Vietnam news highlights for April 29, 2023

Vingroup dissolves subsidiary Vietnam Grand Prix

The Formula 1 race track under construction in early 2020. Photo: VGP

Giant conglomerate Vingroup on April 28 announced the dissolution of its subsidiary Vietnam Grand Prix, a company that has a charter capital of VND1 trillion (US$23.46 million). The company was founded in August 2018 on expectations it would host the first Formula 1 race in Vietnam.

The Formula 1 race in Vietnam was initially scheduled for April 2020 at Hanoi’s My Dinh National Sports Complex. A race track was finished in February 2020 after 11 months of construction, stretching on a 5.5-kilometer length. However, the Covid-19 pandemic broke out globally, preventing the race from becoming real.

Parkson Vietnam files for bankruptcy

Retail enterprise Parkson Vietnam on April 28 filed for voluntary bankruptcy proceedings in the People’s Court of HCM City, according to its Malaysia-based parent firm Parkson Retail Asia. In a statement this week, Parkson Retail Asia blamed the impacts of the Covid-19 pandemic and high taxes for the corporate loss.

In the financial year 2022, Parkson Vietnam recorded a pre-tax loss of US$1.72 million against a pre-tax profit of US$10.26 million made in the previous year. Parkson entered Vietnam in 2005 and developed and operated a maximum of 10 malls in Vietnam. Before bankruptcy, there was only one in HCM City.

Prime Minister of Luxembourg Xavier Bettel to visit Vietnam

Prime Minister of the Grand Duchy of Luxembourg Xavier Bettel will arrive in Vietnam on May 3-5 for an official visit. He's scheduled to meet his Vietnamese counterpart Pham Minh Chinh, attend the Vietnam-Luxembourg Business Forum, and witness the signing of several bilateral cooperation agreements.

The diplomatic relations between Vietnam and Luxembourg began in November 1973. As of March 2023, Luxembourg investors had invested a total of US$2.6 billion into 64 projects in Vietnam, focusing on communication, construction, and real estate. Luxembourg is the third largest EU investor and the 17th largest investor globally in Vietnam. 

Ancient State of Dai Co Viet honored, Hoa Lu Festival 2023 opened

UNESCO-recognized Trang An Landscape Complex in Ninh Binh Province. Photo: vietnamdiscovery.com

Ninh Binh Province on April 28 held a ceremony to celebrate the 1055th anniversary of the State of Dai Co Viet at the Hoa Lu Ancient Capital relic. In 968-1010, Hoa Lu was the capital of Dai Co Viet (the ancient state of Vietnam) under the dynasties of Dinh, Tien Le (Former Le), and Ly.

For more than 1,000 years, the State of Dai Co Viet and Hoa Lu Ancient Capital remained the foundation of Vietnam’s independence against foreign invasions, affirming the nation’s self-reliance, resilience, and sovereignty. At the relic, the province also opened the Hoa Lu Festival 2023 which honors the great kings in the history of Vietnam and promotes local cultural traits to domestic and international communities.

FPT Telecom to join undersea optical cable project

FPT Telecom, a member of Vietnamese technology giant FPT Corporation, plans to invest US$87 million in the Asia Link Cable to improve internet connectivity for Vietnamese users. The 6,000-kilometer-long cable connects various destinations in Asia such as Hong Kong and Hainan of China, Luna and Bauang of the Philippines, Tungku of Brunei, and Changi of Singapore.

The Asia Link Cable will take charge of building a cable to connect Vietnam to the network, whilst FPT Telecom will build, operate and manage its own terminal. Vietnamese telecommunication enterprises like FPT Telecom, VNPT, Viettel, and CMC Telecom have joined five international optical cable projects.

iPhone imports valued at US$1.6 billion in 2022

Vietnamese consumers purchased US$1.6 billion worth of imported iPhones in 2022, according to the Ministry of Industry and Trade. The US brand was followed by Samsung and Oppe, whose import values were US$940 million and US$442 million in 2022. Leading international phone producers included Apple, Samsung, Oppo and Xiaomi owned 93.4% of the total market share.

Vietnam’s imports of completely-built phones yielded 10.5% on-year to US$3.5 billion. Meanwhile, total imports of smartphones and spare parts in 2022 fell 1.6% on-year to US$21.1 billion with a majority of producers coming from South Korea and China.

First Vietnam food festival in Quang Tri Province kicked off

The Vietnam Culture and Food Festival 2023 opened at Cua Viet Town in Quang Tri Province’s Gio Linh District, the first of its kind in the locality. It aims to promote Quang Tri beauty and cultural traits as well as Vietnamese culture and cuisine and make the nation one of the best destinations for international travelers.

The three-day festival ending April 30 will feature some 80 producers that offer visitors a diversity of foods from all three regions of the country, carrying the cultural traits of each region and province.