Vietnam targets industrial productivity growth of 7.5% per annum

The plan also targets average annual growth of over 8.5 per cent in added industrial value.

Manufacturing and processing sectors will account for roughly 30 per cent of GDP by 2030, as per the draft.

The plan aims to make a breakthrough in improving productivity, competitiveness, product quality, and added value by harmoniously developing the industry and fully optimising achievements of the Fourth Industrial Revolution and trade advantages, said Vietnamese media reports quoting the ministry.

In order to achieve those targets, focus will be on perfecting the domestic industrial production system via the development and upgrade of supply and value chains in industries. To reduce dependence on the import of equipment, machinery, and materials, industry supply chains are to be localised in the country. This could help in enhancing the competitiveness of Vietnamese products in global value chains.

The draft also emphasised that specifically green practices in industries will be promoted for efficient use of natural resources and energy. Vietnam is planning to shift from natural resource-based and labour-intensive industries to technology- and capital-intensive, green, and low-carbon ones.

Support industries will be facilitated to serve major export sectors like textile (garment, leather, footwear), the draft plan noted. With the restructuring of the industry and trade sector, support industries are expected to meet 70 per cent of domestic production demand.

The country also plans to strengthen the connectivity between domestic suppliers and multinationals investing in Vietnam to boost Vietnamese firms’ participation in domestic and global manufacturing networks. About 2,000 businesses are expected to be capable of directly supplying assembly companies and multinationals by 2030, as per the draft plan.

ALCHEMPro News Desk (DP)