Czech enterprises consider intensifying presence in Vietnam
Czech enterprises consider intensifying presence in Vietnam
Representatives of more than 20 Czech enterprises on October 23 arrived to Vietnam to find business opportunities on the occasion of the state visit of Lubomir Zaoralek, Minister of Foreign Affairs of the Czech Republic.
These enterprises operate in various sectors, including electronics, electricity, construction, waste and water treatment, and mechanical industry, among others. Within the framework of the visit, these enterprises have participated in the 24th Vietnam International Industrial Fair (VIIF) at the Vietnam Exhibition Fair Centre, and simultaneously organised workshops in Ho Chi Minh City and Hanoi to introduce their products, find business opportunities, and strike up partnerships.
“Vietnam is considered a potential market for Czech enterprises due to its abundant natural resources and cheap labour price. The Czech Republic is one of the strategic export markets of Vietnam and Vietnam is a significant economic partner to the Czech Republic. However, the bilateral trade turnover is still not commensurate to the two countries’ potential. The Czech Republic will increase co-operation with Vietnam in the above mentioned potential sectors,” said Zaoralek.
According to Czech enterprises, sectors having the most promising opportunities to invest in are the automotive, chemical industry, environmental technology, safety and security, as well as medical equipment, agriculture and food, because the speed of Vietnamese economic development is astounding.
According to industry insiders, the Vietnamese government is prioritising industrial modernisation. Furthermore, as a developing country, Vietnam is facing an increasing number of environmental challenges, such as air and water pollution, and solid waste disposal. Regarding the safety and security sector, its potential lies in the Vietnamese demand for safety and security equipment, which is expected to grow in the upcoming years at an annual rate of over 20 per cent.
In 2014, the bilateral trade turnover between the two countries reached $294 million, up 24 per cent on-year. In the first eight months of this year, the figure stood at $165 million.
As of September, the Czech Republic ranks the 43rd among countries and territories investing in Vietnam, with the total registered capital of more than $90 million in 37 projects.
