16:22 | 01/12/2016 Economy
(VEN) - According to the Ministry of Planning and Investment’s Foreign Investment Agency, Germany registered 274 projects with total capital of US$1.36 billion in Vietnam by September 2016, ranking 20th among the 115 countries and territories investing in Vietnam.
|German projects invested in Vietnam have good quality and modern technologies|
German projects mainly focus on Ho Chi Minh City and the provinces of Dong Nai, Ba Ria-Vung Tau and Ninh Thuan. There have been 91 projects from Germany with capital of US$660 million in the manufacturing and processing sector, six projects (US$417.9 million) in electricity production and 41 projects (US$96 million) in the retail sector.
The annual survey of business perspectives among German companies operating in Vietnam announced by the Association of German Chambers of Commerce and Industry in Southeast Asia shows that German companies have high hopes in trade and production activities in Vietnam. Specifically, half of the German companies are positive with the development of the Vietnamese economy. Around 56 percent of businesses expect a better situation in the next 12 months, while 60 percent of companies consider increasing their investment and hire more employees for their investment plan.
Many German investors are willing to move their investment from China to Vietnam to make opportunities from the establishment of the ASEAN Economic Community and the signing of the EU-Vietnam Free Trade Agreement.
German projects in Vietnam invested by some large companies such as Siemens, Boehringer Ingelheim International and Draeger Medical Vietnam have good quality and modern technologies in compliance with the Vietnamese law. German enterprises now seek bigger investment opportunities in Vietnam in clean technology and medical and pharmaceutical equipment. Vietnam also wants to attract more investment projects from Germany, especially encouraging investment in high-tech, green technology and environmentally-friendly projects to meet the sustainable development target.
According to the Ministry of Planning and Investment, Germany is Vietnam’s largest trade partner in Europe, but their investment in Vietnam has been lower compared to other European countries. In addition to efforts to improve the investment environment, the Vietnamese government needs to organize more activities to provide information for German businesses.