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In this issue of Vietnam Briefing magazine, we look at the Southern Key Economic Region and the reasons why it is termed as an investment hub of Vietnam. We go in-depth and look at six economic hubs in the region and the factors that make it so competitive. We also include the government’s plan for the region, including investment incentives and attractive tax rates for specific industries.
Vietnam’s successful containment of the COVID-19 pandemic and the recently ratified Vietnam EU Free Trade Agreement (EVFTA) has reassured investors. Upbeat manufacturers have even relocated production to the country. In the third quarter of the year, manufacturing and exports saw GDP increase 2.62 percent year-on-year. Economic recovery accelerated from the first half due to successful containment of the pandemic and demand from overseas. Vietnam is expected to be one of the few countries to record net positive growth after China this year despite the pandemic.
In this context, it is important to understand Vietnam’s vast key economic regions tailored to specific industries – providing special incentives, cost structures, and clear regulatory frameworks. This will help investors uncover opportunities and challenges in a rapidly growing market. Businesses need to have an international operational strategy, locating operations in the right region that offer connectivity with global supply chains, a supportive business environment, and access to local talent.
This magazine is based on Dezan Shira & Associates’ years of experience in supporting foreign enterprises in Vietnam. For more information and advice on how to plan for market entry or relocating your production into Vietnam, please contact us at vietnam@dezshira.com
About Us: Dezan Shira & Associates is a specialist foreign direct investment practice that has grown into one of Asia’s most versatile, full-service market entry, legal, tax, accounting, HR and operational consultancies for international businesses and corporate investors and with numerous offices throughout Vietnam, Singapore, Indonesia, China, Hong Kong SAR, India, Europe and North America. Our publishing subsidiary Asia Briefing, founded in 1999, publishes regionally focused briefings which cover, the ten ASEAN countries, China, Hong Kong SAR, India, Russia, Vietnam – and a focused Belt and Road Initiative briefing as well. Our briefing updates provide intelligence to businesses and foreign investors interested in or operating in these international markets via regulatory updates, analysis and commentary on today’s real issues concerning the foreign investor in Asia.
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