Vietnam’s exports expected to rise 15% this year

Vietnam's exports in the first three months of the year will reach an estimated US$6.9 billion, up 15 per cent year-on-year, according to the Ministry of Trade.

Foreign-invested companies earned the most, with export sales totaling US$3.52 billion while locally-owned enterprises gained US$3.38 billion in export sales.

According to the ministry, the country can certainly achieve its targeted export revenue of US$31.5 billion for this year.

Robust growth

Vietnam to open second stock market in January

Vietnam plans to open its second stock market next month to speed up the equitization of state-owned businesses, said a government official Tuesday Dec. 28.
The bourse in Hanoi is also part of Vietnam's drive to boost the capital market as the country's first exchange, set up in 2000, has just 26 stocks valued at 245 million USD, far smaller than the bourses in Thailand and Malaysia.

Vietnam’s 10 landmark economic events of 2004

As the year 2004 comes to an end, Thanh Nien newspaper has selected the ten most important events of the year that had the strongest impact on Vietnam’s economy.
This year saw many ups and downs in Vietnam’s economic development, but in general the country’s economy became more integrated into the global economy and its stature grew, according to economists.

Vietnam’s economic growth in 2004 was 7.7 percent, the second-fastest growing economy in Southeast Asia.

Here are the top ten events:

Foreign investment breaks record

FDI inflows to Ho Chi Minh City up 31%

(SGT-HCMC) HCMC has attracted over US$755 million in foreign direct investment (FDI) this year, or US$55 million higher than the target.

This pledged capital shows an increase of US$275 million over last year’s result, or an increase of 31%, according to the city’s Service of Planning and Investment. This is the first time in three years the city beats its FDI target.

The city has licensed 234 foreign-invested enterprises (FIEs) this year with combined capital of US$430 million. In addition, 140 FIEs have added a total of over US$324 million to their investment capital.

Overseas Vietnamese propose expatriate joint-stock bank

Vietnamese living in the U.S. have asked the Vietnam government to set up a commercial joint-stock bank with the shareholders being expatriate Vietnamese from all over the world.

Overseas Vietnamese have submitted the proposal to the State Bank of Vietnam for consideration, according to the Vietnam Committee for Overseas Vietnamese (COV.)

Capital for the bank raised by expatriates could reach $US 200 million, estimated some overseas Vietnamese businesses.

Electronics, woodwork exports join “1 billion dollar club”

Electronics and woodwork became the fifth and sixth members of the “One Billion Dollar Club”, a so-called recognition group for exported goods which earn Vietnam at least one billion USD annually.
The robust growth of electronics and woodwork exports this year helped expand the club’s membership which had remained at four since 2003. The other members are crude oil, garment and textile, footwear and seafood.

The six goods are estimated to make up two-thirds of Vietnam’s export revenue.

Vietnam’s handiwork exports increase

Vietnam’s handicrafts exports for 2004 hit 410 million USD, up 11 per cent from last year, according to the Ministry of Trade.

The industry’s major products are woodwork, rattan, glassware, pottery and porcelain, lacquer, jewelry and gemstones.

Currently, Vietnam sells handicrafts to 133 countries and territories in the world.

Reported by X.Q – Translated by Hieu Trung.
Story from Thanh Nien News
Published: 27 December, 2004, 22:48:43 (GMT+7)
Copyright Thanh Nien News

Car sales in Vietnam to soar despite price hike

The cost of buying a new car in Vietnam is expected to sky-rocket starting early 2005 because of a government decision to increase tariffs on automobiles, but the market is likely to continue booming.
As planned, the government will raise the excise duty on five-seated cars to 40 percent from the current 25 percent. The new tax rate will go into effect on January 1, 2005.

Sky-high prices

The tax hike will raise car prices by about 10 percent on average, according to automakers.

US dollar plunge upsets Vietnamese businesses

Vietnamese importers and exporters are facing significant business risks driven by the US dollar’s steep fall against major world currencies, according to financial experts.

Although the US dollar has recovered ground from recent record lows against the Euro, no one can guarantee its downward run has ended, said experts, and the unclearness has Vietnamese businesses worried.

Significant threat

Busy Route Prompts Air Battle

The Vietnam-U.S. aviation transport agreement is taking off with increased travel and trade expected between the two countries. Competition on the route is becoming intense.

After more than five years of negotiations, the Vietnam-U.S. aviation transport agreement was signed in Washington in December last year. The agreement, effective since January, is not only a landmark for the transport sector, it will also has a strong impact on Vietnam's economy.