The Power Players of VinGroup, Truong Hai, and Sun Group: Strategies for Socio-Economic Development

A Call for Special Mechanisms

Mr. Dang Minh Truong, Chairman of Sun Group, suggested the need to institutionalize the selection of strategic investors through a mechanism that assigns tasks to private enterprises capable of implementing key projects with socio-economic development leverage. He proposed that special mechanisms should accompany this selection process.

”

For a project that goes through a bidding or auction process, it takes a significant amount of time, 2-3 years, or even longer. However, for large-scale projects that act as catalysts for development, only a few enterprises have the capacity to undertake them. Eventually, we will be chosen, but it will have taken a lot of time, cost, opportunities, and money

“, Mr. Truong illustrated with an example.

Simultaneously, the Chairman of Sun Group also proposed considering the application of a free trade model in areas with potential for marine and island tourism, such as Phu Quoc, to boost investment attraction.

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These forms are prevalent worldwide, like Hainan Island (China) and Jeju Island (South Korea). Although Phu Quoc is a well-known destination, its publicity and promotion efforts have not been commensurate.

With a special mechanism following a free economic model, Phu Quoc will undoubtedly become a new global tourist and resort destination

“, asserted Mr. Truong.

Regarding mechanisms for the international tourist market, Mr. Truong suggested that ministries and sectors continue to implement the Prime Minister’s directive to expand the list of unilateral visa waivers and pilot short-term visa exemptions for tourists from large-scale, high-spending markets. He also proposed long-term visas and multiple entries for segments from India, China, the United States, and Europe.

Developing Supporting Industries

Mr. Tran Ba Duong, Chairman of the Management Board of Truong Hai Auto Corporation, shared that we are in a period of rapid technological change, especially in the automotive industry, which is moving towards environmentally friendly and clean energy solutions.

The goal that Truong Hai Group is pursuing is to become the center of automobile production for international brands in Vietnam and the region, particularly in the ASEAN area. In the automotive sector, green and convenient solutions are the current trend.

However, transitioning to fully electric vehicles requires a roadmap and time for infrastructure investment and safety considerations. Currently, almost all automotive brands that Truong Hai cooperates with have electric vehicles, but the number entering Vietnam is still limited.

The leader of Truong Hai Group expressed his desire to hold workshops for stakeholders to contribute suggestions and ideas to change the market trend towards green, fuel-efficient, and rechargeable vehicles.

In terms of supporting industries, investing in this field demands large volumes and advanced technology. Currently, supporting industries are present in numerous sectors. Truong Hai was fortunate to enter the mechanical industry early on.

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We are continuing to develop an industrial park for mechanical production and supporting industries in Vietnam. At present, many FDI enterprises are assembling and transferring a lot of technology to Vietnam, and we are producing 35-40% of the components, spare parts, and accessories

“, shared Mr. Tran Ba Duong.

In the field of automobile components, in 2024, Truong Hai sold to domestic automobile manufacturers and assemblers for 13 million USD, and the figure is expected to increase next year.

Therefore, the representative of Truong Hai Group also proposed that the Government pay attention and consider supporting industries. Currently, the mechanical industry is related to life and simple labor, suitable for a large number of workers in Vietnam, so it is also an opportunity to develop a fundamental industry in Vietnam and promote exports.

Upgrading Standards for Social Housing

Mr. Pham Nhat Vuong, Chairman of VinGroup, suggested that the Government should have a mechanism to appoint investors to shorten the time for completing procedures. The most significant limitation regarding social housing is related to the 10% profit content.

Specifically, if real estate businesses implement this with a 10% profit, it is impossible because capital will be stagnant for 1-2 years, or slow sales for 1-2 years will result in losses. Social housing is about contribution, not profit-oriented.

At the same time, VinGroup also proposed that the Government allow simultaneous preparation of various planning types, including general planning and subdivision planning, detailed planning, and inter-brigade planning. This would shorten the time for this process by 6-9 months.

Mr. Vuong also suggested that the Government increase the standards for social housing, meaning there should be basements for parking, playgrounds for children, and other amenities.

Within the group of social housing, a separate area should be allocated for officials, employees, armed forces, and the military.