Vietnam: the opportunities and advantages of an increasingly attractive market

GDP and FDI grow in the ASEAN market: What opportunities and advantages in Vietnam for doing business?

ASEAN today represents one of the most important global areas in which to invest and among the 10 Member States that make up the Asian organization, the performance of the Vietnamese market stands out. In fact, high growth rates have been recorded in the country, for several years already, which have attracted the interest of international investors: between 2000 and 2013, direct investments from US, European, Korean, Japanese and Chinese multinationals flowed into Vietnam for over 200 billion USD e to date the influx of FDI does not stop; only in relation to Greenfield investments Vietnam is configured as one of the main markets not only in the ASEAN area, but in the entire Asian continent. Hanoi has therefore managed to confirm its prominent position among the most dynamic global economies, thanks above all to the increase in industrial and manufacturing production.

Relations between Italy and Vietnam are excellent: our exports within the country have recorded a great growth path in the last two years and considering the good political relations that exist, everything suggests that the trend is destined to increase in the future .

There are many points of contact between the Italian and Vietnamese markets and there are many reasons that should induce Made in Italy companies to invest in Vietnam:

• an industrial fabric similar to the Italian one, based on a large presence of SMEs;
• strong political and social stability;
• a young, low-wage and skilled workforce;
• the growing development of a middle class with a high propensity to consume;
• a strong interest in Italian products (especially for luxury goods, but not only);
• very competitive costs; not surprisingly, Vietnam is considered the Asian country with the cheapest costs also in relation to import-export taxes and duties;
• an important policy of openness to foreign capital, which provides incentives for foreign companies and more flexible regulations;
• the need for foreign investment, technology and know-how;
• a vast network of free trade agreements with the countries of the area, containing very favorable safeguard clauses;
• growing integration in the globalized world.

There are several sectors that offer business opportunities. Among these, we highlight:

• food;
• food processing;
• textile;
• articles of clothing;
• furniture and furnishings;
• infrastructure and construction;
• machinery and equipment;
• sourcing.

Octagona, which has ten years of experience on internationalization issues, is present not only in Vietnam (Hanoi and Ho Chi Minh City) through direct offices, but throughout the ASEAN region for many years, being able to count on strategic partnerships in Singapore, in Indonesia (Jakarta) and Thailand (Bangkok). Octagona is able to provide assistance to all companies that intend to sell their products in Vietnam or other ASEAN countries, developing specific projects and following customer requests.

If you want to know more, call us on 059.9770184 or send an email to octagona@octagona.com: you will meet one of our consultants to build, together with you, the best internationalization path.

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