The latest statistics from the Vietnam Statistics Bureau show that in the first eight months of this year, Vietnam attracted 2,406 foreign investment cases, amounting to US$9.12 billion, of which China’s investment in Vietnam amounted to US$1.87 billion.
Under the influence of the US-China trade war, many Chinese-funded enterprises have recently turned to Vietnam to set up factories to avoid high tariffs.
Vietnam’s “Youth” news website quoted economic expert Tran Dinh Thien as saying that Chinese-funded foreign capital has increased rapidly. Although it has brought benefits to Vietnam’s economic development, it also hides Chinese businessmen from introducing backward technology, environmental pollution and using investment in Vietnam. The risk of engaging in trade fraud such as “washing of the place of production” suggests that the government should improve the ability to review foreign investment cases and formulate a sound legal system for foreign investment management.
According to statistics from the General Statistics Office of Vietnam, in the first eight months of this year, Vietnam attracted foreign investment totaling US$22.63 billion, a decrease of 7.1% compared with the same period last year. Among them, the new investment case totaled 2,406 items, amounting to US$9.12 billion; the expansion of investment cases totaled 908 items, amounting to US$4 billion; and foreign companies contributed US$9.51 billion to purchase investment trusts.
In the first eight months of this year, Vietnam’s processing and manufacturing industries attracted the most foreign investment, amounting to US$15.74 billion; the investment in real estate and wholesale and retail sectors was US$2.31 billion and US$1.19 billion, respectively, ranking second and third.
In the first eight months of this year, foreign investors invested the most in Vietnam’s Hanoi city, amounting to 5.66 billion US dollars; southern Ho Chi Minh City and Binh Duong (Binh Duong) ranked 2nd and 3rd respectively for 3.86 billion US dollars and 1.95 billion US dollars.
In terms of new investment cases, China’s investment in Vietnam reached US$1.87 billion in the first eight months of this year and continues to be the largest investor. South Korea and Japan invested US$1.72 billion and US$1.18 billion respectively, ranking second and third. Hong Kong and Singapore were $1.1 billion and $1.03 billion, respectively, separated by 4th and 5th. Thailand and Taiwan were 438 million US dollars and 374 million US dollars respectively, separated by 6th and 7th.
Statistics show that the foreign capital invested in Vietnam in the first eight months of this year reached 11.96 billion US dollars, an annual increase of 6.3%.