US businesses optimistic about Vietnamese economic rebound

VOV.VN - Approximately 80% of businesses from the United States remain bullish on Vietnamese prospects in both the medium and long term, according to a survey conducted by AmCham Vietnam.

Of the total, 29% of the respondents said they were planning to expand operations, while 49% said they would stay and increase the size of their investment. In addition, 18% said they would stay, although they may target new investments elsewhere, and 3% will stay but will move to shift some of their production elsewhere.

The survey was conducted between Nov. 15 and 17, attracting the participation of more than 550 member companies and 2,000 personal representatives of AmCham Vietnam, including the Da Nang branch.

Of those surveyed, 25% of enterprises expect to get back to normal by the end of the year, while 37%, 29%, and 6% expect to resume normal operations in the first quarter of 2022, the second quarter of 2022, and the second half of 2022, respectively.

The Vietnamese market boasts favourable conditions to both reopen and recover its economy due to the effective rollout of the COVID-19 vaccine nationwide, said Mary Tarnowka, executive director of AmCham Vietnam.

In contrast, international travel restrictions, supply chain disruptions, domestic travel restrictions, and labour shortages continue to be the key factors limiting operations of US businesses in Vietnam.

Survey respondents said they were facing labour shortages, as many workers left Ho Chi minh City and several other localities that are home to industrial park complexes for hometowns following the easing of travel restrictions. Many workers were struggling with managing work virtually and their children’s online learning due to school closures

To solve the problems, four fifths of US businesses suggested that local authorities speed up COVID-19 vaccinations to ensure workers are fully vaccinated. In addition, 61% of respondents suggested streamlining procedures for the travel of foreign experts, reopening schools and offering transportation for workers back from their hometowns.

Furthermore, roughly 80% of US businesses expressed their concern about inconsistencies in anti-pandemic policies among localities which they said need to be addressed soon.

The majority of American businesses thought consistent policies throughout the country and herd immunity could be key to economic recovery in Vietnam.

Related

US businesses prioritise Vietnamese supply sources
US businesses prioritise Vietnamese supply sources

VOV.VN - The United States has become the largest export market for Vietnamese businesses during the initial five months of the year with export value increasing annually by 49.8% to US$37.6 billion, according to insiders.

US businesses prioritise Vietnamese supply sources

US businesses prioritise Vietnamese supply sources

VOV.VN - The United States has become the largest export market for Vietnamese businesses during the initial five months of the year with export value increasing annually by 49.8% to US$37.6 billion, according to insiders.

US businesses keen to increase Vietnam imports
US businesses keen to increase Vietnam imports

VOV.VN - Supply chain news website Material Handling & Logistics of the United States has recently published an article which reveals that 43% of US-based respondents at the start of the year consider Vietnam to be among their top three buying geographies, double that of 2019.

US businesses keen to increase Vietnam imports

US businesses keen to increase Vietnam imports

VOV.VN - Supply chain news website Material Handling & Logistics of the United States has recently published an article which reveals that 43% of US-based respondents at the start of the year consider Vietnam to be among their top three buying geographies, double that of 2019.

Vietnam, US seek to beef up business, trade cooperation
Vietnam, US seek to beef up business, trade cooperation

Minister of Public Security Gen. To Lam held an online meeting with a high-ranking delegation of the US-ASEAN Business Council (USABC).

Vietnam, US seek to beef up business, trade cooperation

Vietnam, US seek to beef up business, trade cooperation

Minister of Public Security Gen. To Lam held an online meeting with a high-ranking delegation of the US-ASEAN Business Council (USABC).