State President encourages RoK investment in Vietnam

Receiving leaders of these businesses in separate meetings, Phuc said with Vietnam joining new-generation free trade agreements (FTA), RoK businesses investing in Vietnam have the opportunity to enter ASEAN and Asia - Pacific and many other large, lucrative markets.

Vietnam expects to attract RoK investment in their areas of strength such as high technology, green growth and environmental protection, he told the executives.

Cho Hyun-joon, chairman of Hyosung, briefed the president on the group’s operations in Vietnam, saying since its first project deployed in Dong Nai province, the firm has so far poured more investments into Vung Tau, Quang Nam and Bac Ninh, with a total investment of US$3.5 billion and generating 10,000 jobs. In addition to garment and manufacturing, the group wishes to invest in prospective areas in Vietnam such as environment, green growth.

Phuc spoke highly of Hyosung’s effective operations in Vietnam, as well as its plan to increase its investment in the country, noting the group’s new investment plan will create input materials for major factories of Korean enterprises in the country.

Receiving Han Jong-hee, chairman of Samsung Electronics, Phuc singled out Samsung as an exemplary role model in deploying business and investment strategies in Vietnam.  

The group is effectively investing in Vietnam with a capital of up to US$18 billion and its export turnover last year reaching US$65.5 billion, turning Vietnam into a world smartphone manufacturing hub, he said.

The State President highly appreciated Samsung’s plan to raise its investment capital to US$20 billion, and expected that the group would continue to invest in Vietnam in the fields of supporting industries and smart technology, to develop the country into a leading production base globally.

CEO Han said he has met his commitment made during his meeting with the President in 2018 who was then Prime Minister of Vietnam, that Samsung would build a research and development centre in Hanoi. The R&D center has taken shape and will be put into operation soon, he said, adding the group wants to invest in developing young and new human resources, and promoting research on artificial intelligence, and big data.

While receiving Kang Seng-hoon, chairman of the Korea Development Bank (KDB), hailed the bank’s plan to enter Vietnam’s banking-finance market. He suggested that KDB support Korean firms to invest in Vietnam, especially in green and sustainable financial development, as well as promoting the development of a green bonds market in the country. The president welcomed KDB’s proposal to cooperate with the Ministry of Finance to develop a sustainable development plan for the Vietnam Development Bank (VDB).

Kang, for his part, said KDB plays an important role in developing key industries such as automobiles, ships, chemicals, and heavy industry in the Republic of Korea, and it wishes to share its development experience with Vietnam. The group desires to provide capital for Korean businesses in Vietnam’s priority fields including green development, environment, and clean energy.

KDB is expanding and developing new business fields, financial products and services in Vietnam, said Kang.