16:32 | 25/03/2018 Industry
(VEN) - Binh Duong Province has recently received foreign direct investment (FDI) flows into support industries, a result of sound development directions and an open investment environment. This is a positive signal for investment in this sector as a whole.
According to the Binh Duong Province People’s Committee, the province attracted US$2.514 billion worth of FDI capital in 2017, a more than 80 percent increase from the annual projection. In particular, many large-scale projects have recently received investment licenses or been allowed to increase capital in various sectors, including support industries.
Examples are the Singapore-based Tetra Park Binh Duong Joint Stock Company’s US$124 million project in the Vietnam-Singapore II-A Industrial Park, producing sterilized food packaging from paper, plastic and aluminum, and the Korea-based Sewoon Medical Vina Company Ltd.’s medical equipment project in the Vietnam-Singapore II-A Industrial Park, which has increased its investment capital by US$33.9 million.
Recently, a ground breaking ceremony was held in the Bau Bang Industrial and Urban Area in Bau Bang District, for construction of a US$19 million Chinese Taipei production zone on 13ha, including four projects of DDK Vietnam, Di Hung, T-Star and Every Young. These companies deal in real estate, warehouse leasing, industrial technical infrastructure investment consultation, environmental protection equipment, electric box processing, electric ladders, and aluminum products. Among them, DDK Vietnam is the investor of the zone, directly calling for investment capital from Chinese Taipei.
Among new, major FDI projects in Binh Duong are the Korea-based Kolon Binh Duong Co. Ltd.’s KVT-1 tire fiber production project in the Bau Bang Industrial and Urban Area. The project has registered investment capital of US$220 million for production of HMLS auto tire polyester fiber.
The ability to attract investors in support industries has made Binh Duong one of the best destinations for foreign investors. The provincial support industry sector has tremendous advantages and potential for businesses in the province and neighboring areas in terms of reducing reliance on imported materials. With the existing 28 industrial parks and hundreds of large-sized goods producers, Binh Duong has become one of the biggest attractors of FDI in support industries.
Provincial leaders said to improve the investment environment further, the province will in the short run focus on encouraging competitiveness and strongly support investors by improving infrastructure such as roads, water and electricity supply and waste treatment, while at the same time establishing a land fund to attract investment, particularly in key industries like support industries.
The province is committed to boosting administrative reform in a public, transparent and simple manner to best facilitate business activity, along with developing high-quality services to meet the need for production, trading and industrial and urban development.
Binh Duong Province will strive to build a strong support industry sector, establish a support industry area for production of automobile engines, and develop support industrial zones to facilitate mechanical engineering.