China leads in number of FDI projects in Vietnam in seven months

Foreign direct investment (FDI) from China has continued to flow into Vietnam, according to the Ministry of Planning and Investment.

Production at a factory in Thai Nguyen province of the Chinese solar energy company Trina Solar

In the first seven months of this year, among 91 countries and territories investing in Vietnam, China held the top position in the number of new investment projects, accounting for 29.7% of the total.

Meanwhile, Singapore topped the list in terms of investment capital with nearly 6.52 billion USD, accounting for almost 36.2% of the total sum, up 79.1% over the same period in 2023. Hong Kong (China) ranked second with more than 2.19 billion USD, accounting for 12.2% of the total. They were followed by Japan, China, and the Republic of Korea (RoK).

Minister of Planning and Investment Nguyen Chi Dung said that a positive signal is that many major Chinese corporations in the fields of technology, electricity - electronics, processing, manufacturing, infrastructure, renewable energy, and electric vehicles have poured investment in Vietnam.

Previously, Chinese FDI capital in Vietnam used to focus on manufacturing, household wooden furniture processing, iron and steel, footwear, garments, food processing, and plastic packaging. However, in recent years, Chinese capital has shifted to high-tech industries, components, spare parts for industrial production, electronics, automobiles, and green energy.

Recently, the China-based display maker Beijing Oriental Electronics Group (BOE) invested in a smart terminal factory in Phu My 3 Industrial Park in the southern province of Ba Ria-Vung Tau with a total capital of 277.5 million USD. The factory specialising in assembling and manufacturing screens for computers, televisions, and circuit boards is expected to operate in 2026. In 2019, the group also put into operation a factory in Dong Nai.

The northern port city of Hai Phong, which is always among localities with the highest amount of FDI, has also paid much attention to attracting investment from China.

Recently, a delegation of the city led by Secretary of the municipal Party Committee Le Tien Chau has visited, worked and promoted investment in China. During the trip, Hai Phong authorities granted seven investment registration certificates with registered capital of nearly 200 million USD and exchanged four Memoranda of Understanding on cooperation with Chinese partners.

Currently, Hai Phong is the destination of the world's leading investors such as Regina Miracle Group from Hong Kong (China) with a total investment capital of over 1 billion USD; Pegatron Group from Taiwan (China) with an investment of over 800 million USD; and SK Group from the RoK with total investment capital of over 500 million USD. The city also attracted other groups including Nipro Pharma and Aeon from Japan, and Tongwei from China.

Jang Jin Ke, General Director of Tongwei Electronics Vietnam Co., Ltd. said that Hai Phong city’s investment promotion in China can improve investment efficiency, quickly identify investment opportunities, and respond quickly to market changes, thereby contributing to promoting economic development in the context of globalisation.

Along with Hai Phong, the southern province of Binh Duong is also a FDI magnet. Binh Duong currently has 4,322 valid FDI projects with total registered investment capital of more than 40.9 billion USD, accounting for more than 8.5% of the total foreign investment capital of the country. Binh Duong is also one of the localities with a very large number of Chinese-invested projects.

Director of the Binh Duong provincial Department of Planning and Investment Pham Trong Nhan said that FDI capital has continued to play an important role in improving the quality and scale of investment projects in Binh Duong. FDI projects focus on industrial parks, with the processing and manufacturing industry accounting for a large proportion. This not only brought strong foreign resources to the province but also helped it access advanced technologies and international markets, he said.

Minister of Planning and Investment Nguyen Chi Dung said that Vietnam aims to attract selective investment and create a strong connection between the foreign investment sector and the domestic economic sector.

To achieve the goals, the ministry will urgently review, resolutely remove and handle difficulties and obstacles, particularly those relating to institutions, laws and administrative procedures to create a driving force for breakthroughs. Vietnam focuses on attracting large-scale, high-quality, high-tech FDI projects in the processing, manufacturing, electronics and semiconductor industries, he said./.

VNA