Hanoi (VNA) - More and more Italian firms are intending to move theirinvestment to Vietnam, aiming to turn the country into a gateway for them toenter other Southeast Asian nations, said an expert from the Italian Chamber of Commerce in Vietnam (Icham).

Icham Executive Director Pham HoangHai said Italian investors have planned to shift their processing andproduction facilities to Vietnam instead of China in the context of the upcomingsigning of the EU-Vietnam Free Trade Agreement (EVFTA) and the US-China tradetension.

Heattributed the situation to the saturation in the Chinese market in the lastdecade, saying that foreign businesses operating in China have met many problemsrelated to copyright and legal framework.

Icham appreciated the Vietnamese Government’s support for foreign enterprisesand Italian ones in particular, when investing in Vietnam, especially thoserelated to tax, he said, adding the low-priced labour isalso a competitive advantage of Vietnam.

Vietnamhas devised measures to create comprehensive competitive edges in different fieldssuch as high technology, renewable energy, and science-technology.

Stronger efforts should be made to further promote the support industry, thusattracting more foreign direct investment (FDI), Hai stressed.

Italian enterprises are waiting for the approval of EVFTA because Italy is oneof the countries benefiting most from the trade deal when it takes effect. Thepact will give opportunities to Italy to export many kinds of goods to Vietnamsuch as mechanical and wood products, fabrics and pharmaceutical products.

Italy is the fourth largest economic partner of Vietnam in Europe. As ofNovember 2018, trade between Vietnam and Italy hit 5.2 billion USD. The countryranked 31st among 126 countries and territories investing in Vietnam,with 389 million USD.

Italy is the fourth biggest exporter of pharmaceuticals in Europe, and Vietnamis one of its target markets, with the aim of gradually entering the Southeast Asian and Asian markets.

According to Icham, Vietnam’s pharmaceutical industry has seen strong growth.It imported over 18,095 million USD worth of pharmaceuticals over the lastdecade. -VNA