Quote
Factory Buyer Rate Questions

Blog

LATEST NEWS IN VIETNAM MARKET- AUG 23TH

23 Aug 2021

By Alice   PhotoAlexas_Fotos LinkPixabay

HCMC to ban people from going out starting August 23
Ho Chi Minh City, the current epicenter of Vietnam's fourth coronavirus wave since late April, has recorded roughly164,342 local cases and 5,627 deaths.

The government wants Ho Chi Minh City to put the coronavirus situation under control by September 15. HCMC will tighten its coronavirus restrictions starting August 23, requiring people to "stay where they are" amid persistent Covid-19 threats. 

FDI enterprises in Ho Chi Minh City have lost orders with hundreds of millions of dollars.
Foreign-invested enterprises in Ho Chi Minh City said that they faced many difficulties in implementing "3 on the spot", ensuring human resources to maintain production activities.


They must spend hundreds of billions VND per month to maintain production.

  • Intel: As a manufacturing plant accounting for 64% of the export value of Ho Chi Minh City Hi-Tech Park in the first 6 months of the year, Ms. Ho Thi Thu Uyen, Director of External Relations at Intel Vietnam and Malaysia, said the cost for the option "2 locations, 1 road" of the enterprise in the past time has generated 140 billion dong, directly affecting the company's budget and production plan in the long term.
     
  • Jabil Vietnam Company in the Hi-Tech Park: also said that the cost incurred when implementing "2 locations, 1 route" was on average VND 4 billion per day, equivalent to VND120 billion per month. Many partners have canceled orders to move to factories in Mexico or India, the contract value lost about 200 million USD, leading to the risk of downsizing the scale of operations in Vietnam.
  • AEON Vietnam Group : As one of the largest retail groups in Vietnam, although not applying "3 on the spot", AEON said that it is facing many difficulties related to human resources. "Many cases of employees who are living in medical isolation areas and are suspected of being infected with Covid-19, leading to a shortage of human resources to operate daily business operations and a shortage of employees. Besides, there are difficulties in inter-district delivery," said Mr. Furusawa Yasuyuki, General Director of AEON Vietnam.
  • According to Mary Tarnowka, Managing Director of AmCham Vietnam (The American Chamber of Commerce in Vietnam.), the model of "3 places", "1 route, 2 destinations" has proved useful as a temporary mechanism, but it is not sustainable for health, safety, cost or practical point of view.

More needs to be done to ensure production and supply of essential products and services can be maintained, and to facilitate the reopening of manufacturing operations and the overall supply chain of Vietnam - domestically and globally," emphasized Ms. Mary Tarnowka.
Source: 
zingnews.vn
e.vnexpress.net

Get a Quote Go Top