Vietnam is a fast growing country with a GDP growth rate of 6-6.2% and a population of 90.5 million people. It has a strong agriculture sector and is the world's top exporter of products like pepper and rice. It also has a growing manufacturing industry, especially in footwear, garments and electronics. Vietnam has pursued many free trade agreements to boost its economy and exports, including recent agreements with the EU and South Korea. Key industries also include minerals, automobiles with growing local content, food imports, and construction materials with opportunities for import and export.

1. www.innovasjonnorge.no
Vietnam – Fast Growing Country
Speaker: Tran Hai Anh (MSc., MBA)
Innovation Norway

2. Content
1. Vietnam Overview
2. Overview of Industries

3. Vietnam Overview
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4. Fast Growing and Dynamic Nation
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MainlandArea: 331.690km2
Politicalregime: SocialistRepublicofVietnam
TheCommunistpartyisleadingparty.
Population: 90.5million
Laborforce: 50.137million
Currency: DONG(VND)
1US$=22,340VND
1NOK=2,655VND)
GDPgrowthrate: 6.0%(2014)
6.2%(forecasted2015)
Nationalspecialcities: Hanoi-thecapital
Hochiminhcity–thecenterofbusinessandfinance
Nationalcities: HaiPhong,DaNang,CanTho
Laborcost MinimumsalaryforworkersinHanoiUSD145/month
MinimumsalaryforworkersinHochiminhcityUSD149/month

5. Powerful Agriculture Nation
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 1st world pepper exporter.
 1st world catfish exporter.
 2nd world coffee exporter.
 2nd world rice exporter.
 2nd world cashew exporter.
 2nd world cassava exporter.
 5th world tee exporter.

6. Powerful Manufacturing Nation
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 3rd world footwear and handbag
exporter.
 5th world garment exporter.
 6th world furniture exporter.
 10th world electronic device exporter
(78% growing rate p.a.).

7. 1995
2002
ASEAN – China
2006
ASEAN – South Korea
2008
ASEAN – Japan
2009
Vietnam – Japan FTA
Vietnam –Australia/NZ
ASEAN – India
2010
Vietnam starts TTP negotiation
2011
Vietnam – Chile
2015
Vietnam – EU FTA
Vietnam – Korea FTA
Basically finishes
TTP Negotiation
Vietnam – EFTA
TTP
2016
FTAs and Favorable Taxes
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 EU eliminates 85.6 percent of tariff lines, equivalent to 70.3% of Vietnamese
export value to the EU.
 Vietnam eliminate tax for 50% pharmaceutical products, 100% of food and
textile, 50% of chemical products imported from EU.
 More tax exemptions after 03, 05 and 07 years.

8. Simplified Investment Certificate Process
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 Direct Investment: Foreign Direct Investment; Joint Venture; M&A; Contractual
Forms; Representative Office; foreign constructor; and Branch.
 Indirect Investment: via stock market.
 Form of Enterprises: Ltc, JS, Partnership, and Corporation Group.

9. To-Do List for Investors
 Local law firm can help with legal issues.
 Local consultant can help with relevant report.
 Land are expensive.
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10. Overview of Industry
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11. Diversified Mineral Resources

12. Moderated Metallurgy Sector

13. Low Local Content in Automobile Sector
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 Dominated by FDI firms.
 5%-10% local content for cars and 95%
of local contents for motorbikes.
 Week supporting industry.
 Under pressure of reduce cost.
 Need more efforts for Quality Control.

14. Imported foods for Domestic Consumption
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 11.4 % forecasted growing rate within 2014-2018.
 Main import suppliers: China, Australia/New Zealand, Argentina, EU and USA.

15. Agriculture Waste To Money
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 Rice husk to energy
 Rice husk’s ash to silica-fume.
 Rice husk to fire-proof paints.
 Coconut shell to substrates for
horticulture.
 Catfish’s skill to collagen.
 Wood chip to productive
steam.

16. Construction Material Import and Export
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 Export artificial stones to
EU/USA/Australia and import silicon
powder for making artificial stone
 Import timber and high-end ceramic
interior.
 Import Natural Stones.
 Import high-end paints.
 Exporting Cement.
Photo: http://vicostone.com/our-product/vicostone-
quartz-surfaces/

17. Thank you for your attention.
Futher Contact:
Tran Hai Anh
Senior Market Innovation Norway Hanoi
Email: Tranh@innovationnorway.no
Cell phone: +84903463318
www.innovasjonnorge.no

18. References
• http://vietnamembassy-usa.org/basic-page/
• DFDL Vietnam Investment Guidelines 204
• http://www.mutrap.org.vn/
• http://evbn.org/
• www.vcci.com.vn
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