Foxconn Group of Taiwan, listed as the world’s largest maker of outsourced electronics products in 2006, plans to pour US$5 billion into the hi-tech sector in Vietnam, aiming to become the top foreign investor in the country, announced the firm’s president Terry Gou.
The news was revealed at his recent meeting with the Kinh Bac City Group and authorities of northern Bac Ninh and Bac Giang provinces, said Dang Thanh Tam, Chairman and CEO of the Kinh Bac City Group.
Of the total capital, around US$3 billion will be injected into a project for hi-tech products. The group is to also join hands with the Kinh Bac City Group to build urban areas, trade centers, recreational centers, schools and hospitals, according to Mr Tam.
The Kinh Bac City Group operates many industrial parks (IPs) in Vietnam, including the $100 million Que Vo IP in Bac Ninh province and the $50 million Quang Chau IP in Bac Giang province.
The Kinh Bac City Group plans to issue around VND1 trillion ($62.5 million) worth of shares to mobilize capital for the construction of more urban and industrial zones, Tam noted.
Foxconn, specializing in world-famous high-end electronic products including Nokia cell-phones, iPod music players and PlayStation 2 game consoles, obtains average annual turnover of more than $50 billion.
As of late December last year, Taiwan topped the list among investors in Vietnam with a total registered capital of $7.9 million in foreign direct investment.
SYM Group’s motorbike manufacturing is now Taiwan’s most successful project in Vietnam, paving the way for 40 other enterprises from the territory to Vietnam to make parts for SYM’s local production lines. (Vietnam & World Economy)
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