Manufacturing sector draws most interest from foreign investors
The manufacturing and processing sector garnered the most interest from foreign investors in 2018, attracting 16.58 billion USD, or 47 percent of the registered capital.
The manufacturing and processing sector attracted 16.58 billion USD of foreign investment capital this year (Photo: VNA)
Hanoi (VNA) – Themanufacturing and processing sector garnered the most interest from foreigninvestors in 2018, attracting 16.58 billion USD, or 47 percent of theregistered capital.
The real estate sector ranked secondwith 6.6 billion USD, or 18.5 percent, and the retail sector came third with3.67 billion USD, or 10.3 percent.
According to a report by the ForeignInvestment Agency under the Ministry of Planning and Investment, in 2018, Vietnamattracted 35.46 billion USD in total foreign direct investment (FDI), includingnewly-registered and added capital and that for share purchase, equivalent to98.8 percent of the 2017 figure.
By December 20, FDI commitment for 3,046 newly-licensed projects reached nearly18 billion USD, equivalent to 84.5 percent of the same period last year.
After a yearly decline of nearly 10percent in FDI added to operating projects totaled at 7.59 billion USD, thecapital pledged for stake acquisitions rose by 60 percent year on year to 9.89billion USD, the report said.
As per the data, foreign-investedenterprises gained a trade surplus of 32.8 billion USD this year as theyexported 175.5 billion USD worth of goods, up 13 percent while their importshit 142.7 billion USD, up 12 percent.
Statistics showed that 112 countriesand territories invested in Vietnam from January to December. Among them, Japantook the lead with 8.59 billion USD, making up 24 percent of the nation’s totalFDI. The Republic of Korea and Singapore were the runner-ups with 7.2 billionUSD and 5 billion USD, making up 24.2 percent and 14.2 percent of the nation’stotal FDI, respectively.
The capital city lured the lion shareof FDI with 7.5 billion USD or 21.2 percent of the total capital pledged forthe country. It was followed by thesouthern economic hub of HCM City with 5.9 billion USD or 17 percent, and thenorthern port city of Hai Phong with 3.1 billion USD, or 8.7 percent.
In a wider scope, there have beenmore than 27,350 valid foreign-invested projects in Vietnam so far with a totalregistered capital of 340 billion USD. Over half of the FDI was disbursed,according to the above-mentioned report.
The Republic of Korea was the leadingsource of FDI with 62.5 billion USD and Japan came next with 57 billion USD.Several others included Singapore, Taiwan (China), British Virgin Islands andHong Kong (China).-VNA
Deputy Prime Minister Trinh Dinh Dung chaired a consultation conference on foreign investment attraction and orientations in the northern province of Vinh Phuc on December 21, during which he affirmed that attracting foreign investment is a consistent policy of the Vietnamese Party and State.
With certain advantages, Vietnam has been the destination for many multinational businesses to seek processors, and processing in turn have become a major growth engine of the economy.
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Antoine Colin, Senior Vice President for Global Supply Chain Digital Transformation & Resilience at HP Inc., affirmed HP’s strategic commitment to building a supply chain and ecosystem in Vietnam and the region.
Deputy Director General of the Ministry of Industry and Trade (MoIT)’s Trade Promotion Agency Bui Quang Hung emphasised that logistics has evolved from a technical function into a core capability for Vietnamese exporters to maintain their competitive advantage in the US market.
A trade official has suggested companies work closely with shipping lines, airlines, and freight forwarders to monitor routes, transit times, and potential surcharges while exploring broader cargo insurance to cover risks like war and terrorism.
The manufacturing and processing sector attracted 16.58 billion USD of foreign investment capital this year (Photo: VNA) 
