In recent years, the Da Nang administration has actively assisted businesses in developing scientific and technological activities, thereby promoting their technological innovation, productivity and quality enhancement for the sake of the city’s progress.

Municipal People's Committee Chairman Le Trung Chinh (1st from left) visiting the Ha Giang Phuoc Tuong Mechanical Engineering Company and granting a certificate recognising it as science and technology firm

Da Nang is currently home to 8 science and technology (S&T) enterprises recognised by the municipal Department of Science and Technology. Four of them - the Ha Giang Phuoc Tuong Mechanical Engineering Company, Chau Da Co., Ltd., Sustech Co., Ltd., and WATEC-have been recognised as S&T enterprises so far this year.

The Ha Giang Phuoc Tuong Mechanical Engineering Company is one of the pioneers in the city in promoting S&T activities, designing and manufacturing technological equipment, and creating highly-competitive products.

The company has successfully implemented science and technology tasks assigned by the municipal Department of Science and Technology, without using the funding from the State budget.

It is noticeable that Ha Giang Phuoc Tuong has designed and manufactured large-sized vertical steel bending machine, special machines for lathing centrifugal molds to cast concrete pipes, specialised pipe winding machines for hydroelectric projects and mobile roll forming machine.

According to Mr Ha Giang, Chairman of the Board of Directors of the company, 2 years ago, his company received 650 million VND in aid from the city’s Science and Technology Development Fund to conduct research into the design and manufacturing of large-axis steel bending machine.

It is hoped that the city would continue giving more support to mechanical enterprises so that they would together foster the growth of the city's mechanical industry.

Another S&T enterprise, the Chau Da Co. Ltd, is a typical example in conducting research into new technological products and bringing them to fruition.

In particular, the company has received financial aid from the Fund to make a CNC cutting machine. The newly-made cutting machine has played an important role in improving the cutting accuracy, reducing the machining time, and bringing high profits. Notably, the quality of the CNC cutting machine was quite similar to that of imported one, but the locally-made machine costs only half of imported one.

Under the national government-issued Decree No 13/2019/ND-CP, S&T enterprises enjoy preferential treatment in terms of corporate tax cuts and exemptions, credit incentives, and exemption or reduction in land and water surface lease fees, import and export taxes, and additional support.

S&T firms are also entitled to import/export tax incentives for R&D, production, and other business activities.

In addition to incentives, these enterprises can use equipment and facilities free of charge at the national laboratories, the national government-owned research and technology facilities, and technology incubators. They only bear the cost of the materials required to carry out the R&D activities.

During the registration of land use rights and house ownership rights, these enterprises are exempted from the registration fees as well.

By TRAN NHIEN- Translated by ANH THU