Nghi Son Refinery and Petrochemical Co., Ltd. project, one of the typical projects of Japanese investors in Vietnam, has a total investment capital of 9 billion USD.

Analyzing the shift of FDI inflows of Japanese investors into Vietnam, economist and National Assembly member Phan Duc Hieu compares data for the first 10 months of 2021 with the same period last year. In the first 10 months of 2020, Japan is the 4th-ranked investor with a total newly registered capital of nearly 472 million USD and about 50 new projects.

However, entering 2021, within 10 months alone, Japanese investors have invested in 150 new projects (3 times higher than the same period last year), adjusted 105 projects and 170 projects contributed to the same period last year. capital, buying shares with a total registered capital of 3.38 billion USD, ranking 3rd out of 97 countries and territories investing in Vietnam (after Singapore and South Korea).

“FDI inflows from Japan to Vietnam have had impressive, sharp and very positive growth despite the difficulties and challenges caused by the impact of the COVID-19 epidemic, demonstrating the confidence of Japanese FDI enterprises and the strength of their strength. attraction of the Vietnamese market. This is also a good opportunity to continue to expand and deepen investment cooperation between the two sides in the new context," said Mr. Hieu.

The latest report of the Ministry of Planning and Investment on investment cooperation between Vietnam and Japan indicates that, as one of the leading important investment partners of Vietnam, Japan has now invested in 57/ 63 provinces and cities of Vietnam. Thanh Hoa is Japan’s largest foreign investment attraction with a capital of 12.5 billion USD, accounting for 19.59% of total investment capital.

Smart city project in Dong Anh district, Hanoi with investment capital of 94,349 billion VND, invested by Sumimoto Joint Venture (Japan) and BRG Group.

Forming the supply chain of Vietnamese - Japanese enterprises

Mr. Shimuzu Akira, Chief Representative of the Japan International Cooperation Agency in Vietnam, said that Japanese businesses consider Vietnam to have a particularly important position in the formation of supply chains, so they choose Vietnam. is a strategic investment destination in investment and business activities.

Two of the factors that attract Japanese investors are high-quality human resources and competitive labor costs. Therefore, Mr. Akira believes that the investment and project development needs of Japanese businesses in Vietnam will not be affected even in the context of the COVID-19 pandemic.

Currently, Japanese investment projects in Vietnam focus on 19 industries and fields, but the largest concentration is in the processing and manufacturing industry with 1,842 projects with a registered capital of 41.79 billion USD. signed, accounting for 65.3% of total investment capital. The electricity production and distribution sector ranked second with 19 projects, with a total investment of 7.4 billion USD, accounting for 11.5% of total investment capital. Next is the real estate business with a capital of 6.97 billion USD, accounting for 10.9% of total investment capital.

Some typical projects of Japanese investors in Vietnam such as: Nghi Son Refinery and Petrochemical Company Limited Project, total investment capital is 9 billion USD; Smart City Project, total investment is 4.13 billion USD with the goal of investing in building a smart urban area with synchronous technical and social infrastructure, including a financial and commercial center, kindergartens, flower gardens, parks, housing areas of investment projects in Hanoi; Investment project to build Nghi Son 2 BOT thermal power plant, total investment is 2.79 billion USD in Thanh Hoa.

In addition, according to a representative of the Japan International Cooperation Agency, the increasing trend of Vietnamese enterprises investing abroad in Japan is a remarkable point, showing that Vietnam and Japan are similar partners. agree with each other. For example, in the field of information technology, a large Vietnamese enterprise currently has 10 branches in Japan. This is a testament to the fact that excellent Vietnamese enterprises can easily cooperate with Japan, as well as the prospect of Vietnamese investment in Japan that can be implemented in reality.

On the other hand, information from the Asia-Africa Market Department (Ministry of Industry and Trade), large Japanese FDI enterprises such as Canon, Panasonic in the field of electronics; Toyota, Honda, Yamaha, Suzuki, Mitsubishi belong to the manufacturing industry group; representatives of the energy industry are Marubeni, Sojitz, Idemitsu, Mitsui or Toray Textile and Garment Group; ... all play an important role in meeting energy consumption needs and improving production and export capacity, helping Vietnam Nam gradually participates deeper, wider and has a better foothold in the global value chain, especially in fields such as mechanics, metallurgy, chemicals, electricity - electronics, energy, textiles and garments, and footwear. ../.