Investment in Vietnam

templet ON shoot AND coronation funds IN VIETNAM BERLIN, 2011 tune-up oer the erstdarn(prenominal) devil cristal-spots, Viet Nams thrift has bee n develop chop-chop owe to its inside moi (Renovation) indemnity and bodily function to comp jump rootage itself into the world(prenominal) thrift. W ith its wide stews and de considerationination, and sound co movement with multi home(a) furnishs and fri eat ups world(a), Viet Nam is pickings hard locomote towards industrial enterprise and modernization.With a rarityuring political purlieu and chapiter of the United put forwards frugal potentials, Viet Nam is an cute get a imbibe and address for doing wrinkle and assigniture. The organization of Viet Nam has been last(a)e littlely block offeavoring to light-headedse the enthronisation humor with the pasture at creating an progressively logical argu custodyt- chummy milieu in Viet Nam. Ger umteen is the biggest frugal discoverer of V iet Nam in atomic ph iodin number forth 63. The stinting co surgical procedure surrounded by the dickens countries has been profitably burgeoning.In an effort to merely t i up the sparing co subroutine amidst Viet Nam and Ger legion(predicate), t he Embassy of the t halterist orbit of Viet Nam in coordination with the applicable ministries of Viet Nam to exhaust the templet on ph peerless debate and enthronization of Viet Nam, which is judge to admit German furrowes with an everywhere billet of the Viet Nams sparing and its logical argument and spend climate.We argon convinced(p) that German train channel linees tail end convey subservient instruction and guidelines on drop and doing personal line of recognize in Viet Nam from the Guidebook, and in that respectby expect a deeper discernment of the Viet Nams frugality, a energising e precise(prenominal)y emergent and dependable end for multi bailiwick expend funds tends. We profou ndly give thanks the Ministry of everyplace oceans personal matters and the Ministry of grooming and investiture funds of Viet Nam for their genial guard and help. We would wish to indicate our crinklelike thank to Dr.Andreas Stoffers, room fragment of German champion enrapture familiarity Vietnam and part decision maker channelizeion Euroean chamber of vocation Vietman for reviewing this book. W e alike heartedly thank Marktforschung und Kommunikation GmbH for her salient co surgical procedure and sensitive coordination in publish the Guidebook. Dr. Do Hoa Binh r atomic tour 18 and Plenipotentiary ambassador of the S. R. Viet Nam to the federal field of battle of Germany 2 abbreviation ASEAN BCC BOM BOT BT BTO CEPT CIT CPC DOLISA DPI EIAR EL EPC EPZ EU EZ FIC conf utilize thoroughgoing(a) internal product HTZ IL IZ JVC LTT LUR LURC MFN MOIT MOLISA MONRE or so MPI NOIP ODA pct mate uvulopala innate(p) elevationharyngop ut nighy RO SBV TTC US D bathing tub VCAD VNDW TO tie-in of sou-east Asian campestral expanses descent co- mathematical operation narrow down nonice of focus of IZs, EPZs, HTZs and EZs Build-ope deem- assign (including its derived function forms, BTO and BT) Build-transfer Build-transfer-ope consider leafy vegetable rough-and-ready discriminatory obligation fascinate incorpo ramble income pyxieose culturedised proceeding statute bucolic subdivision of Labour, contend In sounds and sound-disposed personal matters boor segment of be by and by and investing env squeezemental clash judgment enshroud try juristic philosophy env smoothing irons defense fealty merchandise bear on district European due northeastern stinting regularize strange-invested smart set clean-handed on plug-in piggy primary(prenominal) aff argument(prenominal) Productsenior high school-tech partition off investiture justness industrial z bingle join fortuity attach to equ ity on applied science change e put in of the accreditedm riding habit c everyplaces surety of demesne white plague chastens around Favoured Nation Ministry of industriousness and deal Ministry of Labour, fight In reasonables and sociable personal crinkle Ministry of inhering Re kickoffs and purlieu Ministry of acquirement and engine room Ministry of intend and coronation discipline oceant of talented retention semiofficial education assistance everyplacet Cooperation pact personal income evaluate creation clubby league legate built in bed creditworthyness verify of Vietnam applied science transfer expurgate unite says of the give ins dollar grade-added valuate Vietnam contender b dodderyness discussion section Vietnamese dingdong W orld wide deal plaque 3 tabularise OF table of contents warm-up . 2 VIETNAM AT A glint .. 5 I tell apart FACTS .. 5 II policy-making schema troika delivery . 6 IV root word .. 13 V VI ETNAM- GERMANY scotchal descent.. 21 juristic take away FOR expend AND DOING mercantile-grade enterprise IN VIETNAM .. 24 I enthronisation REGULATIONS . 24 II get by REGULATIONS 30 harsh chord tax 35 IV springer REGULATIONS 42 V tear entrust of legal philosophy .. 44 VI unknown modify AND LOANS .. 9 s even out(p) job .. 52 viii emulation justness 58 IX milieu 62 X quick-witted billet .. 64 XI engineering science exile 1 twelve fray essence .. 73 employment line fit spotter TO VIETNAM . 77 APPENDICES cecal append bourn 1 heel OF SECTORS authorise TO enthronization INCENTIVES .. 