Long-term prospects outlast supply chain concerns. Illustration photo - freepik.com The latest survey by the German Chamber of Industry and Commerce (AHK) found that 60 per cent of German companies in Vietnam were complaining about price increases or supply chain bottlenecks for raw materials, intermediate products, and other goods. The main reasons for raw material shortages as claimed are increased demand, low production capacity, and transport problems that continue through the COVID-19 pandemic worldwide. The bottlenecks in the supply chain are causing numerous difficulties in terms of production activities for the surveyed companies such as higher input prices, longer waiting times, and even production interruption and operation halts. The survey covered 3,000 German companies in various countries across all sectors. It pointed out that 90 per cent of German companies in Vietnam said seeking new or additional suppliers in Asia-Pacific and raising inventory levels are … [Read more...] about Long-term prospects outlast supply chain concerns
Long term capital gains tax
Receipts from taxes are on the decrease, which show that goods consumption and production of enterprises have been hit hard by the Covid-19 crisis. EuroCham’s newly released report on business index during social distancing periods showed that 18 percent of businesses in the manufacturing industry have transferred a part of their orders or production demand to other countries, while 16 percent are considering doing this. EuroCham’s Chair Alain Cany said this was just a temporary decision. However, if social distancing lasts two or three more months, the situation will become more serious. Meanwhile, a survey by the Association of German Chambers of Industry and Commerce (DIHK) of German investors in Vietnam found that 60 percent of businesses confirmed the disruption of supply chains, which has caused serious consequences. Up to 83 percent of businesses said they have suffered from production disruption because goods transport, circulation and consumption have been … [Read more...] about How long will social distancing last?
The city is still actively taking measures to remove difficulties for production and business activities. A number of Hanoi-based enterprises have made efforts to resume production and fulfill contracts and orders, some have even returned to operating at 100% capacity in the context of the new normal. Workers at B.Braun Vietnam's factory in Thanh Oai District's industrial cluster. HNT Photo: Binh Minh Work hard to fulfill orders These days, many enterprises located in low-Covid-19-risk areas or “green zone” have urgently restored production activities. In Son Tay town, about 500 workers for Son Ha Garment JSC have returned to work since late August. On the basis of the company’s disease prevention plan, the company is seeking authorization for the reinstatement of 1,000 laborers, accounting for 50% of its total workforce, so that it could fulfill orders signed with its partners until the end of this year. “From now until the end of the year, it is the … [Read more...] about Hanoi’s enterprises resume operations adapting to new normal
The National Assembly Standing Committee met on Thursday to discuss ways to support companies and people disrupted by the pandemic. VNA/VNS Photo HÀ NỘI – The National Assembly Standing Committee yesterday continued discussions about the best ways to support businesses and people affected by the COVID-19 pandemic. Minister of Finance Hồ Đức Phớc said many solutions have already been implemented. The total amount of tax and budget revenue that had been extended, exempted and reduced according to the policies issued in 2020, has reached about VNĐ129 trillion (US$5.64 billion). In 2021, the Government submitted to the National Assembly Standing Committee plans to continue the implementation of four solutions for those affected by the pandemic. It includes continuously extending the deadline for paying tax and land rent in 2021; reducing environmental protection tax on jet fuel in 2021; reducing import tax rates for many groups of goods; and decreasing the collection of 30 types of … [Read more...] about NA Committee turns spotlight on financial support for COVID-19 affected businesses and people
The office market in Hanoi is experiencing many changes amid the COVID-19 pandemic in terms of rental prices, occupational profile and new demands for office spaces, according to Savills Vietnam. Rents on the Hanoi office market are expected to also remain stable as there are limited prime projects coming until 2023. — Photo baotintuc.vn Grade A rents in Hanoi are predicted to be stable in the upcoming year. With the Capital Place project in the secondary area entering the market, total grade A supply in Hanoi reached about 90,000 sq.m in the first half of this year, up 24 per cent year on year while the average rent was up 7 per cent year on year. As take up has been stable over the past three years, it will take some time for this volume of space to be absorbed. Rents are expected to also remain stable as there are limited prime projects coming until 2023. In 2021, the Information and Communication Technology (ICT) sector as well as industries such as … [Read more...] about Hanoi office market will see large changes after pandemic
At the 24th ASEAN Investment Area Council Meeting under the ASEAN Economic Ministers’ Meeting last week, an investment facilitation framework (AIFF) was announced based on initiatives and implementation of regional members in mobilising foreign direct investment (FDI) as a key priority for the post-pandemic period. The AIFF points out some practical recommendations for ASEAN country members. In the opinion of Secretary General of ASEAN Lim Jock Hoi, improving investment facilitation processes and procedures is the most important target, which includes improving transparency and predictability of investment measures, streaming and speeding up administrative procedures and requirements, and strengthening coordination and cooperation, especially on cross-border issues. “The movement of people and capital should be focused on enhancing talent mobility within the region and from outside the region, as well as providing necessary regulations/ framework for movement of people and … [Read more...] about System crafted for ASEAN attraction