Experts seek ways for Viet Nam to have healthier supply chain

Though the pandemic has seriously impacted the world and Viet Nam, it has accelerated the supply chain shift by diversifying, regionalising the production chain and scaling up global value chains.

A Samsung Vietnam production line. — Photo diendandoanhnghiep.vn

Though the pandemic has seriously impacted the world and Việt Nam, it has accelerated the supply chain shift by persifying, regionalising the production chain and scaling up global value chains, said an expert in Hà Nội on October 14.

Trần Toàn Thắng, director of the Department of Industrial Forecast and Enterprise Development (DIFED), National Center for Economic Forecast and Information (NCIF), told a seminar hosted by the University of Social Sciences and Humanities (USSH) in collaboration with the Konrad-Adenauer-Stiftung Foundation (KAS) of Germany on the pandemic influence on the global supply chain and local logistics sector and business operations: “Though there is global prospects for production, the impact from the pandemic will affect enterprises at least until 2023.”

Thắng said most of the production chains that Việt Nam can access or have the potential to move to are suitable with the import and export trend of Việt Nam, saying: “In the long term, Việt Nam's import-export activities will grow well.”

While Thắng saw a better future for import-export activities, Trần Đình Thiên, former Director of the Vietnam Institute of Economics, said the pandemic has revealed the limitations of the current global supply chain, specifically when the global economic dependence on “one locality" production, mentioning logistics was among issues for the activities.

Thiên said the pandemic has dealt a heavy blow to business production, disrupting global supply chains and leading to high freight rates and a shortage of workforce for production.

In addition, social distancing measures and travel restrictions, along with COVID-19 testing fees, have disrupted production lines and put additional financial burdens on businesses.

At the seminar, Prof. Dr. Heribert Dieter, Institute of International and Security Affairs, Germany, said that the main obstacle to the recovery of the supply chain was transportation costs, adding the cost of shipping containers from East Asia to Europe had increased by nearly 10 times.

The German expert said the shift of the supply chain would create opportunities for some economies like Việt Nam or India but the negative impacts on the supply chain would continue to linger, adding it would be difficult for transportation costs to return to normal levels before 2023 or 2024.

In this case, Nguyễn Anh Tuấn, Deputy Director of the Institute for Diplomatic Strategy Studies, Vietnam Diplomatic Academy, suggested local anti-pandemic work must pay attention to the economic stability, saying: “The COVID-19 prevention strategy must be accompanied by a unified logistics service strategy to avoid sudden and unexpected social distancing that affects transport activities."

Tuấn also recommended renewing the approach and thinking on supply chain issues, making plans and scenarios for options suitable to the pandemic situation as well as quickly and widely implement measures to support post-pandemic recovery.

He also suggested promoting local production to replace imports and at the same time to persify sources of importing intermediate goods, avoiding dependence on a few single sources of goods.

Việt Nam should also increase the production of essential commodities such as food and healthcare, support small and medium-sized enterprises, and prioritise the development of qualified labour resources to keep pace with the transformation of the digital economy.

Thiên, former director of the Vietnam Institute of Economics, said as China, Europe and the US were gradually turning to high-tech economies, it explained the strong recovery in the second pandemic year while the digital economy helped to solve some physical problems such as supply chains and logistics.

Therefore, he proposed to apply high technology for economic activities and to restructure the economy sustainably at the global level with good forecasts to avoid unusual risks.

At the seminar, Florian Feyerabend, Chief Representative of KAS, said: "Việt Nam is a major trading partner among ASEAN and also the top choice of investment destinations in this region.”

After social distancing measures are lifted and the vaccination campaign ramped up, a new normal will begin with economic dynamics restarting, he said: “Việt Nam will always be an attractive destination for foreign investors, especially Germany.” — VNS

Source: VNA
vietnamnews.vn

Related News

Seafood businesses adapt to the new situation

Seafood businesses adapt to the new situation

VCN - Facing the fluctuations in export markets and the impact of logistics supply chains, seafood export businesses have made changes and adapted to the new situation.
Quang Ninh Customs: Many activities to develop Customs-Business partnership

Quang Ninh Customs: Many activities to develop Customs-Business partnership

VCN - Developing the Customs-Enterprises (DN) partnership continues to be identified by the Quang Ninh Customs Department as one of the key tasks to be implemented in 2024.
Enterprises accelerate production and business activities after Tet holiday

Enterprises accelerate production and business activities after Tet holiday

VCN - Following the Tet holiday in the year of the Wood Dragon 2024, numerous enterprises have resumed their production and business operations, swiftly ramping up with a plethora of orders from the very start of the year.
Deploy business support programs at the Customs unit with a turnover of "hundreds of billions of dollars"

Deploy business support programs at the Customs unit with a turnover of "hundreds of billions of dollars"

VCN - The spirit of considering businesses as partners, always "side by side" with the business community through dialogue, troubleshooting, and timely support activities has widely immersed by the Department's leaders to each unit leader of the Bac Ninh Customs Department, thereby maintaining the leading position in turnover of "hundreds of billions of dollars".

