Businesses of Vietnam and Hainan signed cooperative contracts worth of over US$300 million at the Economic Cooperative Forum between Vietnam and China’s Hainan held in Hanoi on July 9 by the Vietnam Chamber of Commerce and Industry (VCCI) and the Hainan province’s authority.
Many huge projects signed
The signed deals include one between Hainan province’s Faw Auto Company and the Vietnam Motor Industry Group to build a US$70 million auto assembly plant; one between the Huasheng Cement Co and the Vietnam National Coal and Mineral Industries Group (Vinacomin) to purchase one million ton of coal and another worth of US$60 million by the Hainan Rubber Company to import 500,000 tons of rubber of the Vietnam Rubber Corporation.
On the occasion, representative of the Danzhou city of Hainan province signed a deal to strike up a friendship with Ha Long City of Quang Ninh province. Under the deal, enterprises of the two cities will get more opportunities to boost the business cooperation, said Hainan’s provincial Governor Luo Baoming.
Governor Luo Baoming added that in accordance with initiative suggested by Prime Minister Nguyen Tan Dung during his trip to the province last October, the Civil Aviation Administration of China officially approved the Hainan Aviation Corporation’s proposal to open the regular air route linking Haikou and Hanoi on Jul 8 2009. An official dispatch of this effect will be sent to the Vietnam Civil Aviation Administration soon. Currently, the Hainan Aviation Corporation, the biggest of the province and the fourth biggest of China, has over 200 aircrafts of all types.
Regarding the project of opening waterways from Hainan to Vietnam, the Fanyang Maritime Company is working with the Vietnam Maritime Agency Joint Stock Company and Haiphong Port authorities for detail methods. On schedule, the two waterways linking the Yangfu city with Haiphong and Ho Chi Minh City will become operational in October this year.
Promoting friendship and economic cooperation
According to the Chairman of the Vietnam Chamber of Commerce and Industry (VCCI), Vu Tien Loc, during these past years, the friendship and comprehensive cooperation between Vietnam and China have developed consecutively in line with the motto "friendly neighbourliness, comprehensive cooperation, durable stability and future-oriented vision” and in the spirit of "good neighbour, good comrade, good friend and good partner". Vietnam and China share a land border line of 1,350 kilometers. The two-way trade between the two nations has grown strongly, standing at nearly US$16 billion in 2007, up 52 per cent on year. Last year, the two-way trade set a record of over US$19 billion, the highest compared to those between Vietnam and other nations, and meeting the target planned by leaders of the two nations three years beforehand. At present, China is operating over 600 foreign direct investment projects in Vietnam with a total registered capital of US$2 billion. Almost all of them are being carried out well and bring in benefits for enterprises of both nations. China has become the leading trade and investment partner of Vietnam.
With the advantages of geographical position and particularly considering the Vietnam-China relationship that is deeper and deeper, the multifaceted relation between Vietnam and Hainan also develop strongly. Hainan Province has actively exchanged high-ranking delegations as well as made market surveys and seek for cooperative opportunities for tourism, economy and trade with Hanoi, Ho Chi Minh City, Hai Phong city and Quang Ninh, Nghe An provinces. During the past year, the two-way trade between Vietnam and Hainan reached over US$230 million.
“Vietnam wants to boost further the comprehensive cooperation with Hainan province, especially in economy, trade, investment, tourism, maritime transport, and air transport…,” Loc said.
Target of US$25 billion by 2010
Loc affirmed that the current results are not on par with the friendship and fine cooperation, available potentials as well as the two governments’ wish. During recent visits to China, Vietnamese and Chinese leaders have agreed important measures in order to concretize the comprehensive strategic partnership between the two countries, with the economic, trade and investment cooperation as a top priority, aiming to raise the two-way trade to US$25 billion in 2010.
Regarding the trade cooperation with Hainan province, Vietnam pays special attention to fields of tourism, maritime transport, sea port, seafood processing that are strong points of the province, said Deputy Minister of Industry and Trade Nguyen Thanh Bien. Thus, the two sides should join hands to promote actively the potential fields as well as mutually support in the economic development. According to Bien, Hainan province should encourage its enterprises to increase importing Vietnam’s products like rubber, seafood, rice, tropical fruits, footwear, fine art and handicraft products and products made from coconut.
“Hainan should call on its huge businesses to arrive in Vietnam and invest into sectors like seafood, coconut-made products and woodwork processing, cooperate in pharmacy and agriculture,” Bien said.
He notes the two sides need to enhance trade promotion programmes and investment introduction, create favorable conditions to organize such events in each side. Particularly Vietnam and Hainan should keep an eye to the development of tourism.
Quynh Chi
Vietnamese