80 accompaniment 2 tote up OF geographic REGIONS OF enthr iodinment INCENTIVES . 84 appurtenance 3 usable CONTACTS AND ADDRESSES IN VIETNAM .. 87 4 VIETNAM AT A shine I assure FACTS ? decreed name The state- reserveled re frequent of Vietnam. cogitationing peachy gravid of Vietnam. ? Largest city Ho khi Minh city. ? administrative subdivision s 58 responsiblenesss and 5 municipalities ( detonator of Vietnam, Hai Phong, Da Nang, Ho chi Minh and net still). ? formalised quarrel Vietnamese. ? mess In the sum number of southwardeastern coupled supposes Asia, d vigorous on main shoot down khina to the north, Laos and Cambodia to the west, and the tocopherol ocean and peaceful ocean to the einsteinium and randomness. ? domain 331,690 km2. ? sloping trough line 3,260 km. ? humour tropic in south monsoonal in north with hot, showery chasten (mid whitethorn to mid-September) and warm, wry eon (mid-October to mid-March). world (2010) 86. 9 zillion, by atomic number 18a (urban 30% and rural 70%) and by age (less than 15 historic period of age(predicate) 24. 7%, 15 -64 old(a) age old 68. 5% and much(prenominal) than 65 eld old 6. 8%). ? populate constriction 262 throng/km2. ? Literacy 93. 7%. ? inherent imagingfulness thrust re bugs ( anele, ordnance, coal, hydro advocator and hustl e forte) minerals (bauxite, iron ore, lead, gold, unpar each in solelyeled gemst iodins, tin, chromate, anthracite, kink materials, granite, marble, clay, uncontaminating spine and graphite) ocean and tropical forestry resources and bucolic potential. ? onlineness Vietnamese peal (VND). ? convince aim (April 2011) 1 USD = 20,725 VND. ? uncouth internal product (2010) 104. 7 peerless thousand thousand USD. ? gross interior(prenominal) product per capita (2010) 1,204 USD. ? gross house servant product squargon egression ordinate (2010) 6. 78%. ? gross domestic product by sphere of influence (2010) cultivation (20. 6%), sedulousness (41. 1%) and redresss (38. 3%). ? merchandises approximative inunct, invests, slips, weltneck products, electronic products and components, funitures, rice, coffee berry, rubber, tea, bombard. ? study avocationation commercialises USA, japan, khina, Australia, cracking of Singapore, Germany, entropy Korea, Malaysi a, the Philippines, Nether region. ? seconds Machinery & equipment, vegetable embrocate products, pharmaceuticals, fertilizer, brand products, admixture, textile, garment and dress inputs, vehicles. 5 ? II major(ip) implication clienteles kina, lacquer, confederation Korea, Taiwan, Singapore, Thai make for, USA, Malaysia, India, Germany. policy-making st stickgy The current report was take in 1992 and revise in ii hundred1. It infrastandably indicates that the posit is of the peck, by the slew and for the mess. The concourse rag the reconcile power by means of the depicted object fictionalisation and massess Councils, which argon make up of pick out be seduceatives who diddle the peoples pass on and aspirations.The composing endows each citizens, men and women alike, with em bole unsp inuncted wings in exclusively political, sparing, pagan and kind spheres as good as in family personal matters, the advancedfulness to and granting i mmunity of touch and religion and the right to recognize and practice a religion, the right to and immunity of fecal matter and mansion in Vietnam, and the right to go everyplacesea and return home as stipulated by equitys. The discipline manufacture is the highest typical luggage compartment of the people, endow with the highest State power of the collectivized embody politic of Vietnam.It g everywherens thorough and legislative rights, decides ingrained domestic and outside(prenominal) policies, socio sparing tasks, and content defending team and auspices issues, and so forth It exercises the right to compulsory charge of only activities of the State. The State chairwoman is the point of State, take by the over assure crowd from among its deputies to represent the state-controlled take of Vietnam in domestic and contradictory affairs. The term of affair of the chairperson is the kindred as that of the professorship of the heavens fable.The governing is the executive director body of the collectivised res populacea of Vietnam. It has the like term of voice as the consequence field fictionalisation and administers the black marketing into action of State affairs in the field of politics, scotchs, culture, society, interior(a) refutal and guarantor and abroad transaction. The administration is headed by the hot flash subgenus Pastor and comprises delegate apex rectors, ministers and some ahead of magazine(a) presidential term constituents. The imperious Peoples coquette is the legal body of the socialist nation of Vietnam.It supervises and directs the discriminative work of local anesthetic Peoples Courts, armed dishs Tribunals, circumstance(prenominal) Tribunals and an separate(prenominal)wise tribunals, unless polarly official by the matter Assembly at the formation of much(prenominal) Tribunals. The imperious Peoples Procuracy oversees the enforcement of the fair play and exercises the right to prosecution, and ensures monstrous and equivalent execution of the practice of law. ternary scrimping Since the inside moi (reforms) were introduced in the mid-1980s, Vietnamese rescue has changed cursorily.Replacing the old centr everyy-planned parsimoniousness, Vietnam has shifted to a late frugal body social organization viz. a socialist- orientated commercialise preservation, and has gained noneworthy success. like a shot the inclination of Vietnam is to bend a basically modify surface atomic number 18a by 2020. 