Vietnam PM invites high-quality Japanese investment

Prime Minister Pham Minh Chinh has encouraged businesses in Gunma prefecture, one of the largest industrial hubs in Japan, to expand their presence in Vietnam following an upgrade of the relationship between the two countries.

At a meeting with local businesses on Friday, Chinh proposed businesses from Gunma, with their experience, strengths and reputations, continue to expand investment cooperation with Vietnamese businesses in areas where the two sides hold strengths and potential.

Vietnam is yearning for investment into sectors such as green economy, digital economy, circular economy, knowledge-based economy, science-technology, innovation, electronic components, electric vehicles, semiconductors, new energy (hydrogen), renewable energy, green finance, biotechnology, health, and high-tech agriculture, the PM noted.

The meeting drew the participation of leading Japanese businesses such as Cainz (consumer goods), Koshidaka Holdings (entertainment), J!NS (eyeglasses), Tsukiji Gindaco (food), Yamada (electrical appliances), Subaru (automobile), Acecook (food), and Taiyo Yuden (electronic components).

Gunma is well known for manufacturing, electronics, food processing, and high-tech agriculture, so Chinh expressed his hope that Japanese firms will beef up technology transfer and employ more Vietnamese manpower and materials in their operations.

Chinh, who is in Japan for a commemorative summit marking 50 years of relations between ASEAN and Japan until December 18, pledged favorable conditions for foreign companies, including Japanese firms, to invest and do business effectively and efficiently in Vietnam.

There are currently 45 businesses from Gunma operating in Vietnam in fields such as plastics and transportation components manufacturing. An increasing number of local firms are keen to expand their investment in the Southeast Asian country.

Japan is currently Vietnam’s leading economic partner, its largest ODA donor, second largest partner in workforce, third largest partner in investment and tourism, and fourth largest partner in trade.

Bilateral trade topped $40 billion in 11 months through November. Japan has to date invested $71.5 billion in more than 5,200 projects in Vietnam, stretching across most of the country, and is present in several critical industries, according to official data.