Increasing technology content - opening the way for supporting industry

Improving the technology content in supporting industrial products is becoming an urgent requirement to increase the competitiveness of Vietnamese enterprises.

300 enterprises participate in the supply chain of FDI enterprises

At the seminar " Increasing technology content, enhancing competitiveness for supporting industrial products ", held on November 11, organized by Industry and Trade Magazine, Mr. Chu Viet Cuong - Director of the Center for Industrial Development Support, Department of Industry ( Ministry of Industry and Trade ) said that in recent years, Vietnam's supporting industry has had much brighter colors than in previous years.

Seminar "Increasing technology content, enhancing competitiveness of supporting industrial products". Photo: TCCT

According to Mr. Cuong, although the number of domestic supporting industry enterprises has increased rapidly with nearly 7,000 units, most of them still only participate in simple, low-value stages. Only about 300 enterprises are capable of participating in the supply chain of large corporations such as Samsung, Toyota, Honda. The localization rate in many industries has only reached 30-40% and has not met the Government 's expectations.

The core reason, according to Mr. Cuong, lies in the limited level of science and technology , weak R&D (research and development) capacity, low level of automation and low ability to master core technology. In addition, enterprises face difficulties in capital to invest in modern equipment; lack high-quality technical human resources and are still confused when approaching international standards, mandatory requirements if they want to participate deeply in the global supply chain.

For example, in a locality like Hanoi, which has about 1,000 supporting industry enterprises, Mr. Nguyen Van, Vice President of the Hanoi Supporting Industry Enterprises Association, said that although about 35% of enterprises have met international standards, the majority are still small and medium-sized enterprises, with limitations in management, technology and human resources.

" Without innovation and investment in technology, businesses will find it difficult to enter the value chain of FDI corporations ," Mr. Van emphasized.

Raising technology content for supporting industry to make a breakthrough. Photo: CVD

Not only that, technology is still seen as a major bottleneck in the industry. Therefore, businesses do not have enough capacity to supply components and spare parts with high technology content and complex techniques to meet modern production chain standards.

Need policy synchronization and initiative from businesses

To remove technological bottlenecks and create conditions for supporting industry enterprises to step up to a higher value ladder, Mr. Chu Viet Cuong said that in the coming period, it is necessary to synchronously deploy many groups of solutions, especially concretizing policies in Decree No. 205/2025/ND-CP of the Government amending and supplementing a number of articles of Decree No. 111/2015/ND-CP on supporting industry development issued on July 14, 2025.

“ Decree 205 opens up more space for technological innovation, R&D, public-private partnerships and increases autonomy for technical centers such as IDC in technology transfer consulting, testing and product standardization. However, for the policy to truly come into life, it is necessary to consider enterprises as the center, focusing on substantial support in terms of tax, credit, land and human resource training. At the same time, strengthen policy communication so that enterprises can grasp it promptly ,” Mr. Chu Viet Cuong emphasized.

Mr. Chu Viet Cuong - Director of the Center for Industrial Development Support, Department of Industry (Ministry of Industry and Trade). Photo: TCCT

From the association, Mr. Nguyen Van said that Hanoi needs to continue expanding programs connecting businesses with FDI investors, training human resources according to actual needs, reducing administrative procedures in investment - construction and development of Techno-Park models associated with high technology. This will be an important infrastructure for supporting industrial enterprises to shorten the technology gap with large corporations.

In fact, support programs from management agencies or the best facilitation from local authorities are very important. However, the self-effort of enterprises really plays a key role in the story of solving the technological problem for supporting industrial products.

On the business side, Mr. Cao Van Hung - Director of International Market Development, Smart Vietnam Precision Mechanical Joint Stock Company, said that in order to participate in the chain of large enterprises, enterprises need to identify core tasks. For Smart Vietnam, the 3 core factors for enterprises to meet customer requirements and create competitiveness are in-depth investment; comprehensive process standardization; and building a quality culture.

Mr. Cao Van Hung also added that increasing the technology content is a decisive factor in the competitiveness of products as well as businesses. Currently, Vietnamese businesses are facing great competition both domestically and abroad such as China, Thailand, Cambodia, Malaysia... Therefore, if businesses still "wander around" focusing on processing so-called cheap products, they will certainly face very big problems in the near future.

“ Increasing the technology content is the only way out to help products have more added value and create barriers that not all businesses or low-cost products can overcome. Besides improving competitiveness, increasing the technology content of products also helps businesses consolidate their position, from being ranked in the 3rd and 4th level segments, they can become 1st and 2nd level suppliers... When we increase the technology content, it will also help us unlock more potential markets and have larger profit margins... .. ”- Mr. Cao Van Hung said.

In recent years, the Government and the Ministry of Industry and Trade have issued many mechanisms and policies to encourage supporting industrial enterprises to invest in technological innovation, apply smart manufacturing and develop high-tech human resources. In parallel, many cooperation programs between management agencies, localities and enterprises have been implemented to promote localization and improve product quality, towards a green and sustainable industry.

Source: https://congthuong.vn/gia-tang-ham-luong-cong-nghe-loi-mo-cho-cong-nghiep-ho-tro-430047.html