Southern provinces attract FDI as existing investors vote with their feet

Provinces such as Dong Nai and Binh Duong are seeing more and more investment from existing investors who have had a good run there. — Photo baotintuc.vn

The southern key economic zone is increasingly attracting investments from foreign investors who have already tasted success there.

Most of the investment is in hi-tech and supporting industries.

In Dong Nai Province, dozens of foreign businesses have been expanding or investing in new projects.

Some of the notable ones approved this year include two electronic part and component factories by Korean companies Hansol Electronics Viet Nam and Platel Vina at a cost of US$100 million and $30 million.

The two already have successful projects in HCM City and Dong Nai.

Cao Tien Dung, chairman of the Dong Nai People’s Committee, said there are around 372 projects from Korea and 253 from Japan in local industrial parks.

Companies from the two countries have been investing anew and expanding in the province in a wide range of industries such as footwear, textile and garment and supporting industries, and this is expected to continue, according to Dung.

Binh Duong Province has attracted $301 million, including $253 million in existing projects.

In HCM City, US giant Intel Products is set to invest an additional $475 million in its existing plant to increase production of 5G products and Intel Core processors.

With the availability of land shrinking, the HCM City Hi-tech Park is focusing on the expansion of existing projects rather than new ones, according to its management.

It plans to build a 160ha science and technology park in the future to attract investment in hi-tech.

Hua Quoc Hung, head of the HCM City Exporting Processing and Industrial Zone Authority, said the aim is to attract $550 million worth of FDI, especially in key sectors and supporting industries.

The first two months of the year saw $5.46 billion worth of FDI coming into Viet Nam, a 15.6 per cent drop from the same period last year.

Japan, Singapore and South Korea have been the three largest investors. – VNS