Positive signs in early year from FDI capital

In early 2015, Binh Duong has continued seeing a positive change in FDI attraction. Along with US$105mln in FDI capital absorbed in January, province-based enterprises said that they would raise their investment capital for production expansion in 2015. This is a positive sign in order to believe that the province’s FDI attraction in 2015 is likely to continue being fulfilled earlier than planned.

Tran Van Nam (first right), Chairman of provincial People’s Committee visiting Kumho Vietnam Tires Co.Ltd.’s factory

The operation of Kaiser Vietnam Woodwork Joint Stock Company gets animatedly on the days near Tet. At the company’s factories, more than 6,000 laborers work very eagerly so that the company can reach the monthly capacity of 1,000 containers of woodwork for export.

La Tu Van, CEO of the Taiwanese-invested company said that the company was put into operation in 2004 with total investment capital of nearly US$100mln. After 10 years of investment, the company has worked very successfully in Binh Duong.

According to him, the company’s success has came from the attention and help of the local authorities at all levels. The company is also expected to further build its second factory in Binh Duong with total area of 30 hectares and total investment capital of around US$80mln.

Whilst, workers at Panko Vina Co.Ltd. are working very promptly in order to well fulfill the yearly plan. The South Korean-owned Garment & Textile Company has made investment in My Phuoc 1 Industrial Park for 10 years with total investment capital of approximately US$52mln.

Kim Heun Tae, General Director of the company said that the company has worked very effectively. In 2014 alone, the company’s total revenue gained an increase of 35% against the previous year. The company also generated stable jobs for 8,500 workers. In 2015, the company has planned to expand production and recruit additional 1,500 workers. Its total revenue is expected to increase by 40%.

Some other companies at My Phuoc Industrial Parks have also planned to expand production with great investment. Kumho Vietnam Tires Co.Ltd. is a typical example for this. Kim Hyun Ho, General Director of the company said that his company went on stream in 2008 with initial investment capital of US$260mln and annual capacity of 3.22mln car tires. So far, the company’s capacity has been raised to 3.46mln car tires a year. The company’s rubber latex-processing factory was also put into operation in 2007 with the capacity so far lifted to 12,250 tons a year. In 2014, the company’s total revenue reached US$152mln and the figure is expected to obtain US$181mln in 2015. The company will continue increasing its investment capital in Binh Duong.

The province has set 2015’s target of absorbing US$1bln in FDI capital. In January alone, the province’s FDI attraction was estimated at US$105mln. This is seen as a positive sign for the local FDI attraction in 2015 and also shows that the local investment climate continues being attractive to investors.

Tran Van Nam, Chairman of provincial People’s Committee said that the effective investment of FDI enterprises has actively contributed to the local economic growth. The province has also applauded enterprises that have planned to expand production. He also emphasized that Binh Duong has always created the best conditions for enterprises making investment in the province…

Reported by T.Minh-Translated by K.T