Vietnam has become an ideal destination for international investors from India, Philippines, Singapore ... In particular, Ho Chi Minh City - the largest city in Vietnam with a population of 9 million people - is currently the most vibrant economic development center in the country.
The Landmark 81 - the highest 81-storey building in Vietnam and Southeast Asia built in 2018 - is considered a symbol of the prosperity of the city with a complex of commercial centers and luxurious hotels and high-class office space.
According to statistics, Vietnam is attracting huge FDI inflows from foreign investors. They are attracted by the abundant labor force, preferential policies from the Vietnamese Government and the positive influence from the US-China Trade War.
Since the US has imposed high tariffs on Chinese imports into its market, companies have tended to relocate their factories from China to neighboring countries, including Vietnam and Thailand. That increases export turnover to the US and Vietnam's economic development.
In addition, in 2018, Vietnam marked a major turning point in the automobile manufacturing industry with the VinFast brand - the automobile factory of Vietnam's largest private enterprise, VinGroup. At the Paris Motor Show last year, VinFast launched its first two models, LUX A2.0 and LUX SA2.0 with the appearance of world soccer superstar David Beckham, putting Vietnam on the map of automobile manufacturing countries in the world. VinFast automobile factory in Hai Phong uses AI (artificial intelligence) as a core tool to help produce up to 150,000 cars per year.
Answering the question of why VinGroup chose to enter the car manufacturing industry - one of the extremely competitive markets, Deputy General Director of VinGroup Vo Quang Hue said: "VinGroup hopes to build a famous global auto brand, contributing to the development of Vietnam's automobile manufacturing industry and setting the goal of exporting cars to markets in the near future. "
In addition, in Hanoi, the Vietnamese Government established Vietnam Silicon Valley to support the development of business ideas and startups. "Vietnam's technology startups are right behind some countries like Korea, Japan and Singapore, they are on the right track, and will boomingly develop and keep up with the world in the near future"
The Government of Vietnam is also implementing the construction of the Danang Information Technology Park with an investment of hundreds of millions of dollars expected to be completed in 2023. This will be one of the most advanced technology communities in Asia. Da Nang is expected to become the leading technology center of the country.
According to Finance and Economic Expert Nguyen Tri Hieu, the Vietnamese Government is making tremendous efforts to support startups not only in terms of policy, because the Government believes that they are the future of the country.
In addition, according to Mr. Hieu, to overcome the negative effects from the US-China Trade War, Vietnam should make the most of the benefits from free trade agreements such as EVFTA, CPTPP to diversify important export markets and create own names for their key export products.
Read more: "Doing Business in Vietnam 2018" – Useful guidebook for your endeavour to expand business in Vietnam