Vietnam’s increasing appeal to foreign investors is anticipated to grow even stronger throughout the remainder of this year.
The Hai Duong People’s Committee recently greenlit several significant manufacturing projects. One involves the production of toys, stationery, and household electrical appliances by the Korninghill Group, based in Hong Kong, with a $3 million investment. Similarly, Jia Ri Xing, also hailing from Hong Kong, will establish facilities for walkie-talkies and plastic products with a $4 million investment.
Additionally, the committee has granted investment licenses to Jiaxu Development Industrial for their $2 million metal and plastic product venture, as well as Qizhen Industrial for their $4 million project focusing on plastic household items and electronic products.
The commencement dates for these ventures have yet to be disclosed by the respective companies.
Earlier in January, Hai Duong had already given the green light to large-scale projects valued at a total of $1.5 billion. These include a $270-million stationery manufacturing factory by Deli Vietnam Office Technology, a $260-million factory by Biel Crystal Technology Manufacturing, and a $120-million solar photovoltaic panel factory by Boviet Hai Duong Solar Technology.
These developments signal a promising year for Hai Duong in terms of foreign direct investment (FDI) mobilization, exceeding $1.2 billion in 2023. Despite ranking 11th among localities last year in this aspect, it marks significant progress compared to 2022, when FDI inflows amounted to $370 million, placing Hai Duong at 17th.
Furthermore, in February, Thai Binh province in the north announced the commencement of construction for a factory by Good Way Vietnam, a company from Taiwan, at Lien Ha Thai Industrial Park. This factory will produce connection devices and external computer equipment, with an estimated cost of $45 million.
Although previously a modest destination for FDI, attracting around $307 million in 2022, Thai Binh is rapidly gaining traction among investors. Last year, the province attracted nearly $2.8 billion, rising to fifth place among top localities for FDI mobilization.
According to the Ministry of Planning and Investment (MPI), Vietnam saw over $2.36 billion in FDI registered in January this year, marking a 40.2% increase compared to the previous year. Disbursement amounted to $1.48 billion, up by 9.6% compared to the previous year.
Despite modest growth, these figures are considered robust considering the global trend of decreasing FDI in various regions and countries such as the EU, United States, and some developing markets. China, in particular, has reported a significant decrease, with FDI dropping by 80% to $33 billion last year, marking the second consecutive year of decline.
Meanwhile, Vietnam is reaping benefits, especially in sectors such as semiconductor manufacturing, AI, and high-tech industries.