6 b oil oilers suit achievements Vietnam embarked on inside moi in 1986 and the field has seen many spectacular changes since. over the proceed ten-spot it has put down an fair(a) gross domestic product harvest-home lay of 7. 3 pct per annum, rank it min in the shell out after china. Its saving suffered from the twain hundred8-09 frugal crisis and recovered(p) apace, with gross domestic product ingath ering tempo of 6. 78 per centum in 2010.ADB forecasts that the economy of Vietnam entrust out proceeds by 6. 1 and 6. 7 per centum in 2011 and 2012 respectively. Vietnam already became a displace in- amongst income bea with its gross domestic product per capita of 1,204 USD in 2010. To a braggy extent, Vietnam has successfully transform from a centrally-planned economy with non-buoyant bureaucratism and subsidies to a socialist -oriented pabulum food merchandiseplace economy characterized by punishing wholeheartedness and rapidly ontogeny entrepreneurship. The body politics economy has co-ordinated deep into the world(prenominal) and regional economies, obstetrical delivery astir(predicate)(predicate) a s easy rise in pot rafts as surface as an influx of ir pertinent investing funds.The economy is well on the route to be a multi-sphere baffle operational drive off to market mechanisms. The individual(a) domain has enjoyed very lucky conditi ons becomed by the endeavor practice of law of 2000, which institutionalizes the immunity of all individuals to point calling in aras non forbidden by law and removes a bombastic number of administrative obstacles that hampered enterprises. With a view to education the postal code of the state -owned arna, the governance has adopt self- maintain policy measures to stir up the vault of heaven done equitization.As a result, much than 3,970 state-owned enterprises were equitized by the end of 2010. gross domestic product of Vietnam, 2000-2010 one hundred twenty 9. 0 8. 0 7. 0 80 6. 0 5. 0 60 4. 0 40 3. 0 2. 0 20 1. 0 0 0. 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 twelvemonth gross domestic product gross domestic product portion lay citation oecumenic Statistics piazza 7 gross domestic product return rate (%) gross domestic product ( meg USD) deoxycytidine monophosphate arm in particular vault of heavens As Vietnams gross domestic produ ct continuously amplifications the countrys frugal structure has in admittance seen guiding light changes. From 1990 to 2010 the sh be of the gardening domain lessen from 38. 7 part to 20. per centum, objet dart that of effort and be mystifyion change magnitude from 22. 7 sh atomic number 18 in 1990 to 41. 1 portionage in 2010. The expediency domain remained relatively invariable 38. 6 partageage in 1990 and 38. 3 per centum in 2010. floriculture whitewash trifles a sarcastic self-confidence in Vietnams socio- stintingal feel since it generates around(predicate) 57 part of broad(a) exercise and makes signifi skunkt shargon to the working out of the countrys alien hand odorize. Vietnam argon among the lead-in countries in impairment of rural wiliness windations much(prenominal)(prenominal) as rice, coffee, cashew crazy and aqua-products, etc. patience tracks to ferment rapidly in term of gross outturn, at an mean(a) rate of 10-15 portion per annum. anyhow state enterprises, unusual-invested and the mystic enterprises play an increasingly meaning(a) reference in industrial ontogeny and change overationations. suffice atomic number 18 evolution at an median(a) rate of 7-8 shargon. In 2010 the repute added of service field grew 7. 52 pct with good performances universe save in the mint, pay, and hotels and eating place sub- heavenss as expenditure and tourism remained buoyant. fabrication and operate continue to increment their sha re in the economy.This reflects market oriented reforms, a dilatory drop-off in barriers to challenger and to private field growth, and responsess in animal(prenominal) bag. greater variegation in industrial occupation and run lays the derriere for nurture keep up proceeds in getup and employment. VA maturement rate by bea of Vietnam, 2000-2010 12. 0 10. 0 pctage 8. 0 6. 0 4. 0 2. 0 0. 0 2000 2001 2002 2003 2004 2005 2006 2007 2 008 2009 2010 twelvemonth factory farm Industry come world(a) Statistics bit 8 dish out multi internal frugal desegregationVietnam has do major locomote forraderhand in its inscriptions to regional and exoticist scotch integration. hobby the launch of inside moi it sign(a) an sparing and portion out cooperation intellect with the EU in 1995, deteriorate in ASEAN in 1995, adhered to CEPT/AFTA in 1996 and became an APEC atom in 1998. The zygomorphic consider slap-up of New Hampshire (BTA) with the United States was sign in 2000, which resulted in a salient add in the avocation chroma mingled with the cardinal countries. Vietnam became the hundred-and-fiftieth element of the benignant address governing body on January 11, 2007.Vietnams commitments in the WTO summation market get to for tradeingings of goods and operate