The Rise of Central Vietnam: From Underdog to Tech Giant Hub With Foxconn, Luxshare, and Goertek’s Arrival, the Region Invests in Ports, Airports, and Energy Infrastructure to Support its Soaring Ambitions.

On the morning of November 18, a delegation from the Central Economic Committee worked with the Nghe An Provincial Party Committee on the results of the implementation of Resolution No. 50-NQ/TW dated August 20, 2019, of the Politburo on orientations to perfect institutions and policies, improve the quality and effectiveness of foreign investment cooperation by 2030.

Speaking at the working session, Mr. Nguyen Duc Trung, Secretary of the Provincial Party Committee and Chairman of the Provincial People’s Committee of Nghe An, emphasized that the issuance of Resolution No. 50-NQ/TW by the Politburo was timely and highly significant in perfecting institutions and policies and improving the quality and effectiveness of foreign investment cooperation.

The Chairman of the Provincial People’s Committee of Nghe An informed that the province has been ranked among the top 10 localities in attracting FDI in the country, a remarkable improvement from its previous evaluation as a region lagging in investment attraction.

Looking ahead, Mr. Nguyen Duc Trung shared that the province will concentrate all resources on expanding investment attraction. Proactively meeting investors’ requirements, such as expanding industrial park areas, investing in strategic infrastructure including seaports, airports, and energy infrastructure; and gradually focusing on attracting FDI projects that utilize advanced technology, are environmentally friendly, and require less land and labor.

Additionally, Nghe An is encouraging domestic enterprises, especially local businesses, to participate in the production chains of FDI enterprises, gradually acquiring technology transfers and localization.

The Secretary of the Provincial Party Committee and Chairman of the Provincial People’s Committee also proposed a shift in approach from pre-inspection procedures to post-inspection ones. For similar projects that have already been implemented, there is a need for simplified procedures.

At the working session, Mr. Bui Thanh An, Vice Chairman of the Provincial People’s Committee, provided information that, as of November 2024, Nghe An has 147 FDI projects with a registered capital of nearly USD 4.9 billion. These FDI projects originate from 14 countries and territories, with the largest investors being from South Korea, China, Hong Kong, Thailand, Japan, and Taiwan.

With the presence of leading corporations and substantial investment capital, Nghe An has been ranked among the top 10 provinces in attracting FDI in 2022 and 2023. It has become a “bright spot” in attracting FDI capital in the country.

FDI capital in Nghe An’s economic zones and industrial parks has reached more than VND 105,786 billion, equivalent to over USD 4.5 billion. Currently, six leading technology corporations, namely Foxconn, Luxshare, Goertek, Everwin, Juteng, and Sunny Group, have invested over USD 1.5 billion in the province.

In 2019, the FDI sector contributed VND 234.5 billion to the state budget, accounting for 1.57%. In 2023, the contribution increased to VND 268.97 billion, making up 1.34%. The expected contribution for 2024 is VND 240.4 billion, representing 2.13%.

In 2024, the number of employees working in enterprises with foreign investment reached 49,000, a 78.18% increase compared to 2019. The FDI sector has provided employment for a large number of people in the province, especially women and rural workers, with an average monthly salary of VND 6.1 million in 2019 and VND 6.4 million in 2023.

Alongside the achievements in investment attraction, there are certain challenges in appraising FDI projects in the area. Typically, project documents are subject to numerous legal documents from multiple sectors, which frequently change, leading to a shift in mechanisms and policies that may cause hesitation in investing in Vietnam, including Nghe An.

Furthermore, issues related to human resources, the lack of established investment criteria, and the unclear application of technology transfer policies and training programs for Vietnamese workers employed in FDI enterprises create difficulties in appraising FDI projects in the province.