Mr Michael Pfeiffer, Chief Executive of Germany Trade & Invest.
Mr Michael Pfeiffer, Chief Executive of Germany Trade & Invest, spoke about trade and investment opportunities in the two countries
Mr Michael Pfeiffer, Chief Executive of Germany Trade & Invest, spoke about trade and investment opportunities in the two countries.
What was achieved at the Vietnam-Germany economic forum, held for the second time in Vietnam?
This was the second time the Vietnam-Germany economic forum was held. We held it for the first time last year and it was successful, with German companies finding new business contracts and partners. Last year’s success made me feel that we should hold it again this year. Delegate numbers doubled over last year and we had more new guests.
What are the key sectors where German investors have an interest in Vietnam?
German enterprises have invested in Vietnam to supply markets all over the world, for example with Vietnamese textile exports. Vietnam is Number One in terms of workforce quantity today and it’s very difficult for others to compete. This is why Vietnam has been extremely successful in the international market and also why German companies are investing in Vietnam. I see more German companies making high-tech investments in Vietnam in the future.
Which projects/contracts are German and Vietnamese companies investing in?
German companies, of course, want to find new partners. They are looking for contracts to supply the Vietnamese market and to have closer cooperation with business partners in different fields, in finding business partners to supply the Vietnamese market and also to find partners here to cooperate with foreign supply partners. Vietnam is similar to Germany - we both have a lot of medium-sized companies that are competitive. This is why German companies are interested in a wide range of cooperative activities.
What is your advice for Vietnamese enterprises wanting to invest in Germany?
We give the same advice to Vietnamese companies as we give to German companies. Try to find as much information as you can get before you begin. The better you are informed the more successful you will be. German companies have good access to information about Vietnam because we have a representative of Germany Trade & Invest in Hanoi that provides regular reports on Vietnam to Germany companies.
For Vietnamese companies, it’s very important to have closer contact with our representative in Vietnam, from where they can obtain information if they wish to export to Germany. If they want to invest in Germany they should have direct contact with Germany Trade & Invest in Vietnam, because we provide market information and advice to foreign investors.
What would you suggest the Vietnamese Government do policy-wise to support bilateral cooperation?
Companies often complain about the level of bureaucracy. This makes business difficult for entrepreneurs. We think that both Vietnam and Germany should do better with their bureaucracies because they do not support bilateral investment.
Companies have to adjust to regulations and so it’s very important to have a commitment from the governments of both sides to have the same rules applied and to have access to all markets. This means making German companies feel that they should come here because they will be made to feel at home.
What are your thoughts on the recent visit by Chancellor Angela Merkel to Vietnam?
She met with the Prime Minister and signed a partnership arrangement between the countries. This will help Germany Trade & Invest and the Vietnamese Promotion and Investment Agency to cooperate together. Both governments agreed that these two agencies should continue efforts to develop bilateral business and trade. Entrepreneurs need a positive attitude towards future development and both governments did a splendid job.
What do you predict for bilateral cooperation in the future?
Over recent years the number of German exporters to Vietnam and the number of Vietnamese exporters to Germany has been increasing, and even in these difficult economic times the ties between the two countries is very strong. It’s easy to predict that trade between Vietnam and Germany will rise. We will have positive development because our economy is very strong, the typical structure of small-medium sized company like those in Vietnam, and they can do very well together.
Will the high-tech field be improved in the future in Vietnam?
In the past, Vietnam has proven to be very reliable business partner. The country has a lot of products that are not in the high-tech sector, but even textile production today is of high quality. You produce high quality textiles and in other fields you are a leading country.
Of course, in the world of tomorrow, we will see more investment going into technology, information technology, and renewable energy. Vietnam is a country we believe has potential in renewable energy. You depend very much the importation of energy and you have a lot of wind and sunshine. More cooperation in all fields is something that could lead both countries in the future.