Dong Nai FDI enterprises realize dual goals

Producing export goods at Boss Industry Co., Ltd in Song May Industrial Park

According to the Department of Planning and Investment of Dong Nai province, in 2020, the Covid-19 epidemic situation was complicated, but the province's FDI investment attraction still reached nearly 1.3 billion USD, nearly 30% higher than the plan. In which, there were 60 new investment FDI projects and 98 additional capital projects with nearly 700 million USD. This proved that many FDI enterprises still find markets to expand production and consumption of goods. Particularly in the first 4 months of 2021, Dong Nai attracted more than 700 million USD in FDI.

Fast production recovery

Through research, the level of production recovery of FDI enterprises in Dong Nai was quite fast. Starting from the third quarter of 2020, FDI enterprises began to restore production and began to accelerate to compensate for the months that were heavily affected by the Covid-19 epidemic, which had to stop or reduce the capacity of factories. According to FDI enterprises, the period of time most affected were about 3 months (March, April, May, 2020). After that, FDI enterprises expanded production in many different types of industrial products, including: textiles, machinery and components production, supporting industries... Goods produced for domestic consumption and export to many countries and territories. There were FDI enterprises that received large orders, so they deployed land to build factories and assembled production lines.

Mr Peter Wu, General Director of Boss Industry Co., Ltd., President of the Taiwan Trade Association in Dong Nai said: “Currently, I am managing 3 companies in the province and they are operating in stability thanks to the implementation of dual objectives at the request of the Government. 90% of products are exported to Japan and the United States. In mid-2020, I cooperated to invest more than 6 million USD to build a factory, buy machinery and add 1 factory to produce hospital beds for the medical industry and temperature monitors. These products are mainly exported to the United States”. According to Mr Peter Wu, there were dozens of Taiwanese enterprises in Dong Nai that were investing in expanding production.

According to the Korea Business Association in Dong Nai, despite the global epidemic, many Korean enterprises in Dong Nai still pour capital to expand production and business because they can find markets to consume goods. At the same time, the disease prevention in Dong Nai as well as in Vietnam is quite good, so enterprises can rest assured in production.

Many large capital projects

In 2020 and the first 4 months of 2021, FDI projects registered to increase their investment capital nearly 3 times larger than new investment projects. Because FDI enterprises that have invested in Dong Nai know well the advantages and policies of the province, they have trusted to invest more capital in the province. The FDI projects with large adjusted capital are Nestlé Vietnam Co., Ltd (100% capital from Swiss) in Amata Industrial Park, which has increased its investment capital by 132 million USD, bringing the total investment capital in Dong Nai to more than 400 million USD. Schaffler Vietnam Co., Ltd (100% capital from Germany) in Amata Industrial Park (Bien Hoa City) has just increased its investment capital by 50 million USD to expand the production of large and small bearings for consumption in the domestic market and export. Thus, Schaffler Vietnam Co., Ltd. has now invested more than 166 million USD in the province. Similarly, Chang Shin Vietnam Co., Ltd (Korean capital) in Thanh Phu Industrial Park (Vinh Cuu District) invested more than 87 million USD in producing export footwear.

Mr Will Mackereth, Director of Supply Chain of Nestlé Vietnam Co., Ltd. said: “The company has invested in Dong Nai quite effectively, therefore, in 2021, it has increased a large capital to open more factories to produce and process coffee products for domestic consumption and export. Despite the epidemic, the company still ensures a growth of 20%/year.

Chairman of the Provincial People's Committee Cao Tien Dung emphasized that the situation of the Covid-19 epidemic continues to be complicated, so in addition to effective epidemic prevention, the province also has many solutions to accompany and support businesses to overcome difficulties, stabilize production and business. Departments and branches shorten the time to process documents and procedures for enterprises to facilitate production and export expansion.

Vi Quan