Promoting Trade between Vietnam and China: Opportunity for Enterprises in Nghe An

9:41:41 PM | 7/10/2013

At the Muong Thanh Song Lam hotel, Vinh city, Nghe An province, Vietnam – China Trade Forum recently took place with the theme "Promoting bilateral trade between Vietnam and China in Nghe An."
Mr Huynh Thanh Dien, Vice Chairman of Nghe An’s People’s Committee, delivered a speech emphasising the existing potential and strengths, economic development orientation, open political regime creating favourable conditions to attract investment in Nghe An. He shared that Nghe An has attracted many big projects of local and foreign investors, including projects of China. Businesses of Nghe An consider China an important traditional trading partner. The proportion of export turnover to the Chinese market in recent years has always ranked at no less than 50 percent and had the tendency to increase over the years. Mr Dien affirmed that Nghe An continues to attract projects selectively, focusing on project quality. Besides, it prioritizes projects using high-tech which have added value and are environmentally friendly, saving and using resources efficiently.
Emphasizing the long-standing traditional friendship between Vietnam and China, Mr Nguyen Vu Kien, Deputy Director of International Relations Department of the Vietnam Chamber of Commerce and Industry (VCCI), said that this is a special relationship with many similarities. The strengthening of economic cooperation between Vietnam and China is a good condition which creates the business platform to connect the two countries’ businesses, update investment and business opportunities and exchange culture. The forum has great importance in enhancing mutual understanding, relations and cooperation between enterprises of Vietnam and China which are intending to invest in Nghe An. This is an opportunity for enterprises of the two sides to listen and share their experiences, and thereby promote bilateral investment cooperation, contributing to improving the trade turnover between the two countries and decreasing Vietnam's trade deficit so that economic and trade cooperation between Vietnam and China will continue to develop sustainably.
Mr Hua Khai Tung, Economic and Trade Counsellor of the Chinese Embassy in Vietnam appreciates the long and sustainable traditional relationship between the two countries. He particularly emphasizes his appreciation for Nghe An provincial authority for creating favourable conditions for Chinese enterprises to invest and do business in Nghe An. Sharing his opinion at the forum, representative of the leaders of the Chinese Business Association in Vietnam, Mr Tieu Quoc Binh stated his deep gratitude to the leaders of departments and agencies in Nghe An for attending the forum and answering frankly and fully the questions by businesses from both Vietnam and China regarding procedures related to investment, land, finance, tax, customs, etc. Representative from China, Mr Hua Khai Tung, fully answered all questions from businesses of Nghe An.
Relations between Vietnam and China over the years have developed and made impressive steps. Particularly, economy and trade have made strong breakthrough, an important contribution to the development of bilateral relations in the framework of comprehensive strategic partnership. Thanks to the efforts from two sides, the field of trade and investment has achieved many highlights and achievements. Trade between Vietnam and China has been growing for 9 consecutive years. China has become the largest economic partner of Vietnam. From 2004 to now, China is the leading trade partner of Vietnam. Two-way trade turnover in 2012 reached US$41.18 billion, up 15.35 percent over 2011. Both sides have great potential to enhance the bilateral trade in the future.
However, at present, in the province of Nghe An, there are only 7 new projects by Chinese investors, with registered capital of US$45.08 million. Among them are four projects which have been put into operation, one ongoing project and two delayed projects. The projects have contributed to increasing revenues for local budgets and addressing jobs, but are still not commensurate with the potential of the two sides. China's FDI is usually in small scale; technology used by Chinese enterprises is not modern, and sometimes even backward compared with that of other countries in the region and the world.
The "Promoting Vietnam - China bilateral trade in Nghe An" forum promises to bring business opportunities for enterprises of both sides, to promote bilateral business between the two countries in general and between Chinese enterprises and Nghe An in particular.
Phan Duy Hung – VCCI Nghe An