Vietnam: Southeast Asia’s new industrial center

Photo for illustration

“Vietnam is affirming its position as an industrial center of Southeast Asia. We believe that the Vietnam industrial market will step into a new period and improve its position in the global value chain in the near future,” the Philippine Daily Inquirer quoted Stephen Wyatt, JLL Director in Vietnam.

In 1986, Vietnam devoted 335 hectares of land to developing industrial zones, and over time the figure rose to 80,000 hectares. The rapid growth is due to Vietnam gradually affirming its position as an export-oriented economy, the development economic and industrial zones, free trade agreements, strong economic growth, and young and abundant workforce.

According to the Inquirer, in the context of an increasing number of Chinese companies seeking overseas production locations, Vietnam is an ideal choice due to its geographic proximity. Many experts said that the logistics industry will become one of the “bright spots” of Vietnam’s economy in the next five to ten years, thanks to favorable conditions such as a strong rise of the middle class and the growth of e-commerce.

Vietnam now attaches importance to developing infrastructure by spending 5.8% of GDP developing the essential item, the highest investment rate in the region.

The news stressed that continuing to maintain investment in infrastructure, especially the highway and seaport system, is among the significant conditions for the country to move toward the next industry and logistics phase and improve its competitiveness compared to neighboring countries./.