Dong Nai is the destination of many Korean businesses

​Up to now, Korean enterprises have invested in more than 420 projects in the province with a total registered capital of about 7 billion USD. Korea has become the country with the largest investment capital in the province among 45 countries and territories that have had projects in Dong Nai.

Fabric production at a Korean company in Nhon Trach 6 Industrial Park.

* Investment capital increases rapidly

Within nearly 1.5 years, from the end of 2019 to May 2021, despite the Covid-19 epidemic, Korean businesses still invested nearly 500 million USD in the province. Although the wave of Korean investment in the province has slowed down compared to the time before the epidemic occurred, it was still leading among the countries and territories investing in Dong Nai.

Mr Kang Myongil, Consul General of Korea in Ho Chi Minh City said: “In 2020 and the first months of 2021, many Korean enterprises want to make new investments and expand investment in Dong Nai but limited by the epidemic due to Covid-19, many projects were delayed and could not be implemented. Here, when the epidemic is controlled, the trade between the two countries returns to normal, there will be a wave of Korean businesses coming to the province to invest in."

From the beginning of 2020 until now, a number of Korean corporations with large investment capital in the province are Chang Shin Group with investing nearly 100 million USD in Tan Phu Industrial Park (Tan Phu district), Hansol Technics Group with investing at Ho Nai Industrial Park Phase 2 (Trang Bom District, Bien Hoa City) is about 100 million USD, Intops Group invests in Amata Industrial Park (Bien Hoa City) 30 million USD...

Mr. Kim Byunggi, General Director of Hansol Electronics Vietnam Hochiminhcity Co., Ltd (belonging to Hansol Technics Group) in Ho Nai Industrial Park phase 2 shared: “Hansol Technics Group decided to invest in a factory manufacturing all kinds of electronic components in Dong Nai to supply Samsung Group. Because this is a developed industrial area, convenient transportation, so if the factory is located in the province, the transportation of goods will be fast and at the same time it will be easier to find more partners to supply input products.

*Still an attractive destination

Mr Park Hyun Bae, Chairman of the Korean Business Association in Dong Nai said: "Dong Nai still has a lot of potential for FDI enterprises to invest in the fields of industry, energy and services trade..., especially the supporting industry. Recently, despite the epidemic, many Korean businesses still asked the Association to support information about Dong Nai with the expectation that, when the Covid-19 pandemic subsides, easier to travel to the province to register for the project”.

According to Mr Park Hyun Bae, many Korean corporations are looking to rent a large area of ​​land in the province to carry out large projects to produce electronic components, fabrics for the textile, footwear, and machine equipment industries. These are all areas that the province is giving priority to calling for investment to contribute to increasing the localization rate for products exported to countries that have signed free trade agreements.

Vice Chairwoman of the Provincial People's Committee Nguyen Thi Hoang emphasized that from now to 2025, the province will continue to prioritize attracting FDI in the field of supporting industries, high-tech projects with high added value to contribute to economic development. The provincial government has always committed to creating favorable conditions for businesses investing in Dong Nai to operate effectively.

In the coming time, Dong Nai will continue to be the destination of many FDI enterprises, including Korean enterprises. The province is completing procedures to open new and expand more industrial parks to meet the needs of businesses. Besides, Korea is Dong Nai's second largest import market (after China), Dong Nai products bought a lot from Korea as raw materials for the textile fiber, garment, footwear, computers, electronic components, equipment, tools and spare parts. According to the Department of Industry and Trade, on average, enterprises in the province spend more than 200 million USD per month to import goods from Korea. This will be an advantage for Korean enterprises to invest in projects to produce goods that Dong Nai market needs.

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