Deputy Director of the HCM City Department of Planning and Investment Pham Trung Kien called on Japanese businesses to invest in 15 industries in which the city is striving to attract investment.

Kien made the appeal of investment in 15 industries at the Vietnam-Japanese Business Roundtable hosted by the Ho Chi Minh City People’s Committee at which the city presented 15 lists of projects to encourage Japanese businesses to pour investment into. However, on their part, Japanese businesses also reported 25 difficulties that they have been encountering and need the city’s fast assistance.

Sharing at the conference, Consul General of Japan to Ho Chi Minh City Ono Masuo said that Japan currently has 1,657 existing operative projects, accounting for 14 percent of the total number of foreign direct investment (FDI) projects in the city with a total investment capital of more than US$5.7 billion.

However, Japanese businesses have been encountering a few hiccups including tax, customs, law - labor and environment and life during the operation process. The Japanese Business Association has summarized 25 comments that need to be resolved to send to the Ho Chi Minh City People’s Committee.

From another perspective, Japanese businesses believe that the National Assembly’s Resolution 98 is a great opportunity for FDI enterprises to participate in investment. Therefore, Japanese businesses need to see the transparency of project portfolios attached to investment attraction policies to create favorable conditions so that Japanese businesses can expand investment in the coming time.

Based on the request of Japanese businesses, Deputy Director of Ho Chi Minh City Department of Planning and Investment Pham Trung Kien announced that the city has been promoting investment attraction of 15 industries.

Among them are four key industries comprising electronic manufacturing, pharmaceutical chemistry, precision mechanics, food and beverage processing, 5 new industries such as biology, pharmaceuticals, automation, semiconductor industry and high-tech support industry and 6 potential support service industries including tourism, finance, insurance and banking, investment goods, e-commerce, healthcare, transport and logistics, technology and education. In addition, the city is focusing on building the region’s financial center. Therefore, the city is listening to opinions from experts as well as calling for investment capital from FDI enterprises.

Speaking at the meeting, Chairman of Ho Chi Minh City People’s Committee Phan Van Mai, said that the city is appealing FDI investment. However, the city will resolutely not accept projects that use outdated technology, consume energy, and have the risk of causing environmental pollution. The city will also apply criteria to select foreign investment.

In particular, priority will be given to countries with high technology, source technology, and top supply chains. City authorities will first select investors who are members of multilateral free trade agreements with Vietnam and multinational corporations associated with domestic enterprises to form industry clusters according to each value chain.

Regarding recommendations and solutions to clear bottlenecks that Japanese businesses are petitioning to solve, Chairman of Ho Chi Minh City People’s Committee Phan Van Mai added that the city will request relevant authorities to review and eliminate complicated administrative procedures and unnecessary business conditions. Along with that, the city administrations will simplify existing policies and administrative procedures for investment projects.

Mr. Phan Van Mai emphasized that the city government will support and accompany domestic and foreign business communities.

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