Support and connect businesses participating in the supply chain

Toyota Vietnam Automobile Company continues to be in the top FDI enterprises with large contributions to the state budget revenue in the province. Photo: Nguyen Luong

Vinh Phuc is known as one of the major industrial centers for automobile, motorbike and electronics mechanics in the North. To promote linkages and connections between enterprises in production and business, the province has issued many support policies and mechanisms to encourage the development of supporting industries; enhance the innovation capacity of enterprises.

Create conditions for DDI enterprises to have the opportunity to participate in the supply chain for FDI enterprises, towards the global supply chain; support enterprises in accessing credit, land, production and business premises; train and improve the quality of human resources.

Strengthen communication and consultancy for enterprises on competitiveness, promote and support enterprises to participate in the supply chain for FDI enterprises; strengthen connections between localities and agencies and organizations supporting enterprises, especially in the fields of processing, manufacturing and supporting industries to effectively implement linkage and support programs for enterprises.

The province currently has about 400 supporting industry manufacturing enterprises; more than 70 enterprises participating in the product supply chain for large corporations; 4 enterprises manufacturing and assembling complete automobiles and motorbikes, namely Toyota Vietnam Automobile Company, Honda Vietnam Company, Deawoo Bus Company, Piaggio Vietnam Company - these are enterprises playing a leading role in the development of mechanical and manufacturing supporting industry enterprises in general and automobile and motorbike manufacturing and assembling industry in particular.

Toyota Vietnam Automobile Company invested in the province since 1995, always holding the leading position in the Vietnamese automobile market with the factory's designed output reaching more than 70 thousand vehicles/year.

Since establishing the factory in Vietnam, the company has always focused on developing domestic supporting industries; implementing many activities to support domestic suppliers such as supporting businesses in applying technical standards, management tools, introducing units and experts to improve the capacity of businesses. In particular, the company has sent its experts to evaluate and support businesses in transferring production to meet the requirements of smart factories.

Since 2020, the company and the Ministry of Industry and Trade have signed a cooperation agreement to support domestic enterprises in the field of automobile support industry to improve capacity and strengthen links between domestic support enterprises and automobile assemblers.

Through the project, Toyota has connected with more than 80 potential suppliers. Currently, Toyota has 5 domestically assembled car models and has 13 purely Vietnamese suppliers, bringing the total number of localized products to nearly 1,000 products of all kinds, contributing to increasing added value for the economy, creating jobs for workers and promoting sustainable development.

According to experts, with the potential of the supporting industry, the strategy of accompanying domestic companies like Toyota Vietnam is doing is considered a driving force to promote domestic production activities.

This is a mutual relationship when Vietnamese enterprises improve their capacity and participate more in the supply chain, while car manufacturers take advantage of domestic supply sources, reducing production costs and the price of a car model.

In particular, in December 2024, Toyota Vietnam and the Provincial People's Committee signed a Memorandum of Understanding on Cooperation to support domestic enterprises in Vinh Phuc, in the field of automobile supporting industry. This activity will be implemented from 2025 to 2027. Thereby, it will develop the automobile industry and promote the local economy.

Realizing the goal of becoming one of the country's largest industrial centers in high-tech industry, electronics industry, automobiles - motorbikes, etc., the province continues to strengthen linkage activities, supporting businesses participating in the supply chain for FDI enterprises.

Implement well policies to support training of high-quality human resources; research, development, application, transfer, innovation of production technology, testing of components, spare parts, raw materials and materials.

Timely support, remove difficulties, promote the development of supporting industry enterprises; prioritize attracting enterprises producing supporting products to meet the strengths of the province and the Red River Delta.

Nguyen Huong

Source: http://baovinhphuc.com.vn/Multimedia/Images/Id/128548/Ho-tro-ket-noi-cac-doanh-nghiep-tham-gia-chuoi-cung-ung