According to Vietnam’s “Industry and Trade Electronic News” report on August 18, Vietnam’s Ministry of Industry and Trade stated that Vietnam’s industry has achieved strong development in recent years, but the added value of products is still very low. When assessing the impact of the COVID-19 epidemic on Vietnam’s industry, the biggest weakness of Vietnam’s economy is clearly seen. The internal motivation of the processing and manufacturing industry is weak, and it relies heavily on foreign supply chains. It cannot independently produce raw and auxiliary materials, and there are few industrial enterprises. There are only 80,000 processing and manufacturing enterprises in Vietnam, and its financial capabilities and technical level are limited.
According to a report from the Ministry of Industry and Trade of Vietnam, Vietnam’s telephone and electronics industries imported US$40 billion in electronic spare parts in 2019, including US$16.8 billion from South Korea and US$13.8 billion from China. , Japan 1.7 billion US dollars. Textile, clothing and leather footwear industry imports: various cottons of US$2.47 billion, yarns of US$2.3 billion, cloth of US$12.69 billion and other textile and leather shoe accessories of US$5.61 billion, of which US$2.02 billion of cloth and US$710 million of other raw materials were imported from South Korea. Excipients. The automobile assembly industry imported US$4 billion in spare parts, including US$700 million from China, US$2.24 billion from South Korea, and US$720 million from Japan.
At present, the domestic added value of Vietnam’s two main export products, textiles and clothing and electronic products, is still very low, 50% and 37% respectively.
In order to continue to implement the task assigned by the government to restructure the economic structure in the industry and trade sector, the Ministry of Industry and Trade of Vietnam will continue to effectively implement the “2020, Looking forward to 2030, in order to achieve industrialization “Economic restructuring plan and action plan in the field of industry and trade with modern and sustainable development services”, the Ministry of Industry and Trade of Vietnam will focus on moving Vietnam’s industry towards areas with potential and advantages in creating higher added value, such as automobiles, textiles and shoemaking. industry, electronics, minerals, and supporting industries.
Vietnam’s Ministry of Industry and Trade stated that it is necessary to coordinate resources from the central to local governments and concentrate on the investment and development of industrial projects, especially supporting industries and important basic raw material industries ( hot-rolled steel, cloth, dyeing and finishing, new materials, etc.) to overcome dependence on imported raw materials and spare parts. Strengthen preferential policies, support high-quality investment, and attract manufacturing (including parts and accessories production) relocated from China and other countries to invest in Vietnam.
The Ministry of Industry and Trade of Vietnam will formulate an action plan to implement Resolution No. 23/NQ-TW, as well as an economic restructuring plan in the industry and trade field for the 2021-2030 period, and will Submit to the Prime Minister within 2020. </p