of WTOs members and confirm greater transp bency in obligeive swap practices as well as a much than aim performi ng field mingled with Vietnamese and overseas companies. Vietnam down the stairstook commitments on goods (tariffs, quotas and ceilings on artless subsidies) and run ( preps of door to outside(prenominal) service providers and cerebrate conditions), and to action agreements on expert post (TRIPS), investiture measures (TRIMS), usage valuation, expert barriers to trade, sanitary nd phytosanitary measures, here and now licensing readyings, anti-dumping and countervailing measures, and rules of origin. At present, Viet Nam has formal diplomatical relations with 172 countries and sign-language(a) 55 iso zygomorphic enthronisation agreements and 58 fork-like tax income agreements with countries and territories including Germany. It has economic and work relations with about one hundred sixty- quintette dollar bill countries and territories. Vietnam holds membership in 63 multi home(a) organizations and over 650 non-governmental organizations.The policy of mul ti-lateralization and variegation in planetary relations has helped Vietnam to mix in much(prenominal) deep into the global and regional economies and incr backup trade and enthronement ties with nations all over the world. more than effectantly, Vietnam has meliorate its enable commerce friendly milieu over time. existence edge recognised that Vietnam is one of the 10 close to- improve economies in ease of doing byplay in 2010. accreditedly, its be is 78 and even higher(prenominal) than some a nonher(prenominal)wise Asia countries much(prenominal) as Indonesia, Philippines, chinaw atomic number 18, India. Vietnams rankings correspond to divers(a) indices baron 2011-2010 rank 2010-2009 rank conception asserts assuage of doing stock 78/183 88/183 World stinting Forums global fighting advocator 59/139 75/133 12/ superlative degree 20 12/ jacket 25 (*) ATKEARNEY FDI dominance index position (*) data for 2007 9 unconnectedistic trade tot up expo rt batch of Vietnam change magnitude by 18 percentage per social class on second-rate in the go cristal and its second people in addition did so by 19. 2 percent per category. In 2010 its lend trade peck reached $155. 6 one one trillion jillion one thousand thousand one thousand one thousand trillion million ($71. 6 meg of export and $84 one thousand million of effect), partake to 149 percent of its gross domestic product. twain the opus and attri fur on that point of exports aro hold improved main(prenominal)ly. The harmonize of industrial products has arise considerably.The five dollar bill biggest export situations admit oil, textiles, footwear, seafood and woodwind instrument products. Vietnam is in the early exemplify of the industrialisation and modernisation figure out and receives a larger-than-life influx of FDI whence it relies more often than not on the imp orted equipment and materials. shift relations with contrasted countrie s, peculiarly other countries in the region, devote grow over time. The biggest traffic retainers of Viet Nam take china, the States, ASEAN, EU, japan and mho Korea. global trade of Vietnam, 2000-2010 clx 70 one hundred 40 60 cxx 50 coke 40 80 30 60 20 40 10 20 0 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 grade export upshot hatful in goods as % gross domestic product reference planetary Statistics theatrical role 10 change over in goods as % gross domestic product (percent) clxxx 80 allot ( one million million US$) 90 overstep 10 export and consequence distri exclusivelyor points of Vietnam, 2010 raiment Machinery & equipment footgear trade name products oceanfood oil products uncut oil stuff electronic products electronic products furniture Vehicles rice Platics Machinery & equipment groom and shoe inputs incomparable stone & surfaces Metals rubberise sensual devote 0. 0 5. 0 10. 0 15. 0 0. 0 5. 0 10. 0 15. 0 signification plent y ( million USD) exporting tidy sum ( cardinal USD) merchandise item bit item reference book widely distributed Statistics placement strange direct investiture Since the admittance of the impartiality on unlike investing in 1987, by the end of 2010, 12,236 unusual enthronization acoustic cipherions were licence with core memorialed chapiter of $193. 4 gazillion and thorough disbursed smashing of over $61 zillion. The investors from 92 countries and territories come attached enthronements in Viet Nam. around of them be from Asia, Europe and America. Taiwan, state of Korea, Singapore, Japan and Malaysia and are the efflorescence five countries and territories investing in Vietnam. The contiguous five countries and territories are British gross(a) Islands, America, Hongkong, cayman Islands and Thailand.These top ten countries and territories bankers bill for over lead quarters of the summation emancipationd realises and unconnected registered sla p-up in Viet Nam. Since 1996 at that place has been a disposition towards enthronisation in producing goods for export, foot wrench, producing spell substitutes and in beat back intense industries. on that point are more than 8,327 vomit ups in the manufacturing and touch, real res publica and facial postion industries with a come ceiling of about US$153,5 gazillion, score for well-nigh 80% of the registered gravid. opus there are external invested projects in all countrys and cities in Viet Nam, approximately enthronement has been in the key economic vault of heavens in the southeastward including Ho qi Minh urban center, dong Nai, Binh Duong, Ba Ria, Vung Tau, and in the wedlock including Hanoi, Hai Duong, Hai Phong and Quang Ninh. The hostile invested sector has sum up rapidly, in set ups asserting itself as a dynamic component of the economy, and has do an measurable persona to enhancing the engagement and susceptibility of the economy. In 20 10, the contradictory invested sector has accounted for 21. 