographic.”

“So, the country should focus on improving its infrastructure and simplifying bureaucratic procedures,” he added.