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World / China-Vietnam

Production capacity cooperation with China thriving in Vietnam

(Xinhua) Updated: 2015-11-03 09:21

HUGE COOPERATION POTENTIAL

What's heartening is that capacity cooperation between Vietnam and China is set to display greater potential as the "Belt and Road" initiative proposed by China and Vietnam' s "Two Corridors and One Economic Circle" plan might hook up.

The Silk Road Economic Belt and the 21st-Century Maritime Silk Road initiative is meant to strengthen cooperation in international trade and infrastructure projects. Vietnam' s plan was proposed by its leaders during a visit to China in May 2004, with an aim to strengthen economic links among 10 Chinese and Vietnamese provinces and municipalities.

When Vietnamese Deputy Prime Minister Nguyen Xuan Phuc met with Chinese Premier Li Keqiang and Vice Premier Zhang Gaoli separately in Beijing in mid-September, both sides agreed to align the initiative with the plan to promote cooperation in industrial capacity, trade and investment, and other areas.

"The implementation of the 'Belt and Road' initiative will definitely further facilitate trade relations between China and Vietnam and promote economic growth in the Southeast Asian region, " Yadea's Lv said.

Believing his company will continue to grow thanks to the initiative, Lv said that it is vital to ensure product quality so as to secure a place in the Vietnamese market.

"We are planning to expand our business to southern Vietnam and promote our products at big supermarkets in the country. Our goal is to export Yadea's products from Vietnam to the whole ASEAN market," Lv added.

Yadea is not the only Chinese company that is eager to seize the business opportunities brought over by the "Belt and Road" initiative. A growing number of Chinese firms are trying to explore new markets here, especially those in high-tech sector with high added value.

Vina Solar Technology Company, which engages in photovoltaic module manufacturing, is one of them.

Since its establishment in April 2014, Vina Solar has been expanded six times and is on the way to become China's biggest overseas company engaged in photovoltaic module manufacturing.

Yang Yongzhi, general manager of Vina Solar told Xinhua, that the production capacity cooperation do not mean the transfer of outdated technology.

"Bringing outdated technology to Vietnam is not a right long-term business strategy" as only high-quality capacity cooperation could ensure sustainable development amid throat-cutting competition, he said.

Ngo Thi Thuy, who works for Vina Solar, said that Chinese investment coupled with advanced technology create jobs for the Vietnamese and benefit her country.

China is ranked the 9th largest foreign investor in Vietnam with about $8.24 billion invested in 1,193 projects in the Southeast Asian country. The prospect for capacity cooperation between the two countries are promising.

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