AEC Feed

Ties between Singapore and Vietnam are poised to grow even stronger, with the two countries celebrating two decades of a successful joint venture.
In the southern Vietnamese province of Binh Duong yesterday, Singaporean Deputy Prime Minister Teo Chee Hean and Vietnamese Deputy Prime Minister Trung Hoa Binh marked 20 years of the Vietnam-Singapore Industrial Park (VSIP) joint venture.
The two parties signed memoranda of understanding to explore two new expansions in Binh Duong and Bac Ninh provinces, potentially adding 1,500 hectares to the 6,600 hectares already occupied.
Vietnam state-owned enterprise Becamex IDC and a consortium led by Sembcorp Development – part of the Singaporean conglomerate Sembcorp Industries – are behind the VSIP.
The portfolio of VSIP consists of seven parks across Vietnam, which have created more than 174,000 jobs and drawn US$9 billion (Bt315 billion) in investments from more than 630 multinational companies. – The Straits Times

E-Mart to invest $200m building stores in HCM City
E-Mart Co, South Korea’s largest discount chain, has signed a memorandum of understanding with Ho Chi Minh City to invest US$200 million (Bt7 billion) in the city, according to a report.
The Korean retailer will build giant stores, supermarkets and various other types of commercial facilities in Vietnam’s commercial hub.
Korean newswire Yonhap said the signing ceremony in Seoul on September 9 last Friday was attended by key officials from both sides, including E-Mart CEO Lee Gap-su and Ho Chi Minh City Party Committee secretary Dinh La Thang.
The company also plans to expand imports of non-food items such as clothes and toys and such food products as fruits and seafood.
E-Mart opened its first Vietnamese outlet in Ho Chi Minh City’s Go Vap district last December.
“We expect to increase our investment in HCM City, Vietnam’s economic centre, in various forms through this MoU,” said Kim Seong-young, who heads new businesses at E-Mart.
“HCM City will be the base in our efforts to enlarge the Vietnamese market.” – Viet Nam News

Group’s second steel
project opens in Da Nang
The Hoa Phat Group has opened its second steel-pipe plant in Da Nang’s Hoa Khanh Industrial Zone.
The new plant has capacity of 120,000 tonnes per year, fulfilling demand for the central and central highlands market in Vietnam and exports to Laos and Cambodia.
The group said the two plants, built on 9.3 hectares with total investment of 260 billion dong (Bt407 million), and three other plants would help the group increase its total capacity to 1 million tonnes per year and 30 per cent of the Vietnam market in 2020.
Last year, the group earned revenue of 7 trillion dong to contribute 650 billion dong to the state budget, holding a 25-per-cent share of Vietnam’s steel market.
The local steel producer has built six plants in Hung Yen, Binh Duong, Long An and Da Nang with total capacity of 500,000 tonnes. – Viet Nam News

EU financial aid to
boost Asean connectivity
The European Union says its focus while providing financial aid will be to strengthen Asean connectivity through trade and cooperation in climate change.
The EU has devoted roughly half of its financial assistance to support Asean connectivity, specifically in sustainable and inclusive economic integration and trade.
The establishment of the Asean Economic Community at the end of 2015 provides an opportunity to intensify EU-Asean cooperation, said Franck Viaul, the head of cooperation with the EU delegation to Indonesia.
Connectivity through sustainable and inclusive economic integration and trade is among the three focal points in EU-Asean cooperation, aside from cooperation in climate change and disaster management and comprehensive communication. – The Jakarta Post