Leading Korean companies vow to expand operations in Viet Nam

Prime Minister Pham Minh Chinh separately received Cheoldong Jeong, President/CEO at LG Display; Sohn Kyung-shik, Chairman of CJ Group, CEO of POSCO; Kang Seog-hoon, Chairman and CEO at the Korea Development Bank (KDB) in Seoul on July 3.

* LG President Cheoldong Jeong revealed a plan to double output of LG Display factory in northern Hai Phong city.

So far, LG has poured more than US$5 billion into Viet Nam, including a LG Display factory in northern Hai Phong city, and plans to inject an additional US$4 billion into the country.

Cheoldong said LG plans to continue its investment in Viet Nam’s both traditional and new industries.

Prime Minister Pham hailed LG's projects in Viet Nam for helping to develop supporting industries, generate jobs, and spur socio-economic development.

He hoped that the group would continue to regard Viet Nam as an important base in its global strategy of production, research and development of key products for the international market.

He called on LG group to increase the localization rate of LG products in Viet Nam, support Vietnamese businesses to engage in the group’s supply chain and production chain, and build a research and development center in Viet Nam.

* During a reception for Sohn Kyung-shik, Chairman of CJ Group, Prime Minister Pham suggested CJ Group facilitate the exchange of experience and expertise and provide training to help farmers develop livestock production, and develop a system of quality standards for livestock products.

The Vietnamese Government pledges to stand by and support CJ Group to invest, build and develop projects in Viet Nam effectively, so as to help Viet Nam achieve its goals of green growth and sustainable development.

In reply, Chairman Sohn Kyung-shik suggested the Vietnamese Government consider applying a number of regulations related to commodity standards and take measures to protect domestic livestock enterprises.

CJ Group, said the Chairman, wants to invest in Viet Nam’s food services, especially the export of food products, logistics, and cultural industries, among others.

The multinational corporation has been operating in Viet Nam since 1998, and it now has 24 affiliates with last year’s revenue at US$1.4 billion.

* Receiving Chang In-hwa, CEO of South Korea's largest steelmaker POSCO, Prime Minister Pham highly valued the group’s business and investment activities in Viet Nam.

The country is encouraging foreign investments in emerging industries such as semiconductor, artificial intelligence, big data, and biotechnology, he added.

The Government chief hailed POSCO’s investment expansion plans and expected that the group would bring in advanced, environmentally friendly technology.

CEO Chang In-hwa said that POSCO expects to continue expanding cooperation and investment in Viet Nam in a number of new areas. Particularly, the corporation also expects to invest in an LNG gas power plant in Nghe An province in Viet Nam.

In Viet Nam, POSCO has established four steel plants with a total investment of US$1.8 billion.

* During a meeting with Kang Seog-hoon, Chairman and CEO at the Korea Development Bank (KDB), Prime Minister Pham praised KDB’s effective operations in Viet Nam.

He expected that the bank would continue to support Korean businesses to invest in the country.

He also encouraged KDB to come up with credit financing plans for Vietnamese businesses, especially small and medium-sized enterprises, in the fields of green finance, infrastructure, and high technology.

KDB that has established affiliates in 25 countries around the world has cooperated and provided capital for many large Korean firms to invest in Viet Nam.

The lender has cooperated with the Ministry of Finance of Viet Nam to formulate a sustainable development strategy for the Viet Nam Development Bank (VDB). KDB plans to promote investment in Viet Nam’s strategic fields such as high-tech, innovation, infrastructure, and green growth.

The same day, Prime Minister Pham Minh Chinh also met with Jung Won-ju, CEO of Daewoo Engineering and Construction, Huh Yoon-hong, CEO of GS Engineering and Construction, and Kim ki-Hyoung, Co-vice chairman/Co-CEO at Celltrion Inc./.