US enterprises invested more than $10 billion in Vietnam
As of April 2017, US investors have invested in 834 projects in Vietnam, with a total registered capital of $10.2 billion, making the country become number 8 among 116 countries and territories investing in Vietnam.
According to the statistics of the Ministry of Planning and Investment, the average US investment project in Vietnam has a capital of $12.2 million. US enterprises have invested in 18/21 sectors of Vietnam, however, unlike investors from other countries, US FDI does not focus much on the processing industry. The majority of investments is in the field of accommodation and catering services, with a total registered capital of $4.3 billion, accounting for 42.9% of the US total registered capital in Vietnam. Investments in manufacturing and processing field ranked second with a total registered capital of $2.8 billion, accounting for 27.8% of the total investment.
US enterprises invest in Vietnam in three main forms, including 100% foreign capital, joint ventures and business cooperation contract (BCC). In Vietnam, the form of 100% foreign capital is still preferred by many US investors. Currently, there are 694 projects invested by US enterprises in Vietnam in this form, with a total registered capital of $8.6 billion, accounting for 85% of the total US registered capital. Joint ventures present in 128 projects, with $1.5 billion, accounting for 14.3% of registered capital, while the remaining is investments in the form of cooperation.
The majority of investments flew into the southern key economic regions such as Ba Ria - Vung Tau; Ho Chi Minh City and Binh Duong. These provinces have attracted more than $ 7.1 billion, accounting for nearly 70% of the total US capital in Vietnam.
With favorable investment conditions such as good economic growth rate, appealing market of more than 90 million citizens and great encouragements from the government, Vietnam is expected to draw more attention and commitment from the US investors in the upcoming years.
Source: 1, 2