Vietnam seeks ways to engage more deeply in global value chains

He made the statement at a workshop held by the WB in Hanoi on September 7 to release two reports, titled “Vietnam at a crossroads: Engaging in the next generation of global value chains” and “Enhancing enterprise competitiveness and SME linkages.”

Deputy Minister of Industry and Trade Do Thang Hai said that the two reports provide Vietnam with measures to participate in the new generation of global value chains as well as tightening linkages between domestic and foreign enterprises.

The “Vietnam at a crossroads: Engaging in the next generation of global value chains” report shows that Vietnam can continue its growth as an export platform with the focus on outsourcing and assembling, and take advantage of the current wave of growth to climb the value chain into higher value-added functions.

The report recommends Vietnam improve coordination between ministries and sectors, create favourable conditions for domestic and foreign business to exchange information, and support domestic suppliers.

If achieving a higher position in global value chains, Vietnam can attract more big foreign investors, thus helping generate more jobs and open up more opportunities for domestic suppliers.

To that end, the country has to have a comprehensive reform initiative pack, including narrowing infrastructure-related gap, developing competitive service markets and liberalise regulations on foreign direct investment, streamline border procedures, and boosting cooperation with developed countries.

Meanwhile, according to the “Enhancing enterprise competitiveness and SME linkages” report, Vietnam should support the development of enterprises which have potential in “invented-in-Vietnam” products.

On this occasion, Ousmane Dione chaired a talk on Vietnam’s main issues in engaging in the next generation of global value chains and linking with foreign-invested businesses.