'Whatever priority FDI enterprises are given, let's give priority to domestic enterprises'

Not receiving due priority

As a private economic group operating in multiple sectors and with a 30-year history of development, AMACCAO has built dozens of industrial and consumer goods brands, created nearly 6,000 jobs, participated in many key national projects, and played a pioneering role in the fields of green economy, circular economy and digital economy, with the goal of creating and retaining foreign currency for the country.

As soon as they learned that the Politburo issued Resolution 68 on the private economy, the leaders of this enterprise could not hide their joy at seeing the private sector placed in a worthy position.

Referring to Resolution 68, Mr. Nguyen Van Vinh, General Director of AMACCAO, said that over the past years, the private economy has grown at 10-12% per year, nearly double the country's average GDP growth rate of 6%.

The private economy is highly appreciated for its contribution to the economy.

According to the General Statistics Office, by 2024, this sector will contribute about 50% of GDP, generate about 30-40% of total state budget revenue and create jobs for 85% of the country's workforce. Labor productivity in this sector will also increase by an average of 9-10% per year.

These figures are clear evidence that the private economy is playing a pivotal role and is the most important driving force of the economy.

However, according to Mr. Vinh, the private economic sector has not yet received priority commensurate with its contribution and pivotal role. Meanwhile, state-owned enterprises or FDI enterprises are often given priority in terms of mechanisms, policies and administrative procedures.

He cited that almost all foreign investment projects in Vietnam are given priority for quick investment approval, construction permits, and other procedures, and priority for corporate income tax...

Meanwhile, private enterprises face many barriers, especially in inspection and control.

The 2024 survey results show that 33% of private enterprises plan to expand in the next two years, up from 27% in 2023. For FDI enterprises, the percentage of enterprises planning to expand production and business is 37%, a sharp increase compared to 26% the previous year.

Despite the improvement, it should be noted that this recovery has not yet returned to pre-Covid-19 pandemic levels, when the proportion of businesses planning to expand production and business was often around 50%.

In addition, businesses continue to face many new challenges, especially global economic fluctuations from the beginning of 2025 with the new tariff policy of the US government.

“This shows that there needs to be stronger involvement of State agencies in improving the business investment environment and supporting enterprises to consolidate and create momentum for the strong development of the private economic sector, becoming a 'lever for a prosperous Vietnam', as General Secretary To Lam recently stated,” the Vietnam Federation of Commerce and Industry (VCCI) assessed.

Fair treatment between domestic and foreign enterprises

In order for domestic enterprises to break through and reach regional level, AMACCAO General Director expects the Government to continue to reform policies and mechanisms more strongly to create a fairer and more equal business environment.

“We hope that there will be no more discrimination between private enterprises and foreign enterprises. That means that whatever priority FDI enterprises are given, domestic enterprises should be given the same priority,” he said, emphasizing that tax incentives, time for granting investment policies, and administrative procedures should also be reduced.

Domestic enterprises expect to be treated fairly and have access to a transparent and favorable investment environment to break through and reach new heights. Photo: Hoang Ha

According to Mr. Vinh, except for some specific fields such as semiconductors, chips or high-end electronics, which require advanced technology from abroad, in the fields of renewable energy, environment, manufacturing, real estate infrastructure, transportation... Vietnamese enterprises are fully capable of implementing, and can even do so with higher efficiency.

In addition, it is necessary to reduce and simplify administrative procedures. Because many current procedures are formal, overlapping, unnecessary and take too much time.

If given more favorable institutional and legal conditions, Mr. Vinh believes that the Vietnamese private sector can completely reach international standards and make strong contributions to the country's economy.

The representative of another private enterprise mentioned that the Vietnamese mentality of "preferring foreign things" is still quite common and often assumes that foreigners and foreign enterprises are always better, richer, and bring more benefits.

That mentality also affects the perception of some management agencies, leading to foreign enterprises often being given priority over domestic enterprises. With the same type of investment, foreign enterprises are more easily invited, have tax incentives, land and faster procedures. Meanwhile, domestic enterprises have to go through many complicated steps, even being strictly inspected and examined.

“This creates a sense of unfairness in the business environment,” the representative of this business shared.

"This is the first time the Government considers the private economy as the most important economic sector," said Mr. Nguyen Viet Thang, General Director of Hoa Phat Group, about the State's assessment of the private economy.

According to Hoa Phat representative, we have put private enterprises in the right position, because the private economy accounts for the highest proportion in the economy.

However, for the private economy to develop and truly make a breakthrough, in addition to administrative procedure reforms, the Government needs to create a complete business environment and nurture this sector to grow.

For the domestic market, it is necessary to issue policies to ensure fair competition. At the same time, in key industries where the State wants to form large corporations, there should be appropriate protection measures for domestic production.

"It is equally important that the Government has a clear economic orientation so that businesses can develop investment and production strategies that are most appropriate and effective. Only then will private businesses not deviate from their trajectory," Mr. Thang shared.

Source: https://vietnamnet.vn/doanh-nghiep-fdi-duoc-uu-tien-gi-hay-uu-tien-cho-doanh-nghiep-noi-nhu-the-2400339.html