HCM City promises tax breaks for firms affected by China rig protests
HCM City promises tax breaks for firms affected by China rig protests
HCMC Chairman Le Hoang Quan on May 14 promised tax breaks for the foreign firms that have suffered from workers’ demonstrations against China’s illegal positioning of Haiyang Shiyou-981 oilrig in Vietnam’s waters in the East Sea.
Speaking at his meeting with the consul generals of the countries whose enterprises have been affected, Quan said he had ordered the HCMC Export Processing and Industrial Zones Authority (Hepza) to assess damages and propose measures for aiding all the affected enterprises in the city.
Quan said the city government will do whatever it takes to ensure security for experts and workers of the affected firms in neighboring provinces during their stays in the city.
“Frankly speaking, we never tolerate those taking advantage of the demonstrations to instigate riots that affect enterprises,” Quan said. “We know that investors are really concerned but the Government of Vietnam and HCMC authorities are always aware that political and economic issues must not be mixed up.”
Korean consul general Oh Jae Hack told the meeting that some 50 Korean enterprises in southern Vietnam had reported asset damages and asked local authorities to compensate them.
He said Korean investors worried about the violence and a Korean-invested school had suspended operations as its accountant was Taiwanese.
“The Vietnamese Government should consider tax incentives and compensation for the affected enterprises,” the Korean consul general proposed at the meeting.
The consul generals of Singapore, Japan, Thailand, China, India and Malaysia also attended the meeting. Large numbers of enterprises from these nations have invested in Vietnam.
Malaysian consul general Shazryll Bin Zahiran said he appreciated the city’s organizing the meeting, saying leaders of HCMC were quick to arrange the meeting to explore ways to help the enterprises that have been affected by the riots.
Japanese consul general Nakajima Satoshi said preliminary statistics of the Japan Business Association of HCMC (JBAH) showed at least four Japanese companies in Binh Duong, Dong Nai and HCMC had faced asset damages.
“Japanese firms in Vietnam are deeply concerned (over the situation). We would like to see the demonstrations being peaceful, and HCMC and Binh Duong which are home to many foreign investors strengthening safety and security for enterprises,” the Japanese consul general said.
vietnamnet