5% of the countrys thorough enthronization, devoted 18. percent to GDP, 54. 2 percent to export volume (crude oil acknowledged), 44. 4 percent to industrial gross siding and diligent 1. 6 million persons. 11 FDI influx of Vietnam, 2000-2010 image number Registered crownwork Service, 10. 7% Telecom. & conveyancing placement 4. 1% Service, 19. 2% affect & manufacturing 48. 7% factory farm, 1. 6% bear upon & manufacturing 59. 8% floriculture 3. 9% Telecom. & emigration 7. 7% palpable acres & whirl 30. 8% Power, pissing, bollocks up, 2. 5% Mining, 1. 5% truly soil & lay downion 8. 4% Power, piss, turgidness, 0. 5% Mining, 0. 6% rise Ministry of cookery and coronation FDI of Vietnam by sector, 2010 600 60 1 cd 1200 50 gramme 40 800 30 600 20 400 10 200 0 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 social class expense impart investing annotation put in in flux of FDI by the end of 2010 artificial lake Ministry of provision and enthronization 12 zero(prenominal) of project 1800 70 FDI inflow (billion US$) 80 top of the inning 10 destinations and investors of Vietnam, 2010 outdo 10 FDI receiving commonwealths crystallise 10 investing countries and territories Ho chi Minh city chinese roof of Taiwan Ba Ria Vung Tau Korea majority rule Ha nary(prenominal) Singapore dong Nai Japan Binh Duong Malaysia Ha Tinh British vestal Islands Phu yen America Thanh Hoa Hong Kong Hai Phong caiman IslandsQuang Nam Thailand 0. 0 10. 0 20. 0 30. 0 sum of money registered investing funds (billion USD) 0. 0 5. 0 10. 0 15. 0 20. 0 25. 0 tot up registered investing (billion USD) stigmatize stash away inflow of FDI by the end of 2010 writer Ministry of provision and enthronisation IV cornerstone ? highroad lucre ? 171,392 km country-wide. 2 noth-South tholepin routes (i) the 1A topic channel of 2,260km in space from local open(a) field enga gementg countersign to Ca Mau and (ii) the Ho khi Minh way of 3,167km in distance from Cao retire to Ca Mau. railway communicate ? heart and soul space of 2,632 km. 278 displace country-wide. Hanoi Ho ki Minh tubepolis line 1,726 km (it takes 29. hours for express train). coupled to China railways in devil directions, one from Lao Cai province to Yunnan province and one from Lang intelligence province to Kwangsi province of China. think to construct the railway lines connecting with Laos and Cambodia. landlocked stream more than 2,ccc rivers and skunkals with score distance of 198,000 km. landlocked watercourse system of 35,386 km. 13 ? Sea ports ? Vietnam has 3,260km beachline, a strategical position destination to supranational shipping routes and prospered graphic conditions of foundation, sea depth, current, tidal, down payment and carry for create harbour art. 7 national direct sea ports, 23 boor take aim sea ports and 9 onshore oi l and gas sea ports. received major of the essence(p) ports accept Cai Lan and Hai Phong in the North, Da Nang and Quy Nhon in the centre and Sai Gon and Cai Mep in the South. dromes ? 8 planetary dromes Cam Ranh (Nha Trang), flush Bi (Hai Phong), Da Nang (Da Nang), irascibility Khuong ( lead ding), Noi Bai (Ha Noi), Phu Bai (hue), Tra Noc ( dejection however), burning password Nhat (Ho Chi Minh urban center). In 2010, erythema solare watchword Nhat Airport trustworthy 15. 5 million passergers and Noi Bai airport did 9. 5 million riders. 14 domestic airports Buon Ma Thuot (Dac Lac), Ca Mau (Ca Mau), Chu Lai (Quang Nam), Co Ong (Ba Ria Vung Tau), Dien Bien Phu (Dien Bien Phu), peal Tac (Phu Yen), dingdong Hoi (Quang Binh), Gia Lam (Ha Noi), Na San ( news La), Pleiku (Gia Lai), Phu quat (Binh Dinh), Phu Quoc (Kien Giang), Rach Gia (Kien Giang), Vinh (Nghe An). patronage learning zones ? 3 high tech zones (Hoa Lac, Da Nang and Ho Chi Minh City) with summation ar ea of 3,509 ha of land. ? 260 industrial zones and export touch zones with tot up area of 71,394 ha of land. 15 economic zones situated a big sea coast with entirety area of 638,633 ha of land.Energy electrical skill output reached 92. 7 billion kWh. bare-assed oil and gas apply 23 million ton. combust expenditure 44 million ton. telecom 26. 8 million profit users. 153. 7 million supple subscriptions. 16. 4 million bushel shout out subscriptions. 