Mechanical enterprises change for developing

VCN - Mechanical enterprises are facing a decrease in domestic and export orders. Therefore, enterprises in this industry must actively change to survive and develop.
Steel and mechanical enterprises look forward for more supportive policies Steel and mechanical enterprises look forward for more supportive policies
Mechanical enterprises go deep into the production chain Mechanical enterprises go deep into the production chain
Mechanical enterprises lack overall mechanism Mechanical enterprises lack overall mechanism
Mechanical enterprises  have a lot of momentum and potential for development. Photo: H.Diu
Mechanical enterprises have a lot of momentum and potential for development. Photo: H.Diu

Mechanical enterprises are proactive in technology and investment

According to data from the General Statistics Office, in the first seven months of 2023, in export products of billions of dollars, machinery, equipment, tools and spare parts reached US $ 3.2 billion, down 21%, down 21%. compared to the same period in 2022. Many mechanical enterprises reflected that, with the impact of the pandemic, political conflicts and rising inflation, the number of industrial projects started decreasing, causing export orders of many of these fields decreased, domestic orders also decreased significantly. Therefore, many mechanical enterprises are having to find all ways to survive, let alone develop.

Dr. Nguyen Chi Sang, Vice President and General Secretary of the Vietnam Association of Mechanical Enterprises (VAMI), said that the mechanical industry serves other industries such as chemicals, transportation, oil and gas exploitation, and agriculture. ... Investment in mechanical engineering requires large capital, long payback period, short-term benefits are not high. In the long-term, the benefits to the country are great. According to the industrial development plan, the market size for the mechanical industry in the period of 2021-2045 is about US $800 billion.

According to Dr. Nguyen Chi Sang, if domestic mechanical enterprises master the design and manufacture of mechanical products, they will reduce product costs and be autonomous in project implementation, especially for industrial plants. major projects of the country. Normally, the cost of domestically manufactured machinery, equipment or industrial works is 10-30% cheaper than buying from abroad. If mechanical enterprises can master investment projects, it will help the works not depend on foreign contractors, not be delayed, increase prices when implementing...

Talking about business changes to face difficulties, Mr. Le Quy Kha, Chairman of the Board of Directors, General Director of TOMECO Electromechanical Joint Stock Company said the company has mastered from research, design, construction. manufacturing technology ... to the application of scientific and technical achievements, the products have been exported to many countries. Domestically, the product has joined the supply chain of many multinational corporations. Mr. Kha emphasized, in the difficult context, TOMECO's products have a competitive advantage because of their high technology content, meeting the strict quality requirements of customers.

Similarly, Mr. Tran Van Nam, Chairman of the Board of Directors, General Director of MBT Electrical Equipment Joint Stock Company shared, the company is supplying products and equipment to many domestic and foreign partners. Not only thanks to strong investment in technology and equipment, MBT also has a development strategy in terms of quality management and administration system and highly skilled human resources to meet management, technical and production requirements. The operation of the whole MBT system is strictly controlled and managed according to ISO 9001:2015 standard, thereby ensuring the quality of products in every stage from receiving customer requirements to designing, materials, production, assembly, testing, packaging, delivery, after-sales...

In a large enterprise, Truong Hai Industrial Group Company (THACO INDUSTRIES), thanks to its strong financial potential, this company has invested in a Mechanical Center with the ability to supply about 390,000 products to the market mechanics and molds and more than 200,000 tons of steel, steel structures, precision mechanics every year. The company has built modern research and development (R&D) centers, owning specialized infrastructure, meeting the requirements of domestic and export markets...

Needing an overall strategy for mechanical development

Along with the initiative, mechanical enterprises also need support from the policies of the management agency. A representative of the Vietnam Association of Mechanical Enterprises (VAMI) stated that the authorities need to develop an overall strategy for the development of industries, especially those with great investment value in the development strategy of the country, such as the mechanism for the auto industry because this is an industry with a very large domestic market, the mechanism for the localization of industries with a lot of room, such as renewable energy, transportation, and ports. sea…

In particular, Dr. Nguyen Chi Sang suggested that the mechanical development strategy should be concretized according to the Government's instructions so that businesses with investment orientation and the mechanical industry could develop to meet the requirements of economic development. At the same time, the improvement of the business environment must also be effective, such as eliminating the issue of practice certificates for individuals who have been trained and graduated in accordance with the working specialties; eliminating the need for state-owned enterprises to bid for selection of subcontractors when bidding to obtain contracts; Enterprises when receiving technology transfer inherit the capacity of the technology transferor...

In addition, businesses suggested that there should be output support programs by connecting with potential buyers of each industry; incentives for mechanical companies to invest in production expansion, human resource training, financial support...

By MinhChi/Quynhlan

Related News

Lack of high-quality human resources to "attract" investors and produce semiconductor chips

Lack of high-quality human resources to "attract" investors and produce semiconductor chips

VCN - The shortage of high-quality human resources, especially in high-tech fields, is currently a major bottleneck in attracting large technology corporations to shift investment locations in research, development and production to Vietnam.
Improving organizational structure and capacity building to implement the State Treasury Development Strategy to 2030

Improving organizational structure and capacity building to implement the State Treasury Development Strategy to 2030

VCN - The State Treasury system has achieved encouraging achievements in streamlining the organizational structure in association with the reform of administrative procedures to ensure strict management and meet the customers' needs.
Many ministries yet to not issued a list of specialized goods subject to HS code change

Many ministries yet to not issued a list of specialized goods subject to HS code change

VCN - Through management, many ministries have not issued a list of specialized goods subject to HS code change according to List of Vietnam's Import and Export Goods (2022)
Developing a transparent real estate market with true value

Developing a transparent real estate market with true value

VCN - Facing the difficulties that the real estate market faces when the credit flow is adjusted, the bond market fluctuates, etc., which requires businesses and investors to have appropriate development strategies focusing on real value.

