Samsung has been in close contact with the Ministry of Industry and Trade (MoIT), government agencies and associations to identify qualified local enterprises that could potentially become its suppliers.
Samsung Vietnam has been searching for potential local companies to joint its consulting programs, which would enhance their capacities and probability to joint the Korean giant’s global supply chain, according to Shim Won Hwan, Samsung Vietnam’s CEO.
Starting in 2015, companies participating in the consulting programs have witnessed an average increase in productivity of over 30%, said Shim, adding that this is the main reason for Samsung to expand the scale of this program.
Previously, Samsung has been in close contact with the Ministry of Industry and Trade (MoIT), government agencies and associations to identify qualified local enterprises, which would later join the program.
Since April 2018, Samsung in collaboration with the MoIT has been providing training courses for 200 Vietnamese consultants. Once completed, those consultants would support local companies to enhance productivity, in turn developing Vietnam’s support industry.
In comparison with the localization rate of 25% in 2014, Samsung’s current rate has increased to 58%. The number of local enterprises being Samsung’s Vietnamese tier-1 vendors have increased from 4 in 2014 to 35 as of present. By 2020, the number is projected to reach 50.
Over the past ten years, Samsung has invested a total of over US$17 billion in Vietnam and employed 160,000. In 2017, Vietnam's export turnover reached US$214 billion, of which Samsung alone contributed over US$54 billion.
Samsung's four subsidiaries in Vietnam posted revenue of a combined VND405 trillion (US$20.5 billion) and a profit of VND41.1 trillion (US$2.08 billion) in the first quarter this year, both increasing 50% year-on-year, according to the company's quarterly financial statements.
According to Samsung's statistics, around 50% of Samsung's smartphones and tablets are produced in Vietnam and exported to 128 countries and territories, including the US, Europe, Russia and Southeast Asia.
Illustrative photo.
|
Previously, Samsung has been in close contact with the Ministry of Industry and Trade (MoIT), government agencies and associations to identify qualified local enterprises, which would later join the program.
Since April 2018, Samsung in collaboration with the MoIT has been providing training courses for 200 Vietnamese consultants. Once completed, those consultants would support local companies to enhance productivity, in turn developing Vietnam’s support industry.
In comparison with the localization rate of 25% in 2014, Samsung’s current rate has increased to 58%. The number of local enterprises being Samsung’s Vietnamese tier-1 vendors have increased from 4 in 2014 to 35 as of present. By 2020, the number is projected to reach 50.
Over the past ten years, Samsung has invested a total of over US$17 billion in Vietnam and employed 160,000. In 2017, Vietnam's export turnover reached US$214 billion, of which Samsung alone contributed over US$54 billion.
Samsung's four subsidiaries in Vietnam posted revenue of a combined VND405 trillion (US$20.5 billion) and a profit of VND41.1 trillion (US$2.08 billion) in the first quarter this year, both increasing 50% year-on-year, according to the company's quarterly financial statements.
According to Samsung's statistics, around 50% of Samsung's smartphones and tablets are produced in Vietnam and exported to 128 countries and territories, including the US, Europe, Russia and Southeast Asia.
Other News
- Q2/2024: Hanoi businesses expect better performance
- Companies, universities team up to develop semiconductor workforce in Vietnam
- Upcoming Law on industrial park – Vietnam’s passage to attract new foreign investment wave
- Samsung and NIC partner to develop Vietnam's tech talent pool
- Global tech firms interested in Vietnam’s semiconductor industry: Planning minister
- PM urges Central bank to ensure positive growth in 2024
- Nhon – Hanoi station metro line: An example of Vietnam-EU cooperation
- Vietnamese Gov't to continue VAT cut for second half of 2024
- Four- and five-star hotels to boom in Hanoi as tourism rebounds
- Vietnam’s manufacturing sector returns to growth in April
Trending
-
Upcoming Law on industrial park – Vietnam’s passage to attract new foreign investment wave
-
Vietnam news in brief - May 5
-
Vietnamese Government steps up efforts to develop market for carbon credits
-
Vietnam seeks more information on Cambodia’s Funan Techo canal project
-
Hanoi: The 'epic victory' of Dien Bien Phu as seen in photos
-
Hanoi strives to ensure smooth high school exams
-
Carnaval Ha Long 2024 woos tourists with fireworks and drone light shows
-
Trivial jobs: Hanoians strive to keep their old trades alive
-
Affordable, quality tours offered at Hanoi Tourism Festival 2024