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Monday, July 15, 2024

European investors eye US$1 billion logistics project in Vietnam

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HCMC – During a meeting with Vietnamese Prime Minister Nguyen Xuan Phuc on September 16, Belgian and Dutch investors revealed their plans to invest in a seaport logistics project worth nearly US$1 billion in the southern province of Ba Ria-Vung Tau.

According to the European investors, once operational, the Cai Mep Ha Logistics Center will be able to accommodate large container ships, helping to deliver Vietnamese goods abroad. They pledged to use green transportation methods for sustainable development once the project is given the green light.

The project, if approved, would be among the first projects of European investors in Vietnam after the EU-Vietnam Free Trade Agreement (EVFTA) came into effect early last month.

Phuc welcomed the European investors’ proposal and affirmed that Vietnam always creates favorable conditions for European enterprises to do business and invest in Vietnam. He assigned the government of Ba Ria-Vung Tau Province to work with the Ministry of Planning and Investment to consider the proposal.

The province in July approved the 1/2000-scale planning for the project, which covers 1,763 hectares. The province is ready to hand over the cleared site to the investors and construction is planned between 2021 and 2040.

The prime minister spoke highly of the economic partnership between Vietnam, the Netherlands and Belgium as a number of Belgian and Dutch enterprises are operating efficiently in Vietnam, such as Rent-A-Port and Damen. However, there is still much room for cooperation.

Addressing the event, Dutch Ambassador to Vietnam Elsbeth Akkerman believed that the EVFTA would help boost cooperation and investment between the EU and Vietnam. She affirmed that the Dutch Government is willing to support the Cai Mep Ha Logistics Center project and the Dutch Development Bank is committed to contributing 10% of the project investment.

Belgian Ambassador to Vietnam Paul Jansen congratulated Vietnam for successfully containing the Covid-19 pandemic and said the Belgian Corporation for International Investment would play a role in the seaport logistics project.

The Netherlands is one of Vietnam’s largest trading partners in Europe, with bilateral trade from January to July 2020 reaching US$3.54 billion. Meanwhile, Belgium is Vietnam’s sixth largest European trading partner, with bilateral trade amounting to US$3.1 billion last year, according to Nhip Cau Dau Tu.

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