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RoK becomes the largest foreign investor in Vietnam
Thu Minh 14:30, 2016/01/24
With 702 new projects and 260 adjusted ones, investment from the Republic of Korea (RoK) has accounted for 29.6% of Vietnam’s total foreign direct investment (FDI), turning the RoK into the largest foreign investors in the country.
According to the Foreign Investment Agency (FIA) under the Ministry of Planning and Investment, RoK businesses have invested an additional 6.72 billion USD in Vietnam, topping the list of the biggest investors in the country.
At present, with 702 new projects and 260 adjusted ones, RoK investment has contributed to 29.6% of the country’s total FDI.
In particular, Samsung Display Vietnam, a subsidiary of the RoK’s Samsung Group, has poured additional 3 billion USD to its screen production project in the Yen Phong 1 Industrial Park in the northern province of Bac Ninh. The project was licensed in 2014 with initial registered capital of 1 billion USD.
Besides, other RoK's big firms which invested the huge capital in Vietnam and contributed significantly to the national socio-economic development are LG, Posco, Hyundai, and Lotte.
FIA Director Do Nhat Hoang underlined the increasing trend of RoK investment in Vietnam, and affirming that it will be further buoyed by the Vietnam-RoK free trade agreement (FTA), which recently took into effect.
Workers at Samsung Electronic Vietnam in Yen Phong 1 Industrial Park.
Workers at Samsung Electronic Vietnam in Yen Phong 1 Industrial Park.
According to President of the Vietnam Association of FDI Enterprises Nguyen Mai, the RoK investors have created the impetus for economic growth in the northern economic region, such as Samsung has provided jobs for more than 100,000 locals and contributed approximately 30 billion USD to the country’s export value.
Report of the General Statistics Office showed that bilateral trade between Vietnam and the RoK has increased remarkablely in the past few decades, from 500 million USD in 1992 to 28.8 billion USD in 2014.
At present, about 3,000 RoK businesses have been operating in the country, providing jobs for more than 400,000 locals.
According to statistics of the Korea Trade-Investment Promotion Agency (KOTRA) in Hanoi, quoted by the RoK news agency Yonhap, the RoK’s total investment in Vietnam had reached 44.9 billion USD by the end of 2015.
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