At the signing ceremony. Both sides will work to find potential suppliers, connect with businesses operating in Việt Nam, share experience in supplier development and build supply chains. Photo tuoitrethudo.vn

Toyota Motor Vietnam Co Ltd and the Ministry of Industry and Trade’s Industry Agency on Monday signed a memorandum of understanding (MoU) on their cooperation project to improve the capacity of domestic enterprises operating in supporting industries and strengthen their linkages with automobile assemblers.

With its signing marked the second year the two signatories have joined a collaboration to support Vietnamese firms, the project will be implemented in 2021 and 2022.

In the project, the sides will work to find potential suppliers, connect with businesses operating in Việt Nam, share experience in supplier development, build supply chains, and improve the capabilities of domestic suppliers.

President of Toyota Motor Vietnam Ueda Hiroyuki said via activities such as searching, evaluating, and selecting potential suppliers and helping them improve their capacity and competitiveness, Toyota Vietnam hopes to contribute to building a system of suppliers serving the development of Việt Nam's auto supporting industry.

For Toyota Vietnam, the promotion of localisation is not only to increase the number of Vietnamese suppliers, but also, more importantly, to improve their capacity and quality, hence reducing production costs and raising competitiveness, according to the president.

Currently, the company has 46 suppliers, including six from Việt Nam, with its total number of localised products exceeding 720. — VNS