Nikkei Asia: US President's Vietnam visit generates new investment wave
US President Joe Biden's visit to Vietnam last month seems to have ushered in a new era of expanded economic links between the two countries, said Japan’s Nikkei Asia, adding that a fourth boom of foreign investment in Vietnam may be in the making.
US President Joe Biden speaks at a banquet hosted by President Vo Van Thuong (Photo: VNA)
Hanoi (VNA)ꦇ – USPresident Joe Biden's visit to Vietnam last month seems to have ushered in anew era of expanded economic links between the two countries, said Japan’sNikkei Asia, adding that a fourth boom of foreign investment in Vietnam may bein the making.
The journal said the high-profile talks between the twoleaders were accompanied by some big business deals. Vietnam Airlines, thenational flag carrier, signed an initial agreement to buy 50 Boeing 737 Max jetsin a deal valued at about 10 billion USD. Vietnam's leading tech firm, FPT Software, has announced astrategic partnership with the American startup Landing AI. Synopsys, a leadingsemiconductor design company, has signed a memorandum of understanding to help theVietnamese semiconductor industry cultivate its chip-design workforce.
It recalled that historically, Vietnam has witnessedthree significant booms in foreign direct investment. The first occurred whenHonda Motor began local two-wheeler production in 1997. The second wave spannedthe period from the early 2000s up to 2008. Notably, Samsung Electronics of theRepublic of Korea launched a mobile phone production base in the northern BacNinh province in 2009.
🎃 The third boom is believed to have come into full swing inthe mid-2010s. With its purchasing power increasing, Vietnam became a lucrativetarget for foreign consumer businesses. Japanese shopping behemoth Aeon, for instance,inaugurated its first Vietnamese store, Aeon Mall Tan Phu Celadon, in thecountry's largest city, Ho Chi Minh, in 2014.
Now Biden's visit may trigger a surge in US investment inVietnam, the journal said. US investments in Vietnam have been modest compared to those by Asianeconomic powers like Japan or the RoK. As of the end of 2022, the total US directinvestment in Vietnam was 11.4 billion USD, trailing behind the figures forcountries like the RoK with 80.9 billion USD, Singapore 70.8 billion USD andJapan 68.8 billion USD.
Vietnam Airlines and Boeing sign a MoU on sale of 50 Boeing 737 Max jets worth 10 billion USD (Photo: VNA)
During his visit to the headquarters of chip-making giant Nvidiain San Francisco on September 19, Vietnamese Prime Minister Pham Minh Chinhcalled on Nvidia CEO Jensen Huang to establish a production base in Vietnam andcapitalise on it as its manufacturing hub in Southeast Asia. PM Chinh also met with other prominent figures in theAmerican tech sector, including Microsoft founder Bill Gates and seniorexecutives from Meta, formerly known as Facebook, and Elon Musk's SpaceX. According to the article, Vietnam is keen to pivot from itstraditional labour-intensive industries, such as garment manufacturing andelectronics assembly, toward more value-added high-tech sectors. Collaborationswith US tech companies, especially those dominant in the areas of semiconductorsand AI, will be crucial for the transformation of the country's industrialstructure./.
Prime Minister Pham Minh Chinh, who is in the US for the high-level week of the UN General Assembly’s 78th session, had a seminar and a working dinner with leaders of multinational businesses and leading US investment funds in New York on September 21 (local time).
The upgrade of the Vietnam-US bilateral relations to a Comprehensive Strategic Partnership has opened up strategic opportunities for Vietnam to lure more high-quality investment inflows in terms of innovation and high technology, said Vu Quoc Huy, Director of the National Innovation Centre (NIC) under the Ministry of Planning and Investment (MoPI).
The US’s increased trade defence measures on imports in general and Vietnamese goods in particular has made it increasingly hard to export to this market, according to Counsellor and head of the Vietnam Trade Office in the US Do Ngoc Hung.
Ambassador Dang Hoang Giang, Permanent Representative of Vietnam to the United Nations, had a working session with Ambassador Linda Thomas-Greenfield, US Representative to the UN, in New York on October 5 to discuss measures to strengthen cooperation between the two delegations in global issues at multilateral forums, including the UN.
China’s Laoling city, in coordination with VINEXAD, hosted a series of events in Ho Chi Minh City from August 7-9 to seek trade and economic cooperation with Vietnam.
Vietnamese Ambassador to Cambodia Nguyen Minh Vu led a delegation to Mondulkiri, Ratanakiri, and Kratie provinces from August 5-8, aiming to deepen economic ties and support Vietnamese businesses operating in Cambodia’s northeastern region.
Party General Secretary To Lam’s upcoming state visit to the Republic of Korea (RoK) is expected to mark a new milestone in the bilateral relationship, creating fresh momentum for trade and investment cooperation between the two countries.
In the context of the growing global digital economy, digital transformation and the promotion of e-commerce are key drivers helping Vietnam boost integration, enhance competitiveness, and expand export markets, according to the Vietnam E-commerce and Digital Economy Agency
Tilapia is considered highly competitive in export markets thanks to its affordability, ease of processing, and appeal across both high-end and mass-market segments.
In the first seven months of the year, Phu Tho attracted an impressive 651.7 million USD in foreign direct investment, including 35 newly licensed projects totaling 119 million USD in registered capital and 45 existing projects with an additional capital of 533 million USD.
Under the agreements, VinEnergo will invest in, install, and operate 43 MWp of rooftop solar power capacity and 45 MWh of BESS capacity across the three plants.
Under a draft to amend and supplement the Government's Decree 125/2020/ND-CP on administrative sanctions for violations of tax and invoice regulations, the Ministry of Finance has proposed classifying the failure to issue invoices into five different levels. Infraction levels will correspond to fines of 1 million VND to 80 million VND, depending on the nature and number of invoicing violations.
A new airline developed and invested by Sun Group — has officially announced a strategic partnership with Amadeus IT Group (Amadeus), one of the world’s leading travel technology companies. This agreement not only lays the foundation for a modern digital infrastructure but also marks a pivotal step in SPA’s global expansion strategy, enabling the airline to access international distribution networks and reach customers worldwide.
Of the total, 107,700 were new firms, with combined registered capital of 928.4 trillion VND (35.4 billion USD), up 10.6% in number and 5.5% in capital compared with the same period last year.
Experts agree that a combination of technology, enforcement, education and cross-border cooperation is essential to protect copyrighted content in Vietnam’s growing digital ecosystem.
Poland is Vietnam’s largest export market in Central and Eastern Europe, with key staples including seafood, textiles, footwear, coffee, and cashew nuts.
Cashless payments are growing at an impressive rate, averaging 30–40% annually. Vietnam’s per capita cashless transaction volume now trails only China, with total value of 295.2 quadrillion VND (11.26 trillion USD), or 26 times of its GDP.
A draft resolution on piloting a digital asset and cryptocurrency market is being developed, aiming to create a broad-enough regulatory sandbox that enables investor participation and provides practical grounds for policy refinement in areas such as risk management and anti-money laundering.
US President Joe Biden speaks at a banquet hosted by President Vo Van Thuong (Photo: VNA) 
Vietnam Airlines and Boeing sign a MoU on sale of 50 Boeing 737 Max jets worth 10 billion USD (Photo: VNA) 
