The ministry has also proposed a VND100-trillion credit package which will develop the supporting industries, mainly for auto manufacturing. The fresh move brings hope for the automobile industry but also sparks doubt over the result of the huge funds for the project. Over the past dozen years, many plans have been proposed to help the automobile industry increase the local content but the situation has barely improved. The local content is still several percentage points, far below the 40% target, and imported cars have made more inroad into the local market, as many foreign-invested auto assemblers have closed down their plants and switched to auto trading. The author thinks that the automobile industry development plans have failed because management agencies have focused only on the financial aspect with tariffs and incentives, and the big market potential, which has yet to be materialized. In mathematical terms, finance is only the necessary, not the sufficient condition. The … [Read more...] about Auto industry needs more than money
Will Chinese HRC steel benefit if Vietnam raises tax?
Commenting about the Ministry of Finance’s (MOF) plan to raise the MFN (most favored nation) tax rate on HRC imports (72.08 group) from zero percent to 5 percent, Hoa Sen Group said the tariff hike won’t restrict the import of Chinese products to Vietnam, but may do more harm than good. Currently, both Vietnam and China are members of the ASEAN-China FTA (ACFTA). HRC products belonging to the 72.08 group imported to Vietnam can enjoy a preferential tax rate of zero percent. An analyst also warned that the tariff increase would make the situation more serious, because enterprises would have difficulties importing supplies, and domestic output still cannot satisfy the requirements. He went on to warn that if Vietnam raises the MFN tax rate by 5 percent, the average input material price in Vietnam would be higher than the world’s price by 8-9 percent, which means that the production cost will increase proportionally. This will make Vietnam’s steel products … [Read more...] about Will Chinese HRC steel benefit if Vietnam raises tax?
Young artists give Hanoi village a new coat of paint
The village has more than 20 paintings depicting nature as well as countryside life on its walls, adding considerably to its rural charm. Known to locals as Sua, the village is located in Van Duc Commune, Gia Lam District, on the banks of the Red River. It has an eponymous wharf that was a stopping point on an important waterway that connected the east side to the ancient citadel of Thang Long, the original name of Hanoi, meaning land of the rising dragon. A painter paints colorful parakeets on one of the village's walls. Six months ago, a group of seven young painters from several universities in Hanoi volunteered to decorate Chu Xa with murals. Next to the fields, a shed where workers store their tools now sports a mural of children flying kites. The village is well-known as a source of vegetables and fruits for Hanoi and surrounding provinces. This mural of a green capsicum, a cabbage, two tomatoes and two dragonflies also features a small boy with a hairdo seen … [Read more...] about Young artists give Hanoi village a new coat of paint
Formula One stars all geared up for Vietnam Grand Prix 2020
At a pre-race press conference for the 2019 Singapore Grand Prix this week, a reporter asked if Formula 1 should continue to expand to destinations which might not have a long history of motor sports, like Vietnam, or should it focus on its traditional heartland in places like Western Europe. Five-time world champion Lewis Hamilton said, "I think we should keep the historic ones, where we had the biggest following, because that crowd really makes the atmosphere, if you go to the UK for example. We have got to keep those. Losing Germany I think is a bit of a painful one." "But I think it is good to go to new territories for sure, to expand our reach as a sport. I prefer that they do a street circuit that can be taken down rather than, for example, India where they built that beautiful circuit and we do not get to race there anymore," he added. Construction of the F1 circuit in Hanoi began last March and is expected to take 12 months. It runs more than 5.5 kilometers long with … [Read more...] about Formula One stars all geared up for Vietnam Grand Prix 2020
Breakthroughs in Binh Duong New City development
The centralized administrative center of Binh Duong province is located inside the Binh Duong New City. (Photo: VNA) The Binh Duong New City is being built with the modern infrastructure to serve the local comprehensive, sustainable development. The 1,000-hectare Binh Duong New City was approved by the Prime Minister to become a sophisticated and modern urban area of Binh Duong city by 2020. The project is run by Becamex IDC, a leading industrial and urban development corporation which has seen success with the My Phuoc industrial park and a series of Vietnam-Singapore industrial parks across Vietnam. After three years of implementing the project, Becamex IDC has changed the facelift of Binh Duong remarkably. Mai Hung Dung, Vice Chairman of the Binh Duong provincial People’s Committee, said “We have communicated the goal of developing Binh Duong into a smart city among local residents, businesses, and vocational training facilities. We have cooperated with local … [Read more...] about Breakthroughs in Binh Duong New City development