HCM City blazes the trail in FDI attraction

Another key project of Nidec Sankyo of Japan in the city’s high tech zone attracted supplementary FDI of US$13 million, with the immediate aim of augmenting camera and computer spare parts.

According to Hidetoshi Simada, director general of Nidec Sankyo, the company also has its eye on widening production to include components for air conditioners, refrigerators, cars, and water heaters for Japanese firms in Asia next year.

The year’s success was attributable to the city focus on administrative reforms, boosting human resource development and upgrading infrastructure, especially for the service and high-tech industries, said Le Hoang Quan, chairman of the HCM City People’s Committee.

City officials also held a high number of face to face meetings with foreign investors to get a solid understanding of their concerns and to provide them the assurances the city would create the best possible conditions, particularly in the industrial and processing zones.

Since early this year, Saigon Hi-tech Park (SHTP) has attracted 70 projects, fulfilling its first phase targets. The second phase is currently underway on a total area of more than 600 ha, with dozens of investors having registered so far, Quan added.

Quan underscored that the top priority would be given to investors in the high-tech industry, as well as those projects on information technology, telecommunications, new materials, and automation in the upcoming year.

Dr. Le Hoai Quoc, head of the SHTP management board, in turn said the city would also offer incentives for those businesses engaging in technology transfer and providing spare parts for Intel and Samsung.

Investors currently have invested more than US$2 billion in the SHTP, helping HCM City take the lead the nation in FDI attraction (around US$3.2 billion) for 2014.