The growth of foreign-invested enterprises (FIEs) in Vietnam has recently raised increasingly complicated tax concerns. These problems arise primarily from the practical issues of determining the transaction price between FIEs and their related parties.
Domestic groups, including state-owned and private enterprises, have always been two important pillars of the economy.
Experts have warned of the attempt by many foreign invested enterprises (FIEs) to dodge the laws to enjoy preferences and make local authorities ‘lose lock, stock and barrel’.
Investors will enjoy more favourable conditions with regards to starting a business, tax, credit access, and investment protection in 2020 buoyed by the Vietnamese government’s latest action plans, anticipating fresh opportunities in the new decade of sustainable growth and Industry 4.0.
Foreign-invested enterprises will no longer be allowed to ignore their tax obligations as Vietnamese tax departments step up action on duty-dodging businesses.
A number of foreign-invested enterprises have been unlisting their shares in Vietnam due to alleged legal problems. Nguyen Hung Quang, managing director at NHQuang & Associates, delves into the reasons behind the issue and their responses in practice.
The Vietnamese footwear market may face problems if the US imposes a tariff of 25 percent on Chinese products in the current trade war.
Despite Vietnam’s restrictions on direct drug distribution by international pharmaceutical companies, more foreign-invested enterprises are seeking opportunities in the lucrative local market.
Vietnamese enterprises are finding it hard to improve production value since they remain dependent on imported materials.
Heavy reliance on FDI (foreign direct investment) and high national debts are the two biggest concerns for Vietnam’s economy, experts say.
Analysts estimate that foreign invested enterprises (FIEs) now hold 80% of the animal feed market share, while Vietnamese enterprises only have 20%.
Vietnam expects a bright export picture for 2018, driven by the key export items of phones and electronic components, textiles and garment and footwear, as well as a growing trade surplus despite protectionist measures coming into effect across the globe.
As large-scale state-owned enterprises (SOEs) in Vietnam are performing poorly, the establishment of a ministry-level commission for managing state capital at SOEs is expected to help them improve operational effectiveness tremendously.
With Industry 4.0 on the rise, Vietnam is looking to change its strategy for attracting foreign direct investment to become more selective, with a focus laid on high-technologies. But how can the country reach this goal?
One of the deepest hopes clinging to foreign direct investment (FDI) is the transfer of technology to domestic firms with which the national economy expects to enhance its technological strength.
Vietnam has become an important production base where valuable industrial products such as mobile phones and tablets are made. However, Vietnamese enterprises still cannot find positions in global supply chains.
For the first time, foreign invested enterprises’ revenue and specific contributions to Vietnam’s state budget have been revealed, with the electronics and garment-textile industries being their biggest earners.
The changes in tax policy and investment incentives are the issues of greatest concern for foreign investors in Vietnam, said Bui Ngoc Tuan, Deputy General Director of the Audit and Advisory firm Deloitte Vietnam at a workshop on in Hanoi on July 10.
The foreign direct investment (FDI) picture in the first half of 2018 has kept the black spot of technology transfer despite capital inflows increasing against last year.
Amidst growing demand for qualified manpower among domestic and foreign-invested enterprises (FIEs), technology applications in human resources training are predicted to become a popular trend in Vietnam ahead of the enforcement of the Comprehensive and Progressive Pacific Partnership (CPTPP).
