To achieve the objective of establishing Da Nang City as a socioeconomic hub in the country and Southeast Asia, the city’s industry and trade sector remains dedicated to mobilizing resources and providing support to businesses. This includes fostering technological innovation, advancing production capabilities, and enhancing competitiveness. To learn about these efforts, Vietnam Business Forum’s reporter conducted an interview with Ms. Le Thi Kim Phuong, Director of the Department of Industry and Trade.
Da Nang Department of Industry and Trade, the Department of Industry (Ministry of Industry and Trade), and Samsung Vietnam sign an MoU to support the development of smart factories in Da Nang City and the central region
Could you tell us about recent outstanding achievements of the industry and trade sector?
In 2023, carrying out the city’s theme “The focused year of unlocking resources, attracting investment capital, maintaining economic growth and ensuring social security” amid global economic and political instability, the industry and trade sector made efforts to achieve its tasks and importantly contributed to local socioeconomic development.
The sector also basically completed its work contents and integrated Da Nang Master Plan for the 2021 - 2030 period, with a vision to 2050, ratified by the Prime Minister in Decision 1287/QD-TTg November 2, 2023. In particular, the sector proposed strategic orientations and a list of prioritized projects to develop industry, commercial infrastructure, energy and power supply. It completed and advised the Da Nang People's Committee to launch the Project on “Developing Da Nang logistics services to effectively connect with the Central Key Economic Region and the East - West Economic Corridor in 2021 - 2030, with a vision to 2050”, the Project on “Environmental protection of the industry and trade sector”, and the Project on “Developing yacht industry and services”. The sector carried out many policies, programs and solutions to provide business support for local companies, including supporting tech innovations, applying modern machinery and equipment, and improving product quality, assisting trade promotion, and facilitating companies to boost product promotion and expand markets. Specially, the industry and trade sector focused on digital transformation by supporting small businesses and merchants to apply Technology 4.0 to their operations (e.g. adopting noncash payments and coaching livestream sales); researched and supported industrial manufacturing and handicraft companies to apply digital transformation and apply smart production models.
Besides its achievements, did the sector encounter any difficulties? What solutions did it take to tackle those difficulties?
In 2023, despite certain positive achievements, the sector still faced shortcomings and limitations in operations. Most sectors and fields weakened since slow global economic recovery and tight monetary policy in many countries caused aggregate demand to decline sharply. Moreover, infrastructure development investment in industrial zones remained slow. The city lacked leading corporations with great influence and ripple effects to boost local business development. Infrastructure investment for industrial production remained limited and slow to be deployed, resulting in insufficient space for businesses to locate their investment projects or business expansion projects.
Therefore, based on its achievements in 2023 and on actual situations in 2024, the sector has actively coordinated with relevant units to carry out specific mechanisms and policies to create driving force for local development. For example, it launched the pilot policy on establishment of Da Nang Free Trade Zone to attract stronger investment fund for manufacturing, logistics, trade and services as well as policies to unlock investment sources, facilitate the development of commercial infrastructure projects such as logistics and markets. It also put forth proposals to resolve difficulties and obstacles to ensure ongoing projects, particularly large-scale ones, to go into operation on schedule.
The sector continued to support businesses to innovate technology, develop production, and improve competitiveness to meet increasing requirements in export markets; effectively deployed the Trade Promotion Program and the Da Nang E-commerce Development Plan in 2021 - 2025, the Da Nang product brand promotion program associated with the "Buy Vietnamese" Campaign; and proposed forming the Da Nang OCOP Product Showroom Center. In 2024, the industry and trade sector will advise the Da Nang People's Committee to submit to the Da Nang People's Council to introduce support policies for trade promotion and foreign trade development. It will intensify business-centered administrative reform.
What do you want to convey to the business community and investors who are interested in the industry and trade sector of Da Nang City?
Going with the city in all work, the industry and trade sector is focusing on specific directions: Building Da Nang into one of major commercial centers with synchronous and modern infrastructure and distribution system, a commodity distribution center of the region and the country; keeping the average annual retail growth of 10 - 12%; gradually advising the Da Nang People's Committee to effectively carry out the Project on “Developing Da Nang logistics services to effectively connect with the Central Key Economic Region and the East - West Economic Corridor in 2021 - 2030, with a vision to 2050” and Project on “Developing yacht industry and services” to strengthen economic growth engine of the city in the future; and turning Da Nang into a logistics center, a gateway for road, sea and air delivery and transportation with localities and countries on the East - West Economic Corridor, in the ASEAN region and in the world; developing investment attraction policies for high-tech industrial development (such as microelectronics, chip and semiconductor, precision engineering, mechanics - electronics, optoelectronics, automation, environmental technology and new energy technology) as a key industry. We also advised the Da Nang People's Committee to form industrial complexes to provide production space for companies, especially the small and the micro, and producers in residential areas to boost industrial production and mitigate environmental pollution. In particular, we will actively join with other sectors to execute the National Assembly's resolutions on introduction of pilot mechanisms and policies on Da Nang development with contents pertaining to industry and trade (on pilot establishment of Da Nang Free Trade Zone, on management and operation of industrial zone infrastructure invested with public investment capital; on land recovery for logistics center projects for socioeconomic development national and public benefits). These are core issues to create momentum for development in the coming time.
Indeed, the business community always plays a very important role in the city’s development. On this occasion, as the leader of the sector, I pledge to listen, share and accompany the business and investor community. In addition, the Department of Industry and Trade like other sectors in the city hopes that businesses and investors will share their difficulties with us to seek best solutions to tackle them quickly, promptly and thoroughly. We always take the success and development of businesses and investors as a measure of the quality and performance of State administration.
Thank you so much!
By Hoang Lam, Vietnam Business Forum
Vietnamese
October 2024
Hanoi