More than 60 percent of Japanese businesses plan to expand their futureoperations in Vietnam, according to a survey conducted by the JapanExternal Trade Organisation (JETRO).
The figure was revealed at a seminar in Ho Chi Minh City on February 12.
Managing Director Yasuzumi Hirotaka said Japanese firms based inVietnam hope to receive more active support from the VietnameseGovernment; close to 70 percent of the firms specifically expect thehost to simplify customs clearance formalities and push forward withreform programmes.
Despite the improvements in theVietnamese investment environment, half of the surveyed Japaneseenterprises consider the increasing labour cost and complicatedadministrative and tax procedures to be the major risks they face.
The Vietnamese Government has been called on to continue assistingdomestic businesses to develop the support industry and increase theircompetitive edge in production cost, given the rate of usinglocally-produced components in Vietnam in 2014 only increased by 2.5percent against the previous year.
The annual surveyhas been conducted since 1987 by the JETRO to understand the businessactivities of Japan-affiliated companies in Asia and Oceania, includingVietnam.
The surveyed firms operate in wide rangesectors, including automobiles, machinery, chemical and pharmaceuticalproducts, food, textiles, retail, transport, ICT and finance.-VNA
The figure was revealed at a seminar in Ho Chi Minh City on February 12.
Managing Director Yasuzumi Hirotaka said Japanese firms based inVietnam hope to receive more active support from the VietnameseGovernment; close to 70 percent of the firms specifically expect thehost to simplify customs clearance formalities and push forward withreform programmes.
Despite the improvements in theVietnamese investment environment, half of the surveyed Japaneseenterprises consider the increasing labour cost and complicatedadministrative and tax procedures to be the major risks they face.
The Vietnamese Government has been called on to continue assistingdomestic businesses to develop the support industry and increase theircompetitive edge in production cost, given the rate of usinglocally-produced components in Vietnam in 2014 only increased by 2.5percent against the previous year.
The annual surveyhas been conducted since 1987 by the JETRO to understand the businessactivities of Japan-affiliated companies in Asia and Oceania, includingVietnam.
The surveyed firms operate in wide rangesectors, including automobiles, machinery, chemical and pharmaceuticalproducts, food, textiles, retail, transport, ICT and finance.-VNA
