M&E products conquer the domestic market

Stable and sustainable economic growth in the long run has contributed significantly to changing Vietnamese consumer habits, while creating a large market demand for domestic industrial products, including electromechanic (M&E) sector.

Manufacture in Nam Thien Truong Mechanical Company (Di An City).

 Brand promotion

Vietnam is one of the few countries capable of sustaining relatively high growth over the past decade with an average GDP growth rate of 6.5%-7%/year. According to Tran Thanh Trong, General Director of Sang Ban Mai Corporation, Chairman of Binh Duong M&E Association, in fact, with open policies to encourage economic development, Vietnam mechanical industry has manufactured many products of good quality, can compete with imported products. Binh Duong's mechanical enterprises have made efforts to acquire advanced science and technology, meeting the requirements of domestic enterprises and exporters.

Mr. Tran said that Sang Ban Mai Corporation, with a long-term development vision, finished trademark registration SBMPOWER. Their products are appreciated in terms of technology, quality, which is not inferior to any imported product but their price is cheaper, have been trusted by domestic and foreign customers. Especially, products of Sang Ban Mai Corporation are installed and put into operation in provincial Administrative Center buildings, including two generators, each with a capacity of 2,500 KVA. Currently, Sang Ban Mai Corporation distributes their products throughout all 63 provinces and cities nationwide. Since 2009, Morning Ban Mai exported electricity generators to Laos, Cambodia and Myanmar.

As a company that has gained many successes in the domestic supply chain, Nguyen Van Hung, Director of CNC Technology Solutions Company (CNCTECH), Dong An 1 Industrial Park (Thuan An City), said that the company had been promoting the development of domestic production chains. CNCTECH is a supplier of high quality precision mechanical products for large domestic enterprises, foreign investment enterprises and exports to partners, such as VNPT Technology, Denso, Toyota, Misumi, Mabuchi Motor... In addition, CNCTECH also regularly cooperates with partners in technology exchange, and send their engineers and technical workers to researches to absorb new technologies at home and abroad to keep pace with current trends. The company invested in modern machinery and equipment to improve the capacity of precision mechanical products at competitive prices.

Mai Hung Dung, Member of Provincial Party Standing Committee, Permanent Vice Chairman of Provincial People's Committee, affirmed that for Binh Duong industry to become an important force of the economy, supporting industrial enterprises are able to participate in the global value chain, bringing high added value to the economy, in the coming time, Binh Duong would continue to create an open investment environment, encourage the development of production and business of each group of supporting products; to form industrial zones and clusters for producing spare parts, components and supporting materials for industries. In order to create favorable conditions for the mechanical industry to develop, provincial Department of Industry and Trade is currently striving to implement a project to develop the mechanical industry in Binh Duong province to 2025, oriented towards 2030. The project is expected to be a push for sustainable development of Binh Duong industry.

To dominate the market

Mr. Tran said that in last months of this year, Sang Ban Mai Corporation signed many contracts with domestic partners. In early November, Sang Ban Mai and Da Nang Port Corporation officially signed a contract to supply and install two SBMPOWER electricity generators with capacity of 550KVA and 2,250KVA, worth more than VND 8.1 billion. "To sign this package, Sang Ban Mai Company surpassed nearly 10 contractors including imported trademarks after two rounds of public, transparent and fair online bidding. Sang Ban Mai Company was awarded the contract by Da Nang Port for conforming to technical requirements and offering competitive prices", Mr. Tran said.

In Binh Duong, this company has also won a contract of providing 1100KVA machine for provincial General Hospital with a value of nearly VND 4 billion. Mr. Tran said that these contracts were really a great motivation to the company after a long way of building and promoting their brand. This is also a big push for the company to rise up in the development of product quality. He wishes that in the coming time, all administrative sectors and localities could create favorable conditions for Vietnamese enterprises to participate in bidding for public investment packages, to develop sustainably on their own home ground.

Currently, M&E enterprises in the province master manufacturing technologies of some types of engines, machines, devices of high quality to serve the domestic and foreign manufacturing industries, but there are still difficulties. Dao Minh Ngoc, Director of Phuong Vy Company (Thuan An City) said that first of all, Vietnam's M&E industry is quite diverse in terms of products but is facing increasingly fierce competition with imported products. He expressed his desire that the government would continue to strengthen their supporting role, especially to support small, medium and micro-sized enterprises in ensuring a favorable business environment, low market entry costs, encourage private capital.

 Reported by Tieu My - Translated by Ngoc Huynh

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