Impressions of Japanese investment in Binh Duong

 After 50 development years of the good diplomatic relationship between Vietnam and Japan, the cooperative relationship between Binh Duong and Japanese partners has also developed strongly, extensively and effectively. Japan has become one of Binh Duong's most important and trusted partners in many fields.

A high-ranking delegation from Yamaguchi province (Japan) visit Toyotsu Safety Co., Ltd & Automotive Components (Vietnam) at My Phuoc 3 Industrial Park.

 Practical results

The dynamic development of Binh Duong in recent times has drawn great interest from the Japanese business community and investors. Masami Okumura, General Director of Toyotsu Safety Co., Ltd & Automotive Components Vietnam (My Phuoc 3 Industrial Park), said he is really satisfied when choosing Binh Duong to locate its factory. The company always receives attention and the best conditions for development from local leaders. Currently, with the advantage of infrastructure and modern industrial parks, Binh Duong has become a priority destination for domestic and foreign investors. Japanese enterprises support the innovation orientation of attracting and calling for investment in Binh Duong's high-tech industries.

Currently, among the 65 countries and territories investing in Binh Duong, Japan ranks second with a total investment capital of nearly $6 billion, accounting for 15% of total investment capital in the province. Projects with Japanese investment in Binh Duong mainly focus on such fields as manufacturing electronic components, electronic circuits and chips, automobile assembly, iron and steel production, and supporting industries.  In particular, the province has promoted cooperation with NTT East Group and Tokyu to implement projects developing information technology, infrastructure, and urban transportation; with Aeon Group on commercial development; with Mitsubishi on automobile industry development; with Toshiba Corporation and Foster Electronics Corporation to produce electronic components...

Nagato Takahiko, Chairman of Japanese Enterprises Association in Binh Duong, said that Binh Duong is a locality chosen by Japanese enterprises as investing heavily in industrial sectors. Namely, fields of industrial production support the machinery manufacturing, electronics, and processing industries... Currently, the Japanese business community in Vietnam has over 1,800 members. Among them, the Japanese business group in Binh Duong is the largest with more than 140 members.

Cooperation for development

With the advantage of being a strongly developed industrial province, Binh Duong is the best choice for foreign investors, including Japanese. Many Japanese investors are also planning to expand production in Binh Duong.

Mr. Hashimoto, Chairman of Sharp Group, said that currently, the group has 2 manufacturing factories located in Vietnam - Singapore Industrial Park (VSIP 1) and VSIP 2. In the coming time, Sharp will continue to expand investment and build one more large-scale factory, orient towards high-tech and advanced products, such as manufacturing and processing electronic products and high-tech accessories, smart phones, production of household electronics, household electrical appliances, health products...

Similarly, Panasonic Electric Works Vietnam in Binh Duong is expanding its production system and constructing a new building in their factory, which is expected to come into operation by the end of 2023. In addition to expanding production facilities, the company also optimized existing production lines by integrating with solutions from “Tsu” factory, the main manufacturer of electrical wiring equipment and circuit breakers in Japan.

Besides promoting socio-economic growth, Binh Duong also actively expands bilateral cooperation with Japanese localities. Especially, since the establishment of friendly cooperation relations in 2014, Binh Duong and Yamaguchi provinces have jointly done exchange activities, strengthened friendship relations and expanded economic cooperation, promoting trade and investment in education - training and culture... Right from the first days of cooperation, with the attention of leaders of the two provinces, Binh Duong has attracted more and more Japanese investors.  Muraoka Tsugumasa, Governor of Yamaguchi Province, said that the cooperation and exchange between the two localities over the past time has achieved remarkable results. On the occasion of the 50th anniversary of cooperation, this good relationship between the two localities will grow to new heights, contributing to the development of Vietnam and Japan.

Mai Hung Dung, Member of Binh Duong Provincial Party Standing Committee, Permanent Vice Chairman of Provincial People's Committee, said that in its socio-economic development orientation, Binh Duong always identifies Japan as a strategic investment partner. Therefore, the province has actively implemented many measures to boost cooperation and investment attraction from Japan. The efforts of the province are increasingly recognized and appreciated by businesses and investors from the "land of cherry blossoms". To develop faster and more sustainably, Binh Duong hopes to continue to receive attention and support from the Japanese Government and JICA in connecting transportation infrastructure projects, and hopes Japanese businesses will support the innovation orientation to attract and call for investment in high-tech industries of Binh Duong.

 With ODA capital support from the Japan International Cooperation Agency (JICA), Binh Duong has invested in two projects to improve water environment in South Binh Duong, phase 1 and phase 2, solving the problem of water drainage and domestic water treatment in urban areas of Thu Dau Mot and Thuan An city; At the same time, it contributes to protecting the environment, ensuring public health and meeting local sustainable development requirements.

Up to now, Japan has invested in 349 projects with a total capital of nearly $6 billion, accounting for more than 8% of projects and 15% of total Japanese investment in Binh Duong. On average, each project of Japanese enterprises investing in Binh Duong has capital of over $20 million. This is the highest average number among countries investing in Binh Duong up to now.

Reported by Ngoc Thanh - Translated by Ngoc Huynh