14 15 Vietnam rail net profit 16 internal seaports of Vietnam No. harbour responsibleness Current potentiality of ship (DWT) 1 Cam Pha Quang Ninh 50,000 2 Hon Gai Quang Ninh 40,000 3 Hai Phong Hai Phong 20,000 4 Nghi Son Thanh Hoa 20,000 5 Cua Lo Nghe An 10,000 6 Vung Ang Ha Tinh 30,000 7 Chan whitethorn Thua Thien Hue 30,000 8 Da Nang Da Nang 30,000 9 sludge kat Quang Ngai 0,000 10 Quy Nhon Binh Dinh 30,000 11 cutting edge Phong Khanh Hoa 50,000 12 Nha Trang Khanh Hoa 20,000 13 Ba Ngoi Khanh Hoa 30,000 14 Ho Chi Minh City Ho Chi Minh City 30,000 15 Vung Tau Ba Ria Vung Tau 50,000 16 ring Nai dong Nai 20,000 17 posterior Tho Can Tho 10,000 address finis 2190/QD-TTg inventation 24/12/2009 17 snatch and coat of IPs and EPZs in Vietnam ccc 71,394 70,000 60,000 40,000 cl 26,971 260 nose candy 183 11,830 50 50,000 43,687 200 ccc 1 2,370 12 30,000 20,000 one hundred cardinal 10,000 65 0 1991 1995 2000 2005 2007 course design of IPs size of it (ha) character reference Ministry of prep and investiture 18 2010 size of IPs (ha) event of IPs 250Economic zones of Vietnam 19 attire compendium of Vietnam Strengths timidnesses ? 1 of fast-paced growing economies ? some experienced professionals in Asia with amount GDP growth of acquirable 7. 2% per year over the last decade ? noble bureaucratic barriers ? unchanging political and social trade vindication ? Weak fundament (power, ? copiousness of sympathetic resources shipping) ( campaign force of 46. 2 million peo ple ? develop funding young, cause and amend industries. hands 60% of community under 35 historic period old) ? warlike ancestry and product cost (cost labor, industrial land rent, nada cost, elephone cost, devil dog carry-over, taxation) ? ready(prenominal) mineral and vivid resources (coal, oil & gas, iron ore, bauxite, elevated earth,.. ) ? primal side in South due east Asia, long distance coast. Opportunities Threats ? orbiculate integration (ASEAN, APEC, WTO membership) one of the worlds most rough economies ? higher(prenominal) pomposity ? High trade deficit ? D military rank of VND ? high requirement for consumer goods and peachy goods with erupt ? imprecateing and finance sector in babe stage flavour because of be a reject set income country, aiming at ? menial national reserves. an modify country and ncreasing urban world ? merchandise oriented and labour intensive industries ? Infrastruture (road, railway, seaport, airport, power) proj ects funded by international donors or contrasted investors. 20 V VIETNAM- GERMANY economical blood dish out Germany is the biggest trade partner of Vietnam in Europe. In 2010, disrespect the global economic downturn, bilateral trade reached close to USD 6 billion, a unanimous increase over the preceding(prenominal) year. bring export measure of Vietnam to Germany reached close to USD 4 billion, report for 19% of tot Vietnams export to the EU while its outcome time value from German amounted to USD 2 billion.Vietnams main export items to Germany are garments, footwear, coffees, furnitures, see foods, strap and leather apparel, stance machinery, iron, metal products, articles of plastics, ceramic products, crude rubber. Germany is the second-largest market worldwide for robusta coffee and downhearted pepper of Vietnam. primary(prenominal) import items from Germany to Vietnam take on machines (in exploit, body structure and civil engineering, textile, food and be verage,), aircraft, units for electricity generation nd dispersal, passenger cars, chemical products, pharmaceutical products, measurement, control and statute engineering products, industrial plants, plastics, lifting and treatment equipment, aesculapian equipment and orthopedical appliances, engines, iron, metal products, elec tronic components later WTO main courseion, Vietnam is fair an emerging and mercantile market in Asia. As Vietnam is accelerating its industrialisation process to give-up the ghost an industrialise country by 2020, the gallery towards school production facilities is unadorned and it is apparent to result in change magnitude demand for hi -tech machinery make in Germany. come outment thither fork up been over 230 German companies in operation(p) and investing in Vietnam, including many Germanys confidential instruction groups such as Siemens, Deutsche Bank, Mercedes, Metro, Bosch etc. By the end of April 2011, German companies surrender invested in 163 projects with registered jacket crown of USD 825 million in Vietnam. leadsome fourths of list investing projects and two thirds of enthronisation seat of government of Germany principally boil down in manufacturing, impact, technique work, information and communion technology, banking and finance go.Although German coronation projects collapse been rigid in 26 locatio ns in Vietnam, most of them have been utilise in Ho Chi Minh City, Hanoi, Binh Duong and Dong Nai. In the coming(prenominal) time, the combat-ready carrying into action of mega base suppuration and energy projects partly funded by German ODA such as the metro line No. 2 Ben Thanh An Suong in Ho Chi Minh City (with aloofness of 11 km and pith enthronization cap of USD 1. 25 billion), O Mon IV thermo power, Phu Lac wind power, Vietnamese commons Line, result have positive impacts on promoting German enthronization funds flow into Vietnam.German abroad trade and enthrone ment advancement is well positioned in Viet Nam. German companies and investors can access to supports and advices from AHK Vietnam, German agate line experience (GBA), a identical of Germany slew and gift (GTAI) in Vietnam. 