About 100 Vietnamese enterprises are tier 1 suppliers for multinational corporations.

09/24/2023 07:08 Ha Linh Print article

ANTD.VN - The number of enterprises operating in the supporting industry sector in Vietnam is currently about 5,000. However, the number of enterprises acting as suppliers for multinational corporations is only about 800.

Công nghiệp hỗ trợ cần được "tiếp sức" để phát triển ảnh 1

Supporting industries need to be "fueled" to develop

Sharing at the seminar "Removing difficulties, increasing support for supporting industries" recently organized by Industry and Trade Magazine, Mr. Pham Tuan Anh - Deputy Director of the Department of Industry ( Ministry of Industry and Trade ) said that currently the number of enterprises participating as first-tier suppliers for multinational corporations is about 100 enterprises; second- and third-tier suppliers are about 700 enterprises.

In the electronics sector, Samsung currently has about 50 enterprises as first-tier suppliers and about 170 enterprises as second-tier suppliers. In the mechanical - automotive sector, we currently have about 12 enterprises participating in first-tier supply for Toyota.

“ The localization rate of supporting industry products has also improved significantly in recent times. Specifically, in the textile and footwear sectors, the localization rate is about 45-50%; in the mechanical engineering sector, it is 15-20%; in the automobile manufacturing and assembly sector, it is 5-20%; and for some vehicle products such as trucks and passenger cars, this localization rate is higher,” said Mr. Pham Tuan Anh.

According to the General Statistics Office, the number of supporting industrial enterprises is currently about 5,000 enterprises and supporting industrial products are currently being supplied domestically and exported to a number of markets around the world , such as electric cables, gearboxes, plastic components... The main export markets are Korea, Japan, China, and the United States.

Although, recently, ministries, branches and localities have made efforts to connect domestic supporting industry enterprises with multinational corporations and initially achieved positive results, the supporting industry is still limited, and supporting industry enterprises have very low added value in the supply chain.

In addition, research and development (R&D) in enterprises is not given due attention. The connection between supporting industry enterprises and FDI enterprises is not tight.

Mr. Nguyen Quoc Cuong - Director of Hanel Plastics Joint Stock Company said that in the past 3 years, there have been existing difficulties such as shifting the supply chain, while competition is very strong.

“Specifically, the shift in supply chain, like for Samsung vacuum cleaners, Samsung Electronics has been supplying products for about 5 years, then they moved the factory from Que Vo ( Bac Ninh ) to the South, Hanel Plastics could not follow because the company is small in scale.

Or Samsung Display previously invested quite a lot (about 4 billion USD) in Yen Phong and Que Vo (Bac Ninh), we also supplied them quite well, but recently they stopped. These are fluctuations in the supply chain. They can invest, can move, but domestic enterprises still have to continue to "fight" - Mr. Nguyen Quoc Cuong shared.

Meanwhile, Mr. Nguyen Van - Vice President of the Hanoi Supporting Industry Business Association (HANSIBA) said that domestic enterprises, especially small and medium enterprises, lack capital and technology, and even lack and need support in trade promotion and sales.

According to Mr. Nguyen Quoc Cuong, businesses still have many opportunities when associations introduce many trade promotion fairs, connecting with corporations such as Boeing or Airbus.

“The most important thing is to have domestic connections, here the role of the Association and the Ministry of Industry and Trade is very important” - Mr. Cuong emphasized.

Source link