HCM City authorities call for further investment from US investors

Wednesday, 2017-06-07 17:35:13
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Delegates discuss Vietnam-US trade relations for the 2017-2020 period at the Meet the USA 2017 event in Ho Chi Minh City on June 7. (Credit: VOH)
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NDO – Secretary of Ho Chi Minh City Municipal Party Committee Nguyen Thien Nhan delivered a welcome message to more than 100 US businesses, who are investing in Vietnam, at the “Meet the USA 2017” meeting, held in the southern city on June 7.

The event, jointly held by the Vietnamese Ministry of Foreign Affairs, the US Embassy in Vietnam and the American Chamber of Commerce in Vietnam (AmCham), gathered representatives from several Vietnamese ministries and 20 provinces and cities with cooperation with the US and more than 150 US businesses to discuss the issues within the framework of Vietnam-US trade during 2017-2020.

Speaking at the event, Politburo member Nhan said that investing in Vietnam at present is the right decision at the right time, stating that it is easy for US investors to find active partners in Vietnam, as the country has with a stable political environment and peace and harmony among the people.

Secretary Nhan added that this is also a very favourable time as the Vietnamese economy is on the rise and Vietnam wants to cooperate with the US in the 4.0 Industrial Revolution, while many local cities and provinces have deployed their smart urban and e-government development models.

He also emphasised the process of economic development in Vietnam associated with trade relations with the US, saying that since the two sides signed a bilateral trade agreement in 2000, both countries' trade have enjoyed significant benefits with co-developments.

“We have never had such dynamic exchanges. American businesses, with the advantage of modern technologies and professional management capacity, can take advantage of cheap labour costs in Vietnam. Labour costs in Vietnam are only about US$3 per hour, compared with US$30 per hour in the US. Korean investors have also seen this advantage and they have invested five times as much as the US in Vietnam," Nhan added.

Affirming his willing to welcome US investors, the secretary ended his speech with the message: "If you come to invest in Vietnam, both the Secretary and Chairperson of the City People’s Committee will come to welcome you!"

Politburo member and Secretary of Ho Chi Minh City Municipal Party Committee Nguyen Thien Nhan welcomes US investors to invest in Vietnam at the event. (Credit: tuoitre.vn)

Deputy Foreign Minister Ha Kim Ngoc said that during the visit of Prime Minister Nguyen Xuan Phuc to the US in early June 2017, the main topics of discussion in the talks between the two countries' leaders were economic cooperation, trade and investment.

According to Ngoc, both Vietnam and the US agreed to prioritise trade and investment and commit to creating jobs, facilitate trade growth and reduce trade deficit, so that both sides may enjoy the benefits.

Currently, total foreign investment in Vietnam is at US$303 billion, of which the US only accounts for US$12 billion, which is considered as not realising US potential.

US businesses from AmCham pledged to continue to consider investing in Vietnam, adding that they needed safeguards in terms of policy and legal framework for investment, fair competition and advanced services and infrastructure to connect to the global value chain.

AmCham praised Vietnam’s efforts in reducing administrative procedures and business expenses and affirmed that there would be more than 50 bilateral meetings between US businesses and Vietnamese localities to discuss potential investment cooperation.

The US Embassy in Vietnam also said that the US is strengthening efforts to recognise a market economy status in Vietnam by 2019.

At the meeting, both sides looked to the US to become the leading investment country in Vietnam, raising bilateral export-import turnover to over US$47 billion.