Vietnam’s Southern Key Economic Region – A Magnet for Investment - Preview

V ietnam B riefing · Issue 44 · December 2020 2 Introduction ALBERTO VETTORETTI Partner Dezan Shira & Associates Vietnam’s successful containment of theCOVID-19pandemic and the recently ratifiedVietnamEU FreeTradeAgreement (EVFTA) has reassured investors. Upbeatmanufacturers have even relocated production to the country. In the third quarter of the year, manufacturing and exports saw GDP increase 2.62 percent year-on-year. Economic recovery accelerated from the first half due to successful containment of the pandemic and demand fromoverseas. Vietnam is expected to be one of the fewcountries to recordnet positive growth after China this year despite the pandemic. It is then no surprise that whileVietnam’s borders remain closed, we continue to receive inquiries from foreign businesspersons wanting to enter the country for business purposes, including scoping out investment opportunities and site visits to industrial zones and production facilities. In this context, it is important to understand Vietnam’s vast key economic regions tailored to specific industries – providing special incentives, cost structures, and clear regulatory frameworks. This will help investors uncover opportunities and challenges in a rapidly growing market. Businesses need to have an international operational strategy, locating operations in the right region that offer connectivity with global supply chains, a supportive business environment, and access to local talent. In this issue of Vietnam Briefing magazine, we look at the Southern Key Economic Region and the reasons why it is termed as an investment hub of the country. We go in-depth and look at six economic hubs in the region and the factors that make it so competitive. We also include the government’s plan for the region, including investment incentives and attractive tax rates for specific industries. This magazine is based on Dezan Shira & Associates’ years of experience in supporting foreign enterprises in Vietnam. For more information and advice on how to plan for market entry or relocating your production into Vietnam, please contact us a t vietnam@dezshira.com Best regards, Alberto Vettoretti Credits Publisher / Asia Briefing Media Ltd. Senior Editor / Melissa Cyrill Contributors / Pritesh Samuel, Rebecca An Designer / Aparajita Zadoo Reference Vietnam Briefing and related titles are produced by Asia Briefing Ltd., a wholly owned subsidiary of Dezan Shira Group. Content is provided by Dezan Shira & Associates. No liability may be accepted for any of the contents of this publication. Readers are strongly advised to seek professional advice when actively looking to implement suggestions made within this publication. For queries regarding the content of this magazine, please contact: editor@asiabriefing.com All materials and contents © 2020 Asia Briefing Ltd. Asia Briefing Ltd. Unit 507, 5/F, Chinachem Golden Plaza, 77 Mody Road, Tsim Sha Tsui East Kowloon, Hong Kong. www.asiabriefing.com www.dezshira.com www.aseanbriefing.com www.india-briefing.com www.vietnam-briefing.com www.silkroadbriefing.com www.china-briefing.com www.russia-briefing.com