The best way to get an accurate idea of a country, its people, and industry is to go there. Under the leadership of the VDMA Metallurgy Division and the AHK Vietnam, a group of twelve interested parties, including foundry buyers, foundry machine suppliers, and service providers, headed by Ines Polak (VDMA) set off for Vietnam to survey the market first-hand.
Young and Ambitious Population
With its 92 million inhabitants, on average just 28 years old, Vietnam is considered one of the upcoming markets in the ASEAN network.
In an environment of rising wages and ever-increasing environmental requirements – leading to foundry closures – in China, Vietnam, as well as Thailand and Indonesia, could be one of the countries that will benefit in the meantime, and play a more important role in the foundry industry in the future.
The Vietnamese are considered reliable, ambitious, and intelligent; education is at the top of the social needs list. While the Communist Party is providing internal political stability, Vietnam has good trade relations with the European Union, with a free trade agreement having just been ratified, and China and Japan are the main machine suppliers.
In 2017, Vietnam achieved an average growth of 7%, with exports seeing an increase of 20%.
250 Foundries in Vietnam
The foundry industry comprises about 250 companies, a few of which are large companies. The companies mainly process iron and steel, besides aluminum and bronze, and in about 50 operations die-casting is offered. It seems that Vietnam's policy and business leaders want to take advantage of the opportunity and promote foreign investment and suppliers. They recognize that the country, with its dynamically young population, could be one of the winners in the region. For investors, together with the local experts and consultants, there are good prospects for setting up or relocating production units to Vietnam.
Buyers for simple castings, for example, can also be found in Vietnam. The dedicated employees of the foreign trade chambers can provide valuable assistance here: <link http: www.vietnam.ahk.de external-link-new-window external link in new>
Foundry-Planet Ltd. plans to launch a foundry overview for Vietnam in early 2018 together with its Vietnamese colleagues.