Despite the COVID-19 pandemic, Da Nang’s investment attraction strategy has yielded fruitful results, hereby brightening prospects for the city’s economy. Many outstanding investment projects are operating effectively in the city amid the complex development of the pandemic.

Picture is taken at Apple Film Da Nang Co., Ltd located in Hoa Cam Industrial Park, Cam Le District. Photo: KHANH HOA

Data published by the Da Nang Investment Promotion Center showed that during the 2018-2020 period, Da Nang has attracted 341new  foreign direct investment (FDI) projects with a total registered capital of more than US$847.3 million and 77 domestically invested projects worth nearly VND 35,000 billion in total.

Most notably, Da Nang has attracted many outstanding FDI hi-tech projects which have been put into operation. Included are Sunshine aerospace components factory developed by the US-based Universal Alloy Corporation Asia Pte. LTD-UAC, Japan-invested Niwa Foundry Viet Nam Company, and South Korea-invested Dentium ICT Vina medical equipment factory.

Since the beginning of 2021, Da Nang has continued to attract a number of impressive projects which are expected to be a bright spot of the city’s economy which is set to flourish in the coming time.

Most prominent amongst them are the US$110 million semiconductor manufacturing plant developed by the United States Enterprises, the US$35 million Fujikin-Danang Research and Development (R&D) Centre developed by Fujikin Incorporated from Japan, the US$300,000 Japan –invested EPE Packaging Viet Nam, the Swiss NABUA Company Limited, the VND 60 billion Bao Ngoc, and the VND 75 billion Vinalog’s logistic service centre.

In addition, the Authority of Da Nang Hi-Tech Park and Industrial Parks (IPs) has approved research investment ideas from some US investors, and introduced suitable sites for their development projects.

Since the start of the year, Da Nang’s IPs have received 4 FDI projects with a total registered capital of more than US$ 145.33, and 12 domestically invested projects worth VND 481.4 billion.

Till date, Hi-Tech Park and IPs in Da Nang have attracted 130 projects with total FDI inflows amounting to USD 1.854 billion, and domestic capital investment reaching to VND 27,563 billion with 373 projects.

Between January and July in 2021, the total value of Da Nang manufacturers' product sales was estimated to be worth more than VND 19,500 billion. During the 7-month period, total value of exports from businesses operating in local IPs was worth an estimated US$ 522.3 million, presenting 136.64% over same period in 2020, accounting for 64.17% of the city's total export turnover. In addition, businesses operating in local IPs contributed more than VND 2,500 billion to the city’s budget, equaling 108.85% over same period in 2020, and accounting for 23.5% of the city’s total budget revenue.

Ms Huynh Lien Phuong, the Director of the Da Nang Investment Promotion Center, said that the city has issued investment policies in an open and transparent way for domestic and foreign investors in efforts to create the most favourable conditions for them to seek investment opportunities and operate effectively in the city.  Besides, Da Nang has always attached importance to enhancing its relationships with such countries such as Japan, South Korea, the United States, Thailand, and Singapore.

In its efforts to create positive change in investment attraction into Da Nang in the coming time, the Da Nang Investment Promotion Center has proposed a number of solutions such as perfecting the city’s investment policies, making land fund available across Da Nang for investors, stepping up administrative reform to boost investment attraction .

Amid the complex development of the COVID-19 pademic, it is necessary for Da Nang to use online platforms to get in touch with foreign businesses, investment promotion organizations, consulting firms, banks in key international markets and countries worldwide that have policies to shift financial flows to invest in Viet Nam in an attempt to attract them into Da Nang.

Reporting by KHANH HOA – Translating by H.L