57 pct of Japanese firms in Vietnam plan to expand

By Nguyen Quy February 8, 2021 | 07:00 pm PT

Workers assemble cars in a factory of Toyota Vietnam in the northern province of Vinh Phuc. Photo courtesy of Toyota Vietnam.

Vietnam is the market where the highest ratio of Japanese firms has expansion plans, 57 percent, a poll has found.

The poll by Japan’s Pasona Group Inc of Japanese companies operating in 11 countries and territories said Vietnam was followed by India (55 percent) and Thailand (50 percent).

The poll last December asked 818 firms operating in the U.S., Canada, Hong Kong, Taiwan, South Korea, Thailand, Vietnam, Malaysia, Singapore, Indonesia, and India.

In Vietnam, 36 percent said they would keep operations at the same level while the rest did not have plans.

By last year 37 out of 81 Japanese firms receiving government subsidies to move their factories out of China to other countries have opted for Vietnam.

"Vietnam currently tops the list of investment destinations among Japanese firms choosing to diversify their supply chains," Japanese ambassador to Vietnam, Takio Yamada said.

Japan was the sixth largest investor in Vietnam last year with $786 million.