21 reading cooperation Vietnam is an all authorised(predicate) partner of Germany in phylogenesis cooperation. As one of the biggest donors among the EU members, Germany has provided Vietnam with more than EUR 1 billion in ODA since 1990. During 2011 2012, Germany perpetrate well-nigh EUR ccc million for Vietnam. This is a hap establish for blotto support by Germany to the growth of Vietnam.German-Vietnamese development cooperation focuses on the three antecedence areas (i) sustainable economic development and vocational learn (ii) purlieual policy, saving and sustainable use of vivid resources (iii) Health. German development cooperation has been utilizing efficaciously and change positively to socio-economic development of Vietnam, in particular in vocational readiness, human resource development, fundament, clean energy source. During the blabber of German chancellor Dr. Angela Merkel to Viet Nam in October 2011, Hanoi shrivel bridge was write by hot flash Minister Nguyen false topaz guck and chancellor Dr.Angela Merkel. It is the start of the strategic confederation between Vietnam and Germany. merchandise and import between Vietnam and Germany, 2007-2010 4000 3 vitamin D Value (USD million) three hundred0 2500 2000 1500 special K 500 0 2007 2008 Export from Vietnam to Germany 2009 2010 Year Import to Vietnam from Germany generator German federal statistical Office 22 Gernam coronation flow into Vietnam by sector, 2010 Registered slap-up Service, 10. 5 Agriculture, Telecom. & 5. 4 fare 0. 4 truly country & anatomical structure 1. 0 advise number impact & manufacturing 53. 6 touch on & manufacturing 46. 7 Service, 34. 2 Agriculture 2. 0 Power, water & gas, 29. Telecom. & Mining, 0. 7 tr ansportation really nation & 10. 5 facial expression Power, water & gas, 2. 0 3. 9 Mining, 0. 0 fount Ministry of proviso and enthronisation 23 jural fleet FOR put AND DOING assembly line IN VIETNAM I enthronisation REGULATIONS On 1 July 2006, the investiture regime comprised of a merge enterprisingness constabulary (EL), which regulates corporations, and a common investing funds impartiality ( IL), which regulates investiture, came into effect. The proclamation of these two important legislations is considered a significant washstand for improvement of the legal surround on investing activities and incarnate authorities in Vietnam. . Overview To do concern under the IL and EL, alien investors are necessitate to find oneself enthronisation securitys from an catch Licensing potentiality. down the stairs the IL, investors whitethorn invest in all sectors not taboo by law. prohibited by law accept Areas ? enthronisation projects noisome to nationa l defence, security, and the public touch on ? enthronement projects insalubrious to historic and heathenish traditions and the morality or customs of Vietnam ? enthronisation projects harming peoples wellness or destroying raw(a) resources and the surroundings and ? enthronement projects treating toxicant dotty import to Vietnam and enthronement projects manufacturing toxic chemicals ban by international law. 2. Licensing rangeors shall follow the licensing and modification step depending on the size and the sector of the investiture project. enthronisation proof outgrowth 24 qualified sectors enthronisation projects in qualified sectors shall run into true conditions in read to be pass. qualified sectors include ? publicize and boob tube ? intersection, create and scattering of cultural products ? geographic expedition and development of minerals ? validation of infrastructure for telecommunications network, contagious disease and provision o f profits and telecommunications service ? government of public postal network and provision of postal services and express services ? formula and operation of river ports, sea ports, terminals and airports ? transportation system of goods and passengers by railway, airway, roadway and sea and interior waterways ? spotting of aquaculture ? Production of tobacco plant ? historical dry land business ? Import, export and distribution business schooling and prepare ? Hospitals and clinics and ? opposite investiture sectors in international treaties of which Vietnam is a member and which restrict the coal scuttle of the market to unconnected investors. enthronization enrollment Foreign enthronization projects with a broad(a) invested working metropolis of less than VND three hundred billion (US$ 15 million) and not go in a qualified sector are subject to enthronement allowance and irrelevant investors of such projects shall carry out the procedures for investme nt adaption in rewrite to be grant an investment certificate.The investment certificate alike serves as the business readjustment of the corporeal entity. green lights can afterward register supernumerary investment projects without the ingest to create a single out entity. The investor should withdraw act documents for investment fitting to the Licensing control. The Licensing government agency shall check the documents and issue the investment certificate to the investors at heart 15 workin g eld of receiving the valid finish. enthronization paygrade any(prenominal) investment project with a fare invested capital of VND 300 billion (US$ 15 million) or more or investment projects dropping in conditional sectors shall sustain an investment valuation by the Licensing situation and other applicable authorities. there are two different types of valuation ? military rating for investment projects no matter of tote up invested capital fall into conditional s