FDI in Dong Nai, Vietnam Soars

Vietnam’s southern province of Dong Nai attracted more than US$1.6 billion in foreign direct investment (FDI) in 2013, making it one of the country’s fastest growing localities.

Soaring FDI in Dong Nai stems primarily from 60 new projects approved this year in a number of key industries.

Foreign investment in the province was primarily in the hi-tech and support industries, accounting for roughly 80 percent of the new investment, while several projects using backwater technology with the potential to contribute to environmental pollution were denied licenses.

Of the countries currently investing in the province, companies based in Taiwan, the Republic of Korea, and Japan hold the largest stake in the newly-initiated projects. The Netherlands also made substantial investments valued at US$298.9 million.

Dong Nai was actively seeking investment in areas aside from the hi-tech industry, in mechanical engineering, electronics, new materials, agricultural machinery, engines, accessories and parts for vehicles, packaging, medicine and environmental protection.

In recent years, Dong Nai has made significant progress in upgrading its transportation infrastructure – especially roads. In July, the province announced the approval of a public-private partnership deal to create a new expressway project that will link Dong Nai with Phan Thiet.

The six-lane road is scheduled to be operational by 2020, will cost US$745 million to build, and will run 128 kilometers.