Samsung HCMC converted to export processing enterprise
Samsung HCMC converted to export processing enterprise
After a long wait, Samsung HCMC CE Complex Electronics Co., Ltd., the investor of a large-scale electronics manufacturing complex in Saigon High-Tech Park, was just approved to convert into an export processing enterprise.
On January 27, the management board of Saigon High-Tech Park (SHTP) awarded the adjustment certificate to Samsung HCMC CE Complex Electronics Co., Ltd. (SEHC) to transform from researching and developing natural science and technology, into an export processing enterprise. Specifically, Samsung will conduct research and develop high-tech electronic products and equipment, as well as advanced software for export.
To transform into an export processing enterprise, SEHC will operate under the form of “an enterprise specialising in manufacturing products for export and operating in a high-tech zone”. However, in order to be eligible for this transformation, Samsung will have to keep export value above 90 per cent of its revenue.
Samsung HCMC CE Complex at SHTP. Photo: Le Toan
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According to the SHTP Management Board, this transformation was based on the government's Resolution No.149/NQ-CP dated October 10, 2020.
Resolution 149’s Article 7 stipulated that, "The government agrees to allow SEHC to be converted into an export processing enterprise based on the submission of the local People's Committee to facilitate the company’s expansion in Vietnam and enhance the competitiveness of Vietnam-based enterprises in the global market."
Previously in September 2020, Ho Chi Minh City People’s Committee submitted to the prime minister to approve Samsung’s request to be transferred to an export processing enterprise as its export value has reached more than 90 per cent.
The committee cited that this transformation will continue to support SEHC’s investment in Vietnam and export products with higher efficiency.
This transformation will also create favourable conditions for supporting enterprises in its supply chain to have more focused investment and gain better results.
SEHC operates at SHTP in the newly-established Thu Duc City, Ho Chi Minh City with the functions of manufacturing and assembling household electronic products including smart TVs, LED TVs, and high-resolution screens.
Here, SEHC also established a research and development centre of advanced technical products supplied for electronic factories of Samsung Group. Samsung also set up a testing laboratory operated in the electronics and telecommunications sectors to test TV indicators, according to the provisions of Vietnamese law.
Samsung's electronics manufacturing complex at SHTP currently has about 6,000 employees.
