US-Vietnam partnership intensifies

17:39 | 24/02/2020
American and Vietnamese businesses are increasingly tightening partnerships to pursue new investment projects.
us vietnam partnership intensifies
US-Vietnam partnership intensifies

The US Mission to Vietnam will lead a delegation of Vietnamese companies to Washington, D.C. to attend the SelectUSA Summit on June 1-3. The summit is an unparalleled opportunity to bring together investors from all over the world, economic development organisations from every corner of the United States, and senior government officials to facilitate investment in the US. The trip will pave the way for Vietnamese companies to invest in the US and form partnerships with American businesses.

Consul general Marie Damour spoke at last week’s seminar in Ho Chi Minh City, “We continue to make it one of our top priorities to promote a commercial relationship with Vietnam that is developed on the foundation of free, fair, and reciprocal trade and contributes to the prosperity of both of our countries,” she said. “I often speak about the benefits of purchasing US manufactured products, but there is another aspect of the US-Vietnam commercial relationship that has only recently begun to develop – Vietnamese investment in the US.”

Indeed, the US and the Southeast Asian nation have made efforts to tighten economic ties. Last year marked the 25th anniversary of the establishment of economic relations between the US and Vietnam, while 2020 will celebrate the anniversary of official diplomatic relations between the two countries. Over the past 25 years, US businesses have brought capital, corporate governance, and training programmes to Vietnam.

us vietnam partnership intensifies

According to Vietnam’s General Statistics Office, last year, Vietnam was the US’ 13th largest trading partner with a total trade value of $75.6 billion, including US exports to Vietnam totalling $14.3 billion.

So far, American investors have registered $9.4 billion in about 990 projects across Vietnam.

Amanda Rasmussen, chairwoman of the American Chamber of Commerce in Vietnam, said that the prospects for US investment to Vietnam are good and improving, and many US companies are planning to move to the country. The US is still one of the top investors in Vietnam. Americans are in Vietnam putting money into manufacturing and infrastructure, as well as providing high quality consumer goods, agricultural and industrial products, and technology and services. US companies have invested billions of US dollars here, integrating Vietnam into the global supply chain, creating quality jobs, and helping the country become more productive, efficient, safe, and cleaner, according to Rasmussen.

CEO of Underwriters Laboratories Keith Williams said, “Vietnam is an important growth market for our business. Our investments here support local manufactured products to meet global standards and requirements for export markets. In addition, our research in safety science goes towards helping safe, secure, and sustainable living and working environments in Vietnam.”

On the same note, Keith Meyer, president of Alaska Gasline Development Corporation said, “Vietnam is one of the most exciting growth markets in the world for liquefied natural gas. I think there is a great chance to form a long-lasting bond between Vietnam and Alaska in development of each other’s natural gas infrastructure.”

According to Vu Tu Thanh, deputy regional managing director of the US-ASEAN Business Council in Vietnam, Vietnam is the most attractive economy in the ASEAN in the eyes of American investors.

“Vietnam should define its role in the regional and global economy. Enterprises should participate more actively in global supply chains, ­especially in key sectors like ­agriculture, tourism, digital content, healthcare, energy, and climate change response,” Thanh said.

He added that besides implementing international rules, Vietnam should continue its efforts to create favourable conditions for domestic and foreign enterprises to increase investment and expand production and business activities. “Once they believe in the government’s commitment and capability to protect their interests in international market transactions, they will have more motivation to invest in the country,” said Thanh.

Over 100 Vietnamese investors took part in a seminar held in Ho Chi Minh City last week to explore business opportunities in the United States.

The seminar was part of the US Mission to Vietnam’s ongoing recruitment for June’s SelectUSA Investment Summit in Washington, D.C. The third annual “Invest in the USA” seminar described the benefits of investing in the US, home to the largest consumer market in the world with GDP of $20 trillion.

The seminar provided Vietnamese companies with practical guidance on Vietnamese requirements for outbound foreign direct investment, US legal and regulatory considerations for inbound foreign direct investment, US tax considerations for Vietnamese “Permanent Establishments”, visa instructions for non-resident investors, and US federal and state government resources available to assist investors in their search.

By Thanh Van

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