Despite significant milestones in export and foreign direct investment (FDI) attraction, Vietnam must overcome its core limitations if it is to achieve breakthrough growth in the years ahead. With appropriate institutional reforms and the strategic adoption of technology, the country can attain sustainable growth and avoid the middle-income trap amid an aging population and increasing economic pressures. Vietnam is currently the world’s second biggest exporter of smartphones and smartphone parts. For computer component exports, it ranks fifth, sixth for computer device exports, seventh for software outsourcing, and eighth for electronic component exports. These are commendable achievements, but they primarily hold statistical significance in terms of growth. For instance, the electronics and smartphone manufacturing industries—which account for a large proportion of total export revenue—import up to 89% of their component value. These figures indicate that Vietnam occupies the lowest tier in the value chain, primarily engaging in assembly and auxiliary services. This is not just a challenge but a stark reminder of the urgent need to enhance domestic capabilities to achieve sustainable growth. Amid an aging population To achieve long-term growth, Vietnam must address fundamental issues related to its current growth drivers, with exports being the most crucial factor requiring in-depth […]
Despite significant milestones in export and foreign direct investment (FDI) attraction, Vietnam must overcome its core limitations if it is to achieve breakthrough growth in the years ahead. With appropriate institutional reforms and the strategic adoption of technology, the country can attain sustainable growth and avoid the middle-income trap amid an aging population and increasing economic pressures. Vietnam is currently the world’s second biggest exporter of smartphones and smartphone parts. For computer component exports, it ranks fifth, sixth for computer device exports, seventh for software outsourcing, and eighth for electronic component exports. These are commendable achievements, but they primarily hold statistical significance in terms of growth. For instance, the electronics and smartphone manufacturing industries—which account for a large proportion of total export revenue—import up to 89% of their component value. These figures indicate that Vietnam occupies the lowest tier in the value chain, primarily engaging in assembly and auxiliary services. This is not just a challenge but a stark reminder of the urgent need to enhance domestic capabilities to achieve sustainable growth. Amid an aging population To achieve long-term growth, Vietnam must address fundamental issues related to its current growth drivers, with exports being the most crucial factor requiring in-depth […]
Despite significant milestones in export and foreign direct investment (FDI) attraction, Vietnam must overcome its core limitations if it is to achieve breakthrough growth in the years ahead. With appropriate institutional reforms and the strategic adoption of technology, the country can attain sustainable growth and avoid the middle-income trap amid an aging population and increasing economic pressures. Vietnam is currently the world’s second biggest exporter of smartphones and smartphone parts. For computer component exports, it ranks fifth, sixth for computer device exports, seventh for software outsourcing, and eighth for electronic component exports. These are commendable achievements, but they primarily hold statistical significance in terms of growth. For instance, the electronics and smartphone manufacturing industries—which account for a large proportion of total export revenue—import up to 89% of their component value. These figures indicate that Vietnam occupies the lowest tier in the value chain, primarily engaging in assembly and auxiliary services. This is not just a challenge but a stark reminder of the urgent need to enhance domestic capabilities to achieve sustainable growth. Amid an aging population To achieve long-term growth, Vietnam must address fundamental issues related to its current growth drivers, with exports being the most crucial factor requiring in-depth […]
Ministry of Public Security investigators have just detained the high-profile FLC Group chairman, Trinh Van Quyet, on alleged charges of stock market manipulation.
Editor’s note: While waiting for Covid-19 vaccines to arrive, Vietnam should revise her growth scenarios to circumvent its self-inflicted problem of having to achieve...
Each year, natural disasters cost Vietnam approximately 0.3-0.5% of her gross domestic product, which adversely affects socio-economic situation as well as national security. Yet...