More Japanese enteprises want to expand their investment activities in Vietnam, announced President of the Japan External Trade Organisation (JETRO), Hiroyuki Ishige, on May 26.
The JETRO’s report shows that the index relating to Japanese enterprises’ operation in Vietnam, have seen marked improvement in recent years.
JETRO’s President announced that, according to a survey on the operations of Japanese enteprises abroad in the 2016 fiscal year, Vietnam, along with the US and Western Europe, are the three most important export markets of Japan.
Accordingly, 7.6% of Japanese enterprises selected Vietnam as their most important export destination, whilst 19.8% and 15.5% of them chose China and the US, respectively.
JETRO also stated that the number of Japenese businesses that wish to expand their operations in Vietnam has increased from 32.4% to 34.1%.
Also according to JETRO, Vietnam has become an investment destination in which Japanese businesses tend to enhance their basic functions in sales and manufacturing. The number of
Japanesse enterprises intending to expand their sales in Vietnam increased from 22% in the previous fiscal year to 25.1%, elevating Vietnam from fifth to fourth position, after China, Thailand and the US.
In the list of investment destinations that Japanese enterprises wish to strengthen their production of high value items, Vietnam jumped from fourth to third place.
Out of 70 Japanese enterprises that have shifted their investment from other markets to ASEAN in 2016 fiscal year, 38 (accounting for over 50%) selected Vietnam.
JETRO’s President Ishige emphasised that Japanese enterprisese highlighted three favourable conditions in Vietnam for investors, including stable politics and society, a large-scale market with high growth potential, and cheap labour costs.
JETRO is supporting all small and medium-sized Japanese enteprises seeking direct investment in Vietnam, through seminars on investment environment, distribution of investigative reports and the provision of advisory services at the orgnisation’s offices in Hanoi and Ho Chi Minh City.
Source: Nhan Dan
Key words: Japanese enterprises, want to expand, operations, in Vietnam
