Vietnam on November 16 signed 18 trade and investment contracts worth a total value of US$5.6 billion with APEC partners, marking a “bumper crop” for the country during the APEC week.
Among the first eight projects worth US$2 billion signed at the “Doing Business with Vietnam 2006 Forum” held on November 16 in Hanoi, US firms account for most in both number of projects and capital with four projects and two agreements.
The US’s largest project is AES Transpower’s, capitalized at US$1.4 billion, to build the Mong Duong 2 thermo-power plant under the model of BOT (build – operate – transfer) contracted with Vietnam Coal and Mineral Group (Vinacomin). The US side will contribute 90 per cent of the total US$1.4 billion capital.
It is followed by a credit loan contract, distributing oil products for VTV 24-7 automobile engines, between Truong Thinh Company in the central province of Quang Binh and US-based NRG with the expected value of US$125 million in five years.
Truong Thinh Company and the US-based NRG also reached another credit loan of US$15 million to develop the ecological Sun Spa Resort.
A US$100 million agreement to upgrade Cai Lan port was inked between Vinalines and SSA Marine.
The Vietnam-US two agreements comprise one inked between the Vietnam Chamber of Commerce and Industry (VCCI) and the US Chamber of Commerce and Industry on strengthening support for Vietnam’s business circle and fostering the trade relationship, and the other between Microsoft Vietnam and VDC and VIP Vietnam on the development of the project on MSN’s information electronic portal.
Other contracts include a project on setting up a US$200 million joint venture between Vietnam’s Saigon Invest Group, Malaysia’s V.S. Industry Berhad and Hong Kong’s V.S International Group Ltdwhich. The joint venture will operate in the areas of high technology, automobile manufacturing, urban area and trade centre development.
Vietnam’s King Valley Corp. and South Korea’s Hanwha also joined in a deal of US$150 million to develop a tourism complex and golf course.
The remaining US$3.6 billion came from ten deals signed with China during the visit of Chinese President and General Secretary Hu Jintao on the afternoon of November 16, demonstrating a landmark in bilateral economic ties.
These contracts include an agreement on widening and deepening trade and economic cooperation, a memorandum of understanding (MoU) on “Two corridors - one economic belt” development program, a diplomatic note on human resources training, a MoU on border health quarantine, a MoU on building a coal-fueled thermal plant, an agreement on common oil and gas exploration offshore Tonkin Gulf, and an agreement on an alumina project in Dak Nong.
In the related news, on the sidelines of the Doing Business with Vietnam 2006 Forum, Minister of Finance Vu Van Ninh handed non-life insurance licenses to American firms ACE and Liberty Mutual Insurance.
The forum held by the VCCI at the National Convention attracted more than 1,000 local and foreign business executives.
P.V
Vietnamese
