Business
Vietnam becomes more attractive to RoK investors
The investment from the Republic of Korea (RoK) will continue to rise strongly, according to General Secretary of RoK Business Association in Vietnam Hong Sun.
Currently, Vietnam is an attractive destination for investment from RoK, General Secretary of RoK Business Association in Vietnam Hong Sun said.
Many RoK firms are planning to invest in Vietnam, he noted, and believing that the surge of investment from the RoK will continue in the coming time.
According to the offcial, several enterprises wish to expand their operation in Vietnam to meet the increasing demand of major industrial groups already operating in the country, especially Samsung and LG.
The key industrial groups, including Samsung, LG, Posco, Lotte, CJ and Daesang Corp, are also planning to expand their businesses in the Southest Asian nation, he noted.
He said the trend is attributed by positive impacts of the Vietnam-Korea Free Trade Agreement (VKFTA) which came into force in late 2015 and the establishment of a centre to support the deal in March of the previous year.
He highlighted that while the VKFTA creates favourable conditions for investment in various fields, current Korean-invested projects in Vietnam mainly focus on the processing industry, industrial production, real estate and construction.
With the target of the VKFTA to lower taxes along with Vietnam’s preferential policies, the country’s energy sector is expected to draw more RoK investors, he said.
The RoK is one of the biggest overseas investors in Vietnam with 5,656 projects worth 51.5 billion USD, and Vietnam is currently the fourth largest foreign investment partner of the RoK.
Hong Sun stressed that besides geographical advantages, Vietnam boasts a young population, hardworking labourers and stable economic development. Vietnam is a market where businesses of the RoK can flourish because of similar characteristics in culture and education of the two countries. In addition, Vietnamese people are interested in RoK products.
Many RoK firms are planning to invest in Vietnam, he noted, and believing that the surge of investment from the RoK will continue in the coming time.
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The key industrial groups, including Samsung, LG, Posco, Lotte, CJ and Daesang Corp, are also planning to expand their businesses in the Southest Asian nation, he noted.
He said the trend is attributed by positive impacts of the Vietnam-Korea Free Trade Agreement (VKFTA) which came into force in late 2015 and the establishment of a centre to support the deal in March of the previous year.
He highlighted that while the VKFTA creates favourable conditions for investment in various fields, current Korean-invested projects in Vietnam mainly focus on the processing industry, industrial production, real estate and construction.
With the target of the VKFTA to lower taxes along with Vietnam’s preferential policies, the country’s energy sector is expected to draw more RoK investors, he said.
The RoK is one of the biggest overseas investors in Vietnam with 5,656 projects worth 51.5 billion USD, and Vietnam is currently the fourth largest foreign investment partner of the RoK.
Hong Sun stressed that besides geographical advantages, Vietnam boasts a young population, hardworking labourers and stable economic development. Vietnam is a market where businesses of the RoK can flourish because of similar characteristics in culture and education of the two countries. In addition, Vietnamese people are interested in RoK products.