Latest News

Opportunity for exporting to Thailand market

Opportunity for exporting to Thailand market

VCN - Thailand and Vietnam strive to achieve the goal of US$25 billion in bilateral trade by 2025.
Enterprises want clearer regulations on seafood production

Enterprises want clearer regulations on seafood production

There is a lack of consistency among existing legal documents on seafood production, making it difficult for enterprises to comply.
Vietnam ranks fifth among aquatic product suppliers for Singapore

Vietnam ranks fifth among aquatic product suppliers for Singapore

Vietnam jumped one place to become the fifth largest exporter of aquatic products to Singapore for the first time in the first quarter of this year, according to its Trade Office in the city state.
Forum seeks to increase PPP investment effectiveness

Forum seeks to increase PPP investment effectiveness

Investment cooperation in the public-private partnership (PPP) form is seen as a strategic option to mobilise private investment and improve public service delivery. However, the implementation of PPP projects in Vietnam still faces a lot of difficulties and obstacles, leading to a low number of successful projects and making the private economic sector cautious.

More News

Linking businesses with cooperatives to increase the value chain

Linking businesses with cooperatives to increase the value chain

VCN - The issue of linking the value chain between domestic production units still has many "bottlenecks" that need to be resolved. In particular, solving the "problem" of linking businesses with cooperatives will help improve efficiency as well as meet the requirements of collective economic development.
Vietnam has a trade deficit of over US$17 billion with China

Vietnam has a trade deficit of over US$17 billion with China

VCN – In the first quarter 2024, Vietnam-China trade reached US$43.6 billion. The country had a large trade deficit.
Tra fish export to UAE jumps 67% in Q1

Tra fish export to UAE jumps 67% in Q1

Vietnam’s tra fish export to the United Arab Emirates (UAE) reached more than 7 million USD in the first quarter of this year, a rise of 67% against the same period last year, statistics of the General Department of Customs showed.
Pepper prices continue increase trend

Pepper prices continue increase trend

Pepper prices are forecast to soon exceed 100,000 VND per kilo on the domestic market.
More efforts needed to maintain export growth to China: Insiders

More efforts needed to maintain export growth to China: Insiders

Exporters should further strengthen trade connections and improve the quality of their goods to sustain export growth to China as this is no longer a "lenient" market, said insiders.
It is expected that there are higher orders and revenue in the second quarter from European businesses

It is expected that there are higher orders and revenue in the second quarter from European businesses

VCN - The Business Confidence Index (BCI) according to a survey by the European Business Association in Vietnam (EuroCham) reached 52.8 in the first quarter of 2024 - the highest level since 2022, showing increasing confidence in Vietnam's European business community.
Vietnamese rice prices on the hike

Vietnamese rice prices on the hike

The prices of Vietnamese paddy and rice continued to increase last week, according to the the Vietnam Food Association (VFA).
FDI flow into garment and textile sector bounces back

FDI flow into garment and textile sector bounces back

The flow of foreign direct investment (FDI) into the Vietnamese garment and textile sector has rebounded thanks to the country’s sound investment climate and abundant workforce as well as its open economy, according to insiders.
Investors play a key role in developing the industrial park system

Investors play a key role in developing the industrial park system

VCN - Dr. Phan Huu Thang, Chairman of the Executive Committee of the Vietnam Industrial Park Finance Association, former Director of the Foreign Investment Department (Ministry of Planning and Investment), said that basically, developing an industrial park successfully or not mainly depends on businesses, entrepreneurs - industrial park investors.
Read More

Your care

Latest Most read
Opportunity for exporting to Thailand market

Opportunity for exporting to Thailand market

VCN - Thailand and Vietnam strive to achieve the goal of US$25 billion in bilateral trade by 2025.
Enterprises want clearer regulations on seafood production

Enterprises want clearer regulations on seafood production

There is a lack of consistency among existing legal documents on seafood production, making it difficult for enterprises to comply.
Vietnam ranks fifth among aquatic product suppliers for Singapore

Vietnam ranks fifth among aquatic product suppliers for Singapore

Vietnam jumped one place to become the fifth largest exporter of aquatic products to Singapore for the first time in the first quarter of this year, according to its Trade Office in the city state.
Forum seeks to increase PPP investment effectiveness

Forum seeks to increase PPP investment effectiveness

Investment cooperation in the public-private partnership (PPP) form is seen as a strategic option to mobilise private investment and improve public service delivery. However, the implementation of PPP projects in Vietnam still faces a lot of difficulties and obstacles, leading to a low number of successful projects and making the private economic sector cautious.
Linking businesses with cooperatives to increase the value chain

Linking businesses with cooperatives to increase the value chain

VCN - According to experts, in value chain links, agricultural cooperatives both play a role in promoting links between farmer households through collective economic activities to organize production and promote vertical linkages with businesses along the
Mobile Version