Labour, infrastructure issues hold back surging Vietnam investment

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It may struggle to keep up with high-tech industries as companies shift away from a reliance on China.

Vietnam’s vast young population holds promise, but sufficient training is required to meet the needs of foreign investors.

But in an industrial zone in the northern port city of Haiphong, Ko Tae Yeon — general director of Heesung Electronics Vietnam, which makes components for LG automotive displays — frets over a lack of skilled engineers. “Vietnam is a good place to make things,” Adam Sitkoff, chief executive of the American Chamber of Commerce in Hanoi, told AFP.

“The infrastructure investment gap will constrain Vietnam’s ability to attract and retain FDI , including those looking to relocate from China,” the multilateral donor organisation said in a report last month.

 

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