Dong Nai tops nation in FDI attraction

Manufacturing process at Fujitsu Computer Products of Vietnam, Inc. in Bien Hoa 2 IP

According to the Department of Planning and Investment, by the end of September 2020, Dong Nai has attracted 1,550 FDI projects (in effect) with a total registered capital of nearly USD 30.8 billion. Currently, there are 43 countries and territories investing in Dong Nai. Dong Nai is listed as one of the four county’s top provinces attracting in FDI.

Attracting many FDI investors

Currently, all districts and cities in the province have FDI enterprises investing in. However, FDI projects are more concentrated in Bien Hoa City, Long Thanh, Nhon Trach and Trang Bom Districts. The places where FDI projects are invested helps increase advantages and promote economic development. The investment industry of FDI projects in the province is very diverse, in which the processing and manufacturing industry accounts for 84% of the total registered capital. Many large multinational corporations in the world have come to Dong Nai to set up its factories such as Hyosung, Bosch, Amata, Fujitsu, Chang Shin, CP, Kenda, Maggitt, etc.

Mr. Kawaue Jun-Uchi, Consulate General of Japan in Ho Chi Minh City, said: “Dong Nai’s attraction lies in having convenient transportation infrastructure, well-invested industrial zones, and adequate services; when FDI enterprises invest in and want to rent land or ready-built factories, all are available. Therefore, in the past 4 years, many Japanese enterprises have invested in Dong Nai.”

There are many FDI groups and enterprises have invested in the province for nearly 30 years and the initial investment capital has increased many times. In which, there are FDI enterprises that chose Dong Nai as the first destination, then expanded their investment to the whole country, including Hyosung, CP, Amata, Taekwang, Formosa, etc.

Mr. Vikrom Kromadit, Chairman of Amata Group (Thailand), said: “After the successful investment in the infrastructure of Amata Industrial Park in Bien Hoa City, our group has decided to invest an additional nearly 300 million USD, which is the infrastructure of Long Thanh high-tech industrial park and smart city in Long Thanh district. After successfully investing in Dong Nai, our group has expanded its investment in Quang Ninh.”

Chairman of the Provincial People’s Committee Cao Tien Dung said that FDI inflows are increasingly vibrant, many multinational corporations, large enterprises have been present here with increased capital scale and project quality, thereby contributing to creating jobs and income for employees. Meanwhile, the FDI capital contributed to promote the province’s economy to grow higher. The province continuously improves the investment environment, creating favorable conditions for businesses, helping enterprises to solve problems promptly.

The activities of foreign-invested enterprises accounted for 37% of the total value added of the whole province, creating jobs for about 570 thousand workers, thereby contributing increasingly to the budget and become an important part of Dong Nai’s economic structure. FDI inflows into the province have changed the industry structure rapidly in the direction of reducing the proportion of agriculture, increasing the proportion of industry and services; Average GRDP per capita by mid-2020 has reached USD 5.3 thousand.

Proactively welcome new wave of FDI investment

Manufacturing process at Fujitsu Computer Products of Vietnam, Inc. in Bien Hoa 2 IP

The Republic of Korea leads the way among countries and territories investing in Dong Nai with a total investment capital of over USD 6.8 billion, followed by Taiwan with USD 5.4 billion, Japan with nearly USD 4.8 billion, Singapore with USD 3.4 billion, China with USD 1.7 billion, etc.

Chairman of the Korean Business Association Park Hyun Bae shared: “Korean businesses investing in Dong Nai are quite favorable. Most of production and business are efficient, so many businesses have increased their capital by 2-4 times after a few years of investment. The field of Korean businesses investing in Dong Nai most is manufacturing supporting industries for textile, footwear, machinery, equipment, and electronic components, which is also sectors that Dong Nai is prioritizing to call”. Dong Nai becomes the ‘capital’ to supply raw materials for industrial production of the country with a great contribution from Korean enterprises. In the past 5 years, many businesses have increased their investment capital in Dong Nai to hundreds of millions of USD. For example, Hyosung Group increased its capital with over USD 600 million; Chang Shin raised to USD 100 million,… Taiwanese businesses also continuously poured more capital into the industrial and service sectors, and are relatively successful.

Mr. Ly Thien That, General Director of ASY VietNam Company Limited in Bien Hoa 2 IP said: “I have been investing in this province for nearly 30 years. My company specializes in the production of wood products for export, which has increased capital many times and expanded production. In addition to investing in industrial production, I also contribute capital to the field of trade, service and real estate in Dong Nai and some other provinces”. According to Mr. That, investing in Dong Nai was successful, so he introduced many Taiwanese businesses to the province to invest in supplying goods for domestic and export markets.

In the period 2015-2020, Japan is a country “accelerating” in investment in Dong Nai. Capital sources invested by Japanese enterprises in the above period increased nearly 2 times. Most of the new projects with Japanese capital raising have modern, environmentally friendly technology and most of them are in supporting industries. According to the evaluation of FDI enterprises, Dong Nai is home to the leading industrial development in the country, from which investment in the province will be very convenient in providing mutual input and export products.

Vi Quan