IT Import and Export with Optimistic Figures

According to statistics by the General Department of Customs, in 2004, import value of IT equipment was put at US$912 million. This figure reached US$1.24 billion in 2005, up by 36 per cent against 2004. The figure stood at US$729.5 million in seven months of 2006. Six major imports in seven months include PC accessories, mainboards, hard disks, laptops, printers and support devices.

 

Despite a change in the order of largest IT exporters to Vietnam, the import turnover of Vietnam in 2005 witnessed a significantly high increase of almost two folds (93 per cent) from China, 1.5 folds from Hong Kong and Singapore, 39 per cent from Malaysia, and the US 34 per cent.

 

Import turnover of software, however, remains too small in total import value, which was put at US$18 million in 2005, up by 20 per cent against 2004. Statistics by customs agencies show that software products valued at US$5 million were imported in 2005, almost doubling the figure of 2004.

 

The Vietnamese software and service industries earned US$250 million in revenues in 2005. Of the figure, US$180 million came from the local market, accounting for 61.1 per cent and the remaining US$70 million, from outsourcing export with 38.9 per cent. This figure implies an increase of 47 per cent against 2004. Outsourced software export was up by 55.5 per cent while revenues of the local market increased by 44 per cent with a significant contribution of the emerging content industry. In 2005, online game saw a sharp increase. The leading enterprise in the business, VinaGames, earned more than US$5 million per year in sales. The mobile added value market has witnessed a high growth with the Value Added Service Centre (VASC) as a leading enterprise reaching US$9 million in revenues in 2005.

 

Hardware industryThe hardware industry earned more than US$1 billion in revenues per annum for the first time in the 2001-2005 period, mainly from export with US$1.042 billion. The revenues from the local market were put at US$108 million only. The driving force of export turnover was the 100 per cent foreign-owned sector with Fujitsu earning US$515 million, Canon Vietnam with US$450 million. In 2006, export turnover reached US$618.6 million in the first seven months and printer was the main export with a turnover of US$306.9 million.

 

Local manufacturers, especially Vietnamese brand PC manufacturing companies, witnessed a slowdown development. To top Vietnamese brands FPT Elead and CMS in 2005 gained revenues similar to 2004 even though they sold more PCs. This is because prices dropped significantly. Other brands Robo, Mekong Green and T&H gained a growth rate of between 30 and 40 per cent. Among the brands, only Mekong Green gained more than US$5 million per year. Three leading brands Elead, CMS and Mekong Green gained revenues of US$ 13.4 million, US$9.3 million and US$6 million in 2005, respectively.

 

In 2005 and 2006, a promotion of investment in IT from multinational groups has been seen. Intel invested more than US$300 million in Ho Chi Minh City and Canon is building the biggest printer plant in world in Bac Ninh province with a total investment of US$110 million. With the plant, experts say, total export value of Canon in 2006 will be much higher than Fujitsu.

 

- Internet service: VDC

- Hardware manufacturing: Fujitsu

- Software service: FPT Software

- Outsourced software: FPT Software

- Online games: VinaGame

- Mobile value added service: VASC

- IT human resources development: Aptech Vietnam

- Vietnamese brand PC: FPT Elead

- Online bulletin: VNExpress