How FDI enterprise “rule the roost” in exporting?

Chart of the value of export turnover by the end of May 2017 between FDI enterprises and domestic enterprises. Sketch by T. Bình

Accordingly, by the end of May 2017, the total export turnover of FDI enterprises reached $US 56.656 billion, accounting for nearly 71% of the total export turnover of the country in the same time. In particular, while the overall increase of the country's exports was 18.4%, the growth rate of FDI enterprises was 20%.

Notably, FDI enterprises are present in almost major export sectors of our country and almost occupy the absolute share in high-tech industries such as telephones, computers,... Specifically, in the telephone and spare parts items, in May, the country reached export turnover by $US 16.28 billion, while the FDI enterprises contributed to $US 16.22 billion, equivalent to 99.6%.

Another important group is a computer, electronic product, and component, FDI enterprises also account for 97% of the total value of $US 9.383 billion of this industry.

Besides that, among 18 groups of export goods that reached a value at $US 1 billion or more, by the end of May, foreign companies contributed to 11 groups. The groups that were left by FDI enterprises are mainly related to agriculture such as seafood, coffee, cashew nuts, rice, vegetables, etc.

At the third session of the XIV National Assembly, Member of Parliament - Phung Duc Tien (Ha Nam) stated that: The weakness of the domestic manufacturing industry is the reason that led our country spends tens of billions of dollars in every year for importing machinery.

Moreover, the economic expert - Tran Hoang Ngan (National Assembly delegation of Ho Chi Minh City) agrees with this point and emphasized that export activities are now typical examples of the dependence of the economies on FDI enterprises. He also said that we need a stronger solution to limit the dependence on FDI enterprises. And one of the elements that should be considered by the State is the development of private enterprises, small and medium enterprises.