Korean investors double-down on high-technology direction

Semiconductors, AI, and green growth are expected to become key investment priorities between Ho Chi Minh City and the South Korean business community in the coming period.

- By Bich Ngoc

At a cooperation and networking forum last week, Mai Phong Lan, deputy head of the Division of Enterprise and Collective Economy under the Ho Chi Minh City Department of Finance, said the metropolis is focusing on attracting high-quality foreign investment linked to the digital economy, innovation, and green growth during its new development phase.

“The city is attracting South Korean enterprises to participate in the development of four strategic pillars, including an international financial centre; AI and semiconductor ecosystems; startup and venture capital ecosystems; as well as smart urban, renewable energy, and green growth projects,” Lan said.

Ho Chi Minh City is currently calling for funding into a number of large-scale projects, including the Cai Mep Ha Free Trade Zone, as well as eight offshore wind power projects with a combined capacity of approximately 15,000MW.

According to Bok Dug-gyou, representative of the Korea Trade-Investment Promotion Agency, Vietnam still has substantial room to develop its supporting industries.

“Currently, foreign funding contributes around 73 per cent of Vietnam’s total export turnover. However, the domestic value-added ratio in manufacturing remains at only around 12 per cent, significantly lower than the ASEAN average of 33 per cent,” he said.