Only 15 per cent of around 8,000 manufacturing companies in HCM City are capable of joining global supply chains but authorities are trying to increase the number.
“The status of HCM City manufacturing enterprises in global supply chains is also low, mostly third or fourth level providers,” Nguyen Phuong Dong, director of the city’s Industry and Trade Department said.
However, some of them are good enough to supply companies like Samsung, Sanyo, Toyota, Honda, and Intel.
For instance, Minh Nguyen Ltd Company and Lap Phuc Ltd Company supply many items to Colgate and Thuan Viet Ltd company manufactures parts for Japanese motorcycle producers.
“Diversifying supply sources will help companies reduce risks related to production,” Hoang Tho Vuong, director of the HCM City Support Industry Development Centre, was quoted as saying by Sai Gon Giai Phong (Liberated Sai Gon) newspaper.
In December the centre, in co-operation with the Korean Association of Machinery Industry and HCM City Association of Mechanical – Electrical Enterprises (HAMEE), will organise the International Exhibition on Industrial Machinery and Equipment in Viet Nam with 350 companies from South Korea, Japan, Taiwan, and Europe taking part.
The event will focus on industrial and supporting industry products, the city’s key industrial products and its supporting industries’ specialties.
“There will be around 200 kiosks displaying accessories and equipment for supporting industries made by local enterprises,” Vuong said.
Do Phuoc Tong, chairman of HAMEE, said: “Through the exhibition, accessories and equipment made by local enterprises will be introduced to major foreign manufacturers.”
He warned that to become a high-level supplier of global enterprises, local enterprises must meet all international quality and price requirements. — VNS
- EVFTA opens door for businesses to join global value chains
- Cities Skylines is the Sim City you wanted Sim City to be
- The Witcher Author Wants $16 Million From CD Projekt Red
- Eve Online history book smashes Kickstarter goal, now the author wants to catalogue memes
- Foie gras WILL be cut from New York City menus by 2022 - but outraged farmers are already mounting a court challenge as restaurateurs say 'the beauty of America is that we can choose to eat what we want'
- Astral Chain Gene Code Guide
- Is UK barbecue charcoal fuelling global deforestation?
- UK aerospace firms apply for EU regulation before no-deal Brexit
- Spotlight: U.S. border city seeks more trade with China
- More firms may follow Airbus in Brexit threat, says CBI