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Japanese businesses eye Vietnamese market
27/02/2014

Many Japanese firms are planning to invest or expand their operation in the Vietnamese market, especially in the support industry. 

The information was released at a forum held in Ho Chi Minh City on October 9 to promote trade and investment between Vietnam and Japan .

Participants at the event said to lure more investments, Vietnam should further create favourable conditions for Japanese businesses, including introducing a stable legal framework, improving the transparency of tax and customs procedures and providing small and medium businesses with support in infrastructure.

Addressing the event, Deputy Minister of Industry and Trade Ho Thi Kim Thoa said over the past five years, Japan has taken the lead in investment in Vietnam, having made marked contributions to the country’s electricity and nuclear power development.

She noted that the two sides’ businesses should make full use of the opportunities provided by the agreements reached between the two countries, especially taking advantage of preferential tariffs.

In terms of trade, along with traditional products that have gained a foothold in Japan , many new Vietnamese exports such as wood products, vietnam handicraft , foodstuff, and agriculture products have successfully entered the market.

As of August 2013, Japan has operated 2,014 projects in Vietnam with a total registered capital of more than 32.78 billion USD.

The two countries have signed an agreement on investment promotion and protection and coordinated in a joint initiative to improve Vietnam ’s investment environment and competitiveness.

Yasuzumi Hirotaka, Managing Director of the Japan External Trade Organisation, said at a time when labour costs and the prices of production materials are increasing, international investors including Japanese are turning to Asian markets with high potential. Lower labour costs, a huge market and the participation in the Trans Pacific Partnership agreement are making Vietnam an attractive and important destination for Japanese investors

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