ectors and ? military rating for investment projects with fall invested capital of VND300 billion or more that do not fall into conditional sectors.For the paygrade of investment projects with keep down invested capital of VND 300 billion or more, along with the practise documents, the applicant must(prenominal) alike study an economic technological history of the investment project to the Licensing means. This covers the economic skilful instructive statement, 25 objectives, shield, location, investment capital, carrying into action memorial, land use needs, and technological and environmental solutions of the investment project.For the evaluation of investment projects falling in conditional sectors, in addition to the finish documents, the investor shall also endorse deference with requirements particularised to that conditional sector. When assessing the application documents, the Licensing Authority may negotiate with other relevant Ministries and aut horities in evaluating the proposed investment project. Items to be evaluated shall comprise ? configuration with insure cooking/ govern for skillful infrastructure, outperform intend/ district for land use, overlook intend for bend, master planning for practice of minerals and other natural resources land use requirements ? project execution schedule ? environmental solutions. The time-limit for evaluation of investment shall not cash in ones chips thirty (30) days from the date of receipt of a flesh out and valid file. In incumbent cases, the to a higher place time -limit may be extended, but not beyond forty five (45) days. Applying for social system certify file for coronation security Applying for the boon of distinguish on environment personal make evaluation promise on land/ construct/ military post contract Evaluating anterior skilful design environmental protection ommitment republic/ mental synthesis/office contract contract 26 Projects subj ect to Projects subject to environmental protection look license commitment investing authentication Projects subject to treat on environmental effects evaluation disruption describe for Investors 3. Licensing Authority Licensing Authority 3. 1 The batting order of guidance (BOM) of industrial zones (IZs), export process zones (EPZs), high technology zones (HTZs), and economic zones (EZs) are responsible for licensing orthogonal investments deep down their zones. 3 . 2National important BOT projects and uvulopalatopharyngoplasty projects are authorise by the Ministry of readying and investiture (MPI). fossil oil and gas projects, credit institutions, indemnity projects and law firms are licensed by Ministry of duty and Industry, State Bank of Vietnam, Ministry of pay and Ministry of judge respectively. 3 . 3 The tike Peoples mission is the authority responsible for all other foreign investments. Licensing applications shall be submitted to these bodies, who go away confab with other relevant governmental authorities (where so required) before issuing final approval. . 4 The charge Minister give pass the sideline investment projects (unless they are not include in the canonic master plan) (a) The undermentioned investment projects, no matter of the source of investment capital and scale of investment face and commercial operation of airports air transportation social organization and commercial operation of national sea ports exploration, dig and processing of crude exploration and mining of minerals receiving set and boob tube beam commercial operation of casinos production of cigarettes stablishment of university training validations and 27 governing body of IZs, EPZs, HTZs and EZs. (b) The pursual investment projects, regardless of the source of investment capital but with a total invested capital of VND 1,500 billion or more in the next sectors business in electricity, processing of minerals, metallurgy building of railway, road and internal waterway infrastructure and production and business of alcohol, beer (c) The quest projects with foreign-invested capital in the side by side(p) sectors commercial operation of sea transportation onstruction of networks for and hang on of postal and delivery, telecommunications and earnings services, construction of wave transmitting networks produce and distributing newspapers and printed matter, issue and establishment of mugwump scientific query establishments. 4. Forms of coronation and Enterprise nether the integrity on enthronement and the integrity on Enterprises foreign investors may direct the pursual forms of investment in Viet Nam Investment forms Invest in business development get to economic organizations (100% capital of foreign investors or common venture) grease ones palms shares or contribute capital to act in management of investment activities Invest in contractual forms of BBC, BO, BTO, BT, palato pharyngoplasty and M of enterprises. While foreign investors are allowed to procure shares in many domestic companies without limitation, there are self-possession limitations for trustworthy companies listed on the Vietnam stock exchange and monetary sectors. Foreign ownership cannot go by 49 percent of listed companies and 30 percent of listed companies in the financial sector. Forms of enterprises contain indebtedness social club (with one member or more than one member)