As of April 7th, reports indicate a surge in investment and expansion efforts by Chinese enterprises within the Vietnamese market, presenting a formidable challenge to Korean counterparts. Historically, Korean firms, including industry giants such as Samsung, LG, Hyundai, SK Group, and Asiana Micron, have significantly contributed to Foreign Direct Investment (FDI) in Vietnam. However, recent trends demonstrate China's growing prominence in initiating fresh FDI endeavors.
Vietnamese media sources highlight the escalating investment activities of Chinese enterprises within the Vietnamese market. For instance, Geleximco Group finalized a joint venture agreement with Omoda & Jaecoo, a burgeoning new energy vehicle brand under China's Chery Group, to establish a manufacturing facility in Taiping Province, with an investment exceeding 800 million US dollars. This move signifies the profound integration of Chinese entities into Vietnam's automotive sector.
Furthermore, Yadi, a prominent Chinese manufacturer of two-wheel electric vehicles, is swiftly erecting a second manufacturing facility in Bac Giang Province, with an annual production capacity of 2 million motorcycles. Plans are underway to export 30% of the output to the Philippines, Thailand, Malaysia, and Laos. Additionally, Beijing BOE Group has outlined proposals to construct a state-of-the-art smart terminal production facility in Vietnam, with an overall investment totaling 277.5 million US dollars.
Beyond these endeavors, Chinese electronics behemoth Goertek is actively broadening its investment footprint in Vietnam. The forthcoming factory established by Goertek in Vietnam is poised to manufacture an array of consumer electronics, ranging from AirPods to smartwatches, aligning with its strategic growth trajectory.
The heightened interest of Chinese enterprises in the Vietnamese market is evident, with their investment scale and project scope continuously expanding. By capitalizing on the policy incentives and development prospects presented by the "One Belt, One Road" initiative, Chinese firms investing in Vietnam aim to fortify the economy.