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Strengthening 'quality', opening export opportunities for industrial products 

 Wednesday, March 20,2024

AsemconnectVietnam - Continuing to strengthen 'quality' will be an important solution for businesses to soon integrate into supporting industrial production chain in ASEAN and the world.

Some enterprises have received IATF 16949 certificate
“There have been supporting industry enterprises in Hanoi that have received certificates from the IATF 16949 Quality Management System (international standard for quality management in automobile industry), thereby qualifying them to participate in production chain of multinational corporations", Mr. Nguyen Hoang - Chairman of Ha Noi City Supporting Industry Business Association (Hansiba) - sharing positive signals of Hanoi's supporting industry enterprises at Hansiba's first quarter 2024 Expanded Executive Committee Conference on March 14.
According to Mr. Nguyen Hoang, in the past, enterprises in industry had to rely on Japanese and Korean partners, especially aviation industry membership enterprise group of Kobe Aero Network Association (KAN) (Japan), entrusting certificates for production and supply into global chain, the fact that a number of enterprises in the industry having been granted this certificate is an extremely important signal. At the same time, we believe that in the near future, there will be more supporting industry enterprises of Hanoi in particular and the whole country in general receive this certificate.
Another good news was also informed by Mr. Nguyen Hoang, which is that from now until September 2024, there will be continuous construction of a factory in Hanoi South Supporting Industrial Park (Hanssip) by domestic and foreign investors. Once put into operation, the products produced here will amount to millions of USD per year, all of which are high-tech products, bringing high added value as well as many export opportunities.
However, picture of Hanoi's supporting industry still has many difficulties and challenges. Accordingly, supporting industry enterprises have not really realized huge and potential open market share of supporting industry. Meanwhile, difficulties also come from the small and medium scale of enterprises, so they lack financial capacity as well as equipment and infrastructure.
Although orientation and vision of the State's macro policies are correct, promulgation of policy mechanisms to bring these policies into business life is not timely. In particular, the State's policy enforcement agencies are still confused when providing support guidance, for example, the regulations on certification of supporting industry enterprises are very complicated, up to now there are very few supporting industry enterprises having been certified to receive incentives from Decree 111/ND-CP on supporting industry development of the Government.
Will continue to strengthen 'quality'
In 2024, enterprises in general and supporting industry in particular are expected to still face many difficulties, affecting labor resources, finances, disrupting supply chains... and only enterprises know clearly what they need to do, what support they need and how to cooperate with partners to be able to participate in production chain and dominate domestic market but also international market.
In addition to initiative of enterprises, to accompany and support businesses, Mr. Nguyen Hoang said, Hansiba will continue to strengthen the 'quality' of member businesses to be able to directly produce and supply products, providing supporting industrial products and high technology to multinational corporations present in Vietnam and soon integrating into ASEAN and global supporting industrial production chain. In particular, there will be a focus on mechanical engineering for automobile, electronics, defense and civil industries...
In addition, there will be input-output connection, preferential financial loan packages from the Government - from Vietnam Development Bank, support for high-tech labor training, import and export of used machinery and support for high-tech labor training and exploit production quality.
Continue to accompany development of Hanssip industrial park, including next stages, to effectively support domestic member enterprises and FDI enterprises with land and factories to participate in export product investment.
To create an environment and 'support' supporting industry businesses to participate in regional and world playing field, enterprises also recommend that the Government soon develop a Supporting Industry Law and submit it to the National Assembly for issuing as soon as possible. While waiting for the law to be promulgated, we recommend that the Government soon research and promulgate a Resolution on a pilot mechanism for Vietnamese supporting industry enterprises.
At the same time, build specific plans and roadmaps to develop supporting industry enterprises, determined to reach 5-10% of the total number of Vietnamese enterprises by 2025 with a vision of 2030.
Direct development of specific plans for each economic region (North - Central - South) to develop supporting industries, avoid situation of "household" development, thereby minimizing waste of national resources and unnecessary competition. It must be clear which regions produce components for which industries such as automobiles - electronics - shipbuilding industry - agriculture and fishery - footwear - textiles...
Connecting large international corporations present in Vietnam is extremely important, promoting and 'mentoring' these FDI enterprises to place orders and support Vietnamese enterprises in producing spare parts. Conditions are granted to them so that Vietnamese businesses can directly enter global supporting industry production chain.
Regarding capital issues, Mr. Nguyen Hoang said that supporting industry enterprises need a long enough time to prove production efficiency. Many foreign investors when choosing Vietnamese partners often require time. Stable production takes 24-36 months before placing an order, so supporting industry enterprises need medium and long-term capital with preferential interest rates.
With proposals of Hanoi supporting industry enterprises, Mr. Nguyen Dinh Thang - Deputy Director of Hanoi Department of Industry and Trade - emphasized that the City has a clear orientation on supporting industry development, so together with support, enterprises need to proactively learn, boldly invest or participate in Hanoi's construction investment projects as well as participate in valuable production chains.

Source: Vitic/ congthuong.vn
 

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