Latest News

ASEAN, RoK agree on transposition of AKFTA product specific rules

ASEAN, RoK agree on transposition of AKFTA product specific rules

ASEAN member states and the Republic of Korea (RoK) have reached a consensus on the transposition of ASEAN-RoK Free Trade Agreement (AKFTA) Product Specific Rules from the Harmonised System Codes HS 2017 to HS 2022.
Opportunities for digital technology businesses to go global

Opportunities for digital technology businesses to go global

Finding solutions and directions to promote and develop Vietnamese digital technology enterprises is an important task, which will promote the stability and sustainability of the country's economy, heard a recent conference.
Vietnam, China eye stronger border trade

Vietnam, China eye stronger border trade

Border provinces of Vietnam and China should continue close coordination and enhance trade promotion between the two sides, stressed the recent talks between the management boards of the economic zone of the northern province of Ha Giang and the Malypo border economic cooperation zone of China’s Yunnan province.
Improve competitiveness and sustainable development of the seafood industry

Improve competitiveness and sustainable development of the seafood industry

VCN - In early 2024, seafood exports have prospered. This is the driving force that helps seafood businesses hope for a stronger recovery this year. Ms. Nguyen Thi Thu Sac, Chairwoman of the Vietnam Association of Seafood Exporters and Producers (VASEP) shared with Customs Magazine.

More News

Business environment reform needs further promotion: expert

Business environment reform needs further promotion: expert

Resolution 02 issued by the Government creates pressure for the ministries, sectors and localities to make changes for the business community as well as the socio-economic development.
Singapore is the largest foreign investor in VN in Q1

Singapore is the largest foreign investor in VN in Q1

The disbursed FDI rose by 7.1 per cent in the first quarter to reach $4.63 billion, a signal that the disbursement will continue the positive trend, the agency said.
Thai Binh boosts investment, trade cooperation with Germany

Thai Binh boosts investment, trade cooperation with Germany

A delegation from the northern province of Thai Binh, led by Deputy Secretary of the provincial Party Committee Nguyen Khac Than, visited several localities and business organisations in Germany from March 25 to 27, in a bid to enhance trade cooperation with and attract direct investment from the European nation.
Lifting obstacles to develop industrial parks

Lifting obstacles to develop industrial parks

VCN - Attracting investment and developing industrial zones (IZs) and economic zones (EZs) is one of the important contents to implement the policy of developing a multi-component, open, attract investment and resources from all economic sectors to develop the country. In addition to the results achieved, there still limitations that need to be removed to draw investments to develop industrial parks and economic zones, including financial problems for industrial parks.
Unlock capital flows and create favorable conditions for investors

Unlock capital flows and create favorable conditions for investors

VCN - Talking with the press, Dr. Ngo Cong Thanh (Photo), Provisional Executive Committee member of the Vietnam Industrial Park Finance Association (VIPFA), said that it is necessary to open up capital flows and create conditions for investors to access key factors. Facilitate production and business factors and innovate investment promotion activities to more effectively develop industrial parks.
More than 300 businesses, manufacturers to attend VGMF 2024

More than 300 businesses, manufacturers to attend VGMF 2024

More than 300 domestic and foreign businesses and manufacturers will attend the Vietnam Global Manufacturing Forum 2024 (VGMF2024) to explore investment and business cooperation opportunities.
Connecting with FDI firms helps boost wood exports: insiders

Connecting with FDI firms helps boost wood exports: insiders

Strengthening linkages and cooperation between foreign-invested and domestic enterprises will contribute to promoting the sustainable development of the Vietnamese wood industry, according to insiders.
Doosan Vina exports nearly 2,000 tonnes of modules to US

Doosan Vina exports nearly 2,000 tonnes of modules to US

The Doosan Enerbility Vietnam (Doosan Vina) specialising in heavy industries announced on March 26 that it has just exported a batch of nine modules weighing nearly 2,000 tonnes to the Golden Triangle Polymers company in Texas, the US.
Wood processing enterprises strive to increase the proportion of individually designed goods

Wood processing enterprises strive to increase the proportion of individually designed goods

VCN - Many wood and furniture processing enterprises are promoting investment in design activities, helping to increase the proportion of individually designed products (ODM) in exports, thereby affirming the industry's capacity Vietnamese wood in segments with higher added value.
Read More

Your care

Latest Most read
ASEAN, RoK agree on transposition of AKFTA product specific rules

ASEAN, RoK agree on transposition of AKFTA product specific rules

ASEAN member states and the Republic of Korea (RoK) have reached a consensus on the transposition of ASEAN-RoK Free Trade Agreement (AKFTA) Product Specific Rules from the Harmonised System Codes HS 2017 to HS 2022.
Opportunities for digital technology businesses to go global

Opportunities for digital technology businesses to go global

Finding solutions and directions to promote and develop Vietnamese digital technology enterprises is an important task, which will promote the stability and sustainability of the country's economy, heard a recent conference.
Vietnam, China eye stronger border trade

Vietnam, China eye stronger border trade

Border provinces of Vietnam and China should continue close coordination and enhance trade promotion between the two sides, stressed the recent talks between the management boards of the economic zone of the northern province of Ha Giang and the Malypo border economic cooperation zone of China’s Yunnan province.
Improve competitiveness and sustainable development of the seafood industry

Improve competitiveness and sustainable development of the seafood industry

In early 2024, seafood exports have prospered. This is the driving force that helps seafood businesses hope for a stronger recovery this year.
Business environment reform needs further promotion: expert

Business environment reform needs further promotion: expert

Resolution 02 issued by the Government creates pressure for the ministries, sectors and localities to make changes for the business community as well as the socio-economic development.
Mobile Version