Prime Minister urges ASEAN businesses to prioritize high quality investment in Vietnam

The Hanoi Times -- Prime Minister Pham Minh Chinh urges ASEAN businesses to expand their operation, increase high-quality investment, and transfer technology when investing in Vietnam.

The leader stressed this view when he chaired a roundtable discussion with ASEAN businesses operating in Vietnam on March 4. It was the 10th meeting in nearly a month between the leader and domestic and foreign enterprises and financial institutions to promote investment and business activities to achieve this year's economic growth target of 8%.

Several ASEAN countries rank among the top foreign investors in Vietnam, including Singapore, Malaysia, and Thailand. Singapore, for example, is the largest ASEAN investor in Vietnam, with 3,946 projects totaling US$84.3 billion.

Prime Minister Chinh urged ASEAN businesses to expand their operations and increase high-quality investment in Vietnam. He also called for a greater transfer of advanced and core technologies, as well as assistance in training a high-quality workforce and sharing expertise in management and smart governance.

"We should strive for flagship economic cooperation projects between Vietnam and ASEAN countries," Chinh said. Specifically, he encouraged Singaporean businesses to work with both governments to implement the Framework Agreement on Connecting the Two Economies and the Vietnam-Singapore Green and Digital Economic Partnership. He also suggested expanding and upgrading the Vietnam-Singapore Industrial Parks (VSIPs) into smart, green, and sustainable models that integrate industrial ecosystems.

Thailand is Vietnam's leading trading partner and the second largest investor in ASEAN. In light of this, the prime minister urged Thai businesses to strengthen supply chain links and cooperate in strategic sectors such as transportation, tourism, and energy transition. The goal is to increase bilateral trade to $25 billion in the near future.

For Malaysia, Chinh called for facilitating investment between businesses from both countries, especially in emerging sectors. Similarly, he encouraged Indonesia and the Philippines to reduce trade barriers and boost bilateral trade to $20 billion and $10 billion, respectively.

"Vietnam is committed to creating a favorable investment and business environment, protecting the legal rights and interests of enterprises, and ensuring political and legal stability," said Chinh.

He also stressed the importance of mutual understanding and urged ASEAN businesses and Vietnamese authorities to work together for common development. ASEAN is Vietnam's fourth largest export market, with the country exporting nearly US$84 billion worth of goods to the region last year.

During the discussion, ASEAN government and business representatives in Vietnam expressed their willingness to work together to achieve economic growth targets. They also pledged to increase investment in high-potential sectors such as high-tech, semiconductors, artificial intelligence (AI), aviation, energy, e-commerce, industrial infrastructure, and logistics.

However, ASEAN businesses called on the Vietnamese Government to further improve policies, ensure transparent and reasonable taxation, simplify customs procedures, and remove technical barriers to imports.

They also called for more flexible policies on investment licensing, land use, and foreign ownership. In response, the prime minister instructed ministries and agencies to address these concerns with clear responsibilities, tasks, and outcomes. He emphasized that Vietnam is actively addressing challenges based on the principle of "harmonized interests and shared risks."

"Vietnam has always regarded ASEAN as a common home and ASEAN countries as close neighbors," he said, reaffirming the country's commitment to building a strong and united ASEAN Community.