Manufacturing, processing sector absorbs more FDI capital

Update: 27-09-2019 | 10:44:13

Over the past nine months, Binh Duong province’s manufacturing and processing sector attracted more FDI capital, thereby helping the province maintain its high economic growth.

Most FDI capital pouring into manufacturing, processing

Since early this year, the province has absorbed more than US$2.42billion, up 81% compared to the same period or beyond 73% of the year’s target. The province has so far lured 3,674 valid FDI projects with total registered capital of US$33.7billion.

Production of Punch Industry Manufacturing Vietnam Co.Ltd. at Ben Cat town-based My Phuoc 3 Industrial Park

Over the past nine months, the province’s manufacturing and processing sector drew 145 newly-registered FDI projects, 104 extra-FDI projects and 292 ones for capital contribution with total investment capital of more than US$2.27billion or 93.8% of the province’s total FDI capital. Among them, some with great capital were Sharp Manufacturing Co.Ltd. in the VSI II-A with total registered capital of US$135million; Nitto Denko Co.Ltd. with total registered capital of US$186.2million; Lacquerrr Crafft Vietnam Co. with total registered capital of US$98.3million…

Some FDI projects in the province also decided to increase their capital after working effectively. For example, KyungBnag Co.Ltd. raised its capital by US$84million. Timberland Co.Ltd. also increased investment capital by US$50million…

With well-built industrial parks, the province has become an ideal destination for investors at home and abroad. Among 34 countries and territories making investment in the province over the past nine months, Japan took the lead with US$482million. It was followed by Hong Kong with US$413million, Taiwan with US$250million…The province now ranks second nationwide in FDI attraction only after HCM city.

Noticeably, the province has implemened a program on innovation of FDI attraction for the 2016-2020 period with a goal of absorbing the world’s huge corporations. The province has also given priority to attracting hi-tech industries that are less intensive-labor and environmentally friendly; attached special importance to promoting auxiliary industries, taking part in the global value chain.

Forming up domestic supply chain

According to experts, absorbing a large number of FDI capital in manufacturing and processing will help the province’s auxiliary industry rise up in the next years if there are effective and appropriate policies…

Tran Thanh Trong, Chairman of provincial Mechatronics Association said that members’production technologies have met requirements of great partners from Japan, Europe…But, FDI enterprises in this field has not got close linkage with domestic ones yet.

Source from leader of HCM city’s Auxiliary Industry Development Center said that province-based enterprises participating in production capacity-improving projects supported by the center like Bach Tung Mechanics Co., Viet Nhat Mechanics Joint Stock Co….have worked very effectively. They were also highly appreciated by huge parners, including Panasonic and companies from Japan.

It is known that the province’s sector of industry and trade has coordinated with relevant units to implement a database on information about enteprises in the province. After being completed, it will support enterprises in the process of seeking partners, creating favorable conditions for their production-business, forming up the local supply chain.

Reported by Tieu My-Translated by K.T

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Manufacturing, processing sector absorbs more FDI capital

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