Attracting FDI from the EU to Vietnam in the new context

Attracting FDI from the EU to Vietnam in the new context

Author LONG Nguyen Tien
Co-Author HAI Nguyen Hong, LAM Nguyen Tien
DOI 10.17605/O

Country : Vietnam
Subject : Economics

Keywords : Foreign Direct Investment (FDI), EU, Vietnam, EVFTA, EVIPA.

Abstract

As of December 31, 2021, the EU's total registered FDI kapital into Vietnam reached over 25.58 billion USD with 2,515 projects, accounting for more than 8% of projects and more than 7.5% of total registered FDI in Vietnam. EU investors were present in 18 out of 21 important economic sectors, focusing on manufacturing and processing industry 36.3%, refining and petrochemical 11%, textiles and garments 6.94%, electronics 6.4%, food processing 5.6%, cars and means of transport 5.2%; production and distribution of electricity and gas 20.7%, real estate 11%, information and communication 6.6% (GSO, 2021); contributed significantly to Vietnam's economic growth. However, this result is not commensurate with the potential of cooperation between Vietnam and the EU. This study assesses the current situation of attracting FDI from the EU into Vietnam, the impacts of the EVFTA and EVIPA, some solutions to strongly attract FDI from the EU into Vietnam in the coming time.

Download