As global FDI flows are tending to shrink, Vinh Phuc province has closely followed the direction of the central government and launched many solutions to quickly deal with difficulties, especially in investment attraction. Therefore, this move has helped Vinh Phuc not only retain businesses but also assert itself as a safe and reliable investment destination for investors, including Italian investors.
Mr. Nguyen Xuan Phuong, Director of the Vinh Phuc Industrial Zones Management Board, awards the certificate of increasing investment capital to Piaggio Vietnam Co., Ltd
In the first quarter of 2023, Vinh Phuc licensed 16 FDI projects with a total registered capital of US$174.8 million, down 4.61% year on year. Among foreign investors in the province in the first quarter, Italy was the biggest with US$75 million, accounting for 42.91% of the total FDI value.
Making its debut in Vinh Phuc province in 2007 (16 years ago), after many capacity upgrades to manufacture high-end and fashionable scooters, Piaggio Group in Vinh Phuc province is making competitive products for domestic and international markets, supporting the robust development of the province’s automobile and motorbike industry and significantly contributing to the state budget. The group is currently employing thousands of workers.
To further expand investment, scale up manufacturing capacity and restructure its project, Piaggio Vietnam Co., Ltd was granted the 14th revised investment registration certificate by Mr. Nguyen Xuan Phuong, Director of the Vinh Phuc Industrial Zones Management Board.
Accordingly, Piaggio Vietnam Co., Ltd. merged two projects and increased its investment capital by US$75 million to US$165 million from US$90 million in Vinh Phuc province. This move will empower the company to scale up its annual output capacity to 400,000 scooters, motorcycles and mopeds from 250,000 products and to 400,000 engines from 300,000 products earlier. The adjusted project will come into operation immediately after the revised license is granted to Piaggio Vietnam Co., Ltd. The company will complete all environmental criteria.
Remarking on contributions of Piaggio Group in general and Piaggio Vietnam Co., Ltd in particular to the province’s economic development and social security in the past time, Mr. Nguyen Xuan Phuong, Director of the Vinh Phuc Industrial Zones Management Board, congratulated the company on the successful investment in the province, hoped the company to stay with the province in a long term, and affirmed the province's consistent investment policy that facilitates investors to explore investment opportunities and expand business operations in the area.
To attract and retain more investors, especially large firms and strategic investors, Vinh Phuc province is carrying out consistent solutions to improve the quality of the investment environment; effectively supporting and encouraging enterprises to invest in the local potential and capable industries, developing key economic sectors such as high technology, automobile manufacturing, electronics and supporting industries. The province will step up technical and social infrastructure construction and foster high-quality human resource training to better meet the recruitment needs of local enterprises.
Thanh Loan, Vietnam Business Forum