Meeting the Prime Minister at WEF, Foxconn CEO reveals about the factory recently invested in Vietnam

Vietnam will prioritize projects in emerging, high-tech, high-value-added, and spillover and connectivity sectors, especially serving new growth drivers.

Prime Minister Pham Minh Chinh chaired a discussion session with the WEF President and 20 leaders of major WEF corporations - Photo: DUONG GIANG

That was the affirmation of Prime Minister Pham Minh Chinh when chairing a breakfast discussion session with Professor Klaus Schwab, founder and chairman of the World Economic Forum (WEF), and about 20 leaders of large corporations of WEF, taking place on the morning of June 26, in Dalian city, China.

WEF President: Vietnam is the world's fast-growing bright star

At the discussion session, opinions highly appreciated Vietnam's growth rate, development, and increasingly improved investment and business environment, especially the digital economy in 2023, which accounted for about 16% of GDP.

Professor Klaus Schwab said that WEF is very pleased to have a close cooperative relationship with Vietnam - a fast-growing bright star of the world economy.

Mr. Brand Cheng, Chairman and CEO of Foxconn, recalled that at the meeting in January 2023, he reported to the Prime Minister about setting up another factory in Vietnam. This factory started production last April. This is an example of Vietnam's determination in economic development.

Foxconn factories now span five provinces, with 80,000 employees and a total investment of about $4 billion. “Vietnam is growing fast, and we are growing with Vietnam,” he said.

Many leaders of large corporations expressed their interest in perfecting regulations and policies related to digital economy and green transformation such as electronic signatures in the banking and financial sectors; green certificates; ensuring electricity supply, energy conversion; finance for renewable energy; preferential policies for high-tech sectors, etc.

Vietnam has many policies to prioritize growth.

Speaking at the discussion session, Prime Minister Pham Minh Chinh said that in the context of many challenges in the world economy, Vietnam chooses to prioritize growth, take measures to control inflation, stabilize the macro-economy, and ensure major balances.

The Prime Minister affirmed that he will develop synchronously institutions, infrastructure, human resources and create favorable conditions for investors - Photo: DUONG GIANG

Vietnam also focuses on promoting three strategic breakthroughs in institutions, infrastructure, and human resources. In particular, determining that institutions are also resources and driving forces for development, the Government will establish a Steering Committee to review and remove obstacles and bottlenecks in mechanisms and policies, headed by the Prime Minister.

Regarding infrastructure, Vietnam synchronously develops both hard infrastructure (transportation, healthcare, education, culture, infrastructure serving digital transformation, including national centers and databases, green development infrastructure, climate change response infrastructure) and soft infrastructure.

Regarding human resources, with the view that people are the center, we will focus on training high-quality human resources, promoting innovation and entrepreneurship. Mobilizing resources through promoting public-private cooperation, using public investment to lead private investment, activating all social resources.

Calling on investors to continue accompanying Vietnam, the head of the Government affirmed that Vietnam will continue to maintain political stability, social order and security, consolidate a peaceful and stable environment for development, and ensure the legitimate and legal rights and interests of investors.

Regarding specific issues that investors are concerned about, such as electricity supply, the Prime Minister said that although Vietnam will have local electricity shortages at some points in 2023, in 2024, even though electricity consumption increases by 15%, with some days exceeding 1 billion kWh/day, the highest in history, electricity supply will still be guaranteed.

Affirming that Vietnam will not lack electricity, the Prime Minister said that there are synchronous solutions for power sources, power transmission, distribution, use and electricity prices. For example, power transmission, 500kV lines previously took 2 years, even 4 years, but now only take about 6 months.

Along with that, Vietnam is making efforts to switch to clean energy. The Government continues to perfect the institutions and policy framework by preparing to issue decrees on the direct power purchase mechanism (DPPA), on the mechanism and policies to encourage the development of self-produced and self-consumed rooftop solar power, and on the mechanism for developing power projects using natural gas and LNG.

For investors, the head of the Government said that the Government is about to issue a decree related to implementing global minimum tax and amending investment incentive policies from mainly tax incentives to financial, cost, land incentives... for priority projects.

With a selective investment attraction orientation, Vietnam will prioritize projects in emerging, high-tech, high-value-added and spillover and connectivity fields, especially serving new growth drivers, promoting digital transformation, green transformation, and strongly developing a number of new breakthrough and strategic fields such as semiconductors and artificial intelligence (AI).

Source: https://tuoitre.vn/gap-thu-tuong-tai-wef-giam-doc-dieu-hanh-foxconn-tiet-lo-ve-nha-may-vua-dau-tu-tai-viet-nam-20240626090301994.htm