MCNEX VINA - FDI Model in Ninh Binh

9:40:11 AM | 8/31/2021

Always being the largest foreign-invested export and import firm, being one of the biggest employers and ensuring good social welfare policies, MCNEX VINA has become a foreign direct investment (FDI) company model in Ninh Binh province.

Sustainable development

Ms. Nguyen Thi Viet Nga, Assistant to the General Director, said, "After completing my study in South Korea, I was impressed by the high-quality human resources of MCNEX VINA. In 2013, after carefully researching and surveying industrial parks in northern provinces, the company decided to choose Phuc Son Industrial Park (Ninh Binh province) for building a high-tech export processing factory. At that time, the park infrastructure was still poor. Therefore, the presence of MCNEX VINA was the first secondary investor and also a high-tech export processor in this industrial park. To ensure the project progress, the company actively invested VND50 billion in a wastewater treatment system capable of processing 1,900 cubic meters a day (Standard A). Then, the company invested in a water recycling facility to reduce the amount of water discharged into the environment by half. Moreover, the scale, design and construction plan MCNEX VINA facility was methodically and scientifically made. Beside production workshops, the plant has a parking area, a canteen (for 2,000 people), lunchbreak and overtime rest rooms (separate for men and women). Production workshops have separate medical rooms, nursing rooms (for female workers), meeting halls (for 500 people), outdoor physical fitness areas, trees, lights and internal roads. From the leadership to experts, managers and workers are treated equally under the common roof of MCNEX VINA where they can feel assured to be devoted and enthusiastic to work."

Wholly South Korea-owned MCNEX VINA manufactures and exports camera modules and electronic components. Its investment fund has reached US$132 million to date. Covering 8.7 ha, the plant has three production workshops with area ranging from 1.2 ha to 1.4 ha. Annually, the company churns out 249 million products, including 150 million camera modules for telephones, 3 million front and reverse camera modules for vehicles, security cameras, dashcams, and fingerprint scanning modules for telephone screens. In South Korea, the company is a leading dashcam supplier, accounting for 70% of supply for Hyundai and Kia, the fourth largest supplier of phone cameras (accounting for 90% for Samsung). Besides, the company has supplied products to many other foreign markets such as Japan, Taiwan and China, and renowned car brands (Volvo and Porsche). In 2019, its revenue was VND22,204 billion (US$960 million). In 2020, despite the COVID-19 pandemic, the revenue was almost as much as in 2019.

Spreading positive effects

Since its inception, MCNEX VINA has always complied with Vietnamese laws and policies. Although it has a large workforce of 6,700 employees, the company always ensures social welfare for them. Therefore, every year, MCNEX VINA is granted many awards by the Vietnam Social Security (VSS) and local social security agencies for good fulfilment of social insurance and health insurance policies and by the Provincial People’s Committee for excellent performance. In particular, in 2018, MCNEX VINA was honored to be awarded the "Business for employees" Medal by the Vietnam General Confederation of Labor. Furthermore, MCNEX VINA is also considered one of the companies with a good human resource management system.

Ms. Nguyen Thi Viet Nga added that every year, the company spends more than VND150 billion on human resource research and development (R&D) projects; and regularly cooperates with two big universities of Vietnam - University of Science and Technology and Vietnam National University - on electronics, telecommunications and automation with high-quality human resources. In the coming time, the company will continue to strengthen competitiveness, increase market share, develop its customer base (beside Samsung), and expand production. It will expand the investment fund to US$200 million.

With nearly 10 years of business and development, MCNEX VINA has been recognized and assessed as a leading FDI export processor by Ninh Binh authorities for its contributions to the local industrial development index, with more than 50% of import and export value. The firm also ensures social welfare and generates employment for many local workers. MCNEX VINA is also a bridge for foreign investors to visit, survey and invest in Ninh Binh province.

Source: Vietnam Business Forum