Vietnamese Prime Minister Nguyen Tan Dung at the Vietnam - UK Business Forum

• a profile of Vietnam including background, geography, and basic facts and figures like the local currency, languages and the capital city
• information on conducting business in Vietnam. This section provides details on business fundamentals like local regulations, customs duties, selling and promotion.
• market opportunities identified by UK Trade & Investment staff in Vietnam
• vital information on visiting Vietnam – everything from social customs to business hours to passports/visas and health issues
• advice on setting up a business in Vietnam. What are the cultural factors that need to be considered? Is there any financial assistance available? Will staffing be an issue?
• exhibitions, seminars and other events supported by UK Trade & Investment
• other useful websites for exporters
• UK contacts and any other useful contact details
  

Vietnam's Perspective 2009

Since the economic liberalisation of the mid-1980s, Vietnam has developed into a significant player in the Asia Pacific region. In the past few years, the country has achieved GDP growth only second to its neighbour…China. As a result of this economic expansion, the country’s physical infrastructure is placed under severe pressure. For UK companies, there is high demand for their expertise in the transport sector, particular in ports and railway (see case studies below) and other related construction projects.

Case Study 1:

The Vietnamese Ports authorities plan to mobilise about US$4.5 billion to implement its seaport development project (until 2015). The ports sector will complete the upgrading and expansion of 10 key ports along the coast of Vietnam. In Ho Chi Minh City alone, local authorities have agreed to move inner-city ports to outlying regions, at a cost estimated US$700 million. Other projects, such as building coastal shipping fleet, modernising the communication system and improving maritime rescue and safety are also planned.

Case Study 2:

Vietnam has over 3000 km of rail network, though much of it is in need of rehabilitation. There are ambitious plans to build 6 metro operations in the two major cities - Hanoi and Ho Chi Minh City, and a high speed link from Hanoi to Ho Chi Minh City in the longer term.

Growth is predicted to continue, albeit at a slower rate, under the current global downturn. Vietnam has a population of over 85 million, 65% of this population is aged under 35, coupled with the fact that the country aims to achieve middle income status by 2011, there are there are very good prospects in sectors like retail, ICT and financial services. In the banking sector, for example, there are only 10% of the population has a bank account. In other business services, multinational companies still have strong recruitment plans in response to the severe lack of auditors, accountants and other qualified professionals in Vietnam.      

Vietnam is also growing as a destination for UK exporters. In 2008 (Jan to Nov), the UK exported goods worth £156.4 million to Vietnam, an increase of 38.3 per cent compared to the same period in the previous year (BERR Statistics Analysis based on HM Revenue and Customs data). Popular UK exports include, power generating machinery and equipment, medicinal and pharmaceutical products and scientific instruments.  

UK Trade and Investment teams in Hanoi and Ho Chi Minh City are geared to help your company to explore this dynamic and exciting market. For more details about Vietnam and its opportunities, please contact Mr Wai-Kit Ho, Trade and Investment officer at wai.ho@fco.gov.uk  

4 February 2009
UK Trade and Investment, Ho Chi Minh City