News Bulletin 50 - Week 1 February, 2021

Vietnam’s manufacturing of smartphones and cars continue to lead the market in exports, keeping the country as the top preferred destination in ASEAN for production shifts of foreign companies diversifying away from China – solidifying Vietnam’s “1” place in China + 1. In addition, more and more wind power plants projects are getting attention with notable investment certification being granted in Dak Lak and Quang Tri recently.

Last week, it is highlighted that trade authorities in the U.S and Canada have imposed preliminary anti-dumping tariffs on copper pipes and concrete bars imported from Vietnam, with 8.05% on Vietnam’s seamless refined copper pipe and a range of 3,7-15,4% on concrete reinforcing bars, respectively.

The past week spotlight

US, Canada impose anti-dumping duties on Vietnamese products

Trade authorities in the U.S. and Canada have imposed preliminary anti-dumping tariffs on copper pipes and concrete bars imported from Vietnam.

The U.S. has applied a 8.05 percent anti-dumping tariff on Vietnam’s seamless refined copper pipe and tubes.

The decision was made after the U.S. Department of Commerce conducted a preliminary investigation between October and March 2020, in which it found Vietnamese copper products were sold at less than fair value.

See full details here

Let’s look at some other related financial and business news during the past week:

1. Circular No. 07/2021/TT-BTC on deadline for C/O submission under EVFTA

On 25/01/2021, the Ministry of Finance issued Circular no. 07/2021/TT-BTC ("Circular 07") providing guidance on the deadline to submit Certificate of Origin (“C/O”)(1) for goods imported into Vietnam under EU-Vietnam Free Trade Agreement (“EVFTA”).

The Circular takes effect from 11 March 2021.

See full details here

2. Phones continue to lead exports

Exports of phones and phone parts were worth $51.18 billion last year, a whopping 18 percent of Vietnam’s total exports, according to the General Statistics Office.

The phones were exported to over 50 countries and territories, with China being the largest market, accounting for almost a quarter.

See full details here

3. Making cars and smartphones, Vietnam moves to top ASEAN countries

Vietnam’s industry has seen the fastest upward movement in ranking in global competitiveness among Southeast Asian countries, coming closer to the top 4 ASEAN countries.

See full details here

4. Vietnam eyes 500 hi-tech manufacturers

Vietnam eyes to have 500 manufacturers of hi-tech products and 200 agriculture companies using hi-tech applications as of 2030.

The government also targets to increase the export value of hi-tech products to about 60 percent of the total export value in the manufacturing and processing industry, according to National High-Tech Development Program 2030 recently issued by Prime Minister Nguyen Xuan Phuc.

See full details here

5. Đắk Lắk approves two wind-power plants, worth $96 million

The Đắk Lắk People's Committee has granted in-principle investment approval to two wind energy project, expected to cost over VNĐ2.21 trillion (US$96 million).

Financed by VNM investment company from Singapore, the two plants have a combined design capacity of 70 MW, according to the provincial Department of Planning and Investment.

See full details here

6. Vietnam's 2021 economic growth target is ambitious but feasible

On 03 February 2021, Mr. Nguyen Hai Minh, Eurocham Vice Chairman and Mazars Vietnam Advisory Partner shared his views with “The World and Vietnam Report” that Vietnam’s 2021 economic growth can be achieved. Specifically, Minh said that Vietnam GDP growth target of 6.5% for 2021 is both ambitious but also feasible, and affirmed the European business community is very optimistic about the future of Vietnam's trade and investment environment.

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7. Vietnam remains second most favorite destination among Japanese firms shifting production: JETRO

Vietnam’s stable social-political environment and a fast-growing market are the country’s advantages in attracting investment capital from Japan, said the head of JETRO in Hanoi.

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8. Dong Nai looks for investor for 300-hectare industrial park

Dong Nai province is looking for an investor to develop Cam My Industrial Park with the total investment capital of VND2.71 trillion ($117.83 million).

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9. Logistics industry forecast to grow in 2021 on global recovery

The seaport and logistics industry was forecast to grow significantly on the prospect of global trade recovery in 2021 when the vaccine to prevent COVID-19 is administered worldwide.

SSI Securities Company expects the revenue of the seaport and logistics industry would expand by 10 per cent this year.

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10. Law provisions open doors for development

While the laws on investment, enterprises, and funding under the public-private partnership model are appreciated by local and foreign stakeholders.

They also await additional guiding documents to manoeuvre their projects effectively and safely through the legal landscape.

See full details here