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Agreed, there's no pure Black and White.
Many Chinese enterpreneurs build their business by reputation.
But many other use tricks to keep the customers in the ring.

Yes, sure, everyone know there are black and white color every where. But in India, the ratio of black is much higher than in other countries, that is blood experience of many companies in Vietnam..

I had experience with two German companies before and in both cases, they were cheater. They abused our trust to German fame and exxagerated their capabilities. That made the loss of my trust to any other German things afterward. And they were not small companies.

I do not say every other German companies are like that, but you can understand. And now, Vollswagen cheat, in a very big scale and sysrematic way. I am not surprised at all.

Be honest to yourself and answer the question: are you surprised that a big German company can cheat? Highly likely, your answer is No. In the world now, every one can cheat you, so do not follow the mass and finger point to China.

I had experience with some Chinese companies too, and coincidently, they all gained my trust and my respect, when i saw the working attitude of their workers.

I understand the 2 issues, what I was trying to say is that Vietnam does not spend the money for research, its not a priority and considering the terribly low salaries that they pay to researchers, it will never go anywhere.

Vietnam is doing a relatively good job in terms of giving good education to a large segment of the population, certainly much better than India, but India, just because of economies of scale and because of the large population (and because they make it a priority and have the funding), is able to have high quality research centers and elite universities and on that, they definitely leave Vietnam way behind.

That being said, the quality of vietnamese students is very good and if one day the funding is available and they make it a priority, then Vietnam can go back up relatively fast.

India, a country which cannot produce a fighter after more than 30 years, or even a decent car by its own, or standard rifle for its army, one of the richest in Asia in 1940s and now poorer than Laos, and you keep saying about its quality reseach.

Do not speak about some nich products. In that case, Vietnam has lead many areas too, especially in medical treatment.

Do you mean its space program? .
 
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@AViet, @William Hung, @BoQ77, @Carlosa
I think you supported for Confucius is understandable, it emphasis on social harmony and good virtues and promote attitude to learning afterall. But Confucianism was the product of an agricultural, feudalistic society; it was tall hierchy structure and it postulated that life should be seen in terms of five basic relationships and four class structures.

Simply put, the five relationships are emperor to subject; father to son; elder brother to younger brother, husband to wife, and Teacher to student. Some would add a sixth, that of friend to friend. These relationships are role relationships not personal relationships; they don’t change; they are part and parcel of a system that is hierarchical and patriarchal l. Each of these relationships, except that of friend to friend depends on a hierarchy. They contain superior and subordinate roles. Both the superior and the subordinate have their duties and obligations, but let there be no mistake; it is always in the context of superior and subordinate. Confucius is one way communication structure and pretty much emphasis on paternalistic leadership which mean in this style of leadership the leader supplies complete concern for his followers or workers. In return he receives the complete trust and loyalty of his people. Workers under this style of leader are expected to become totally committed to what the leader believes and will not strive off and work independently. It is a very rigid system :father never switches roles with a son; a wife never switches roles with her husband; an older brother never switches roles with his younger brother. A teacher never switches roles with his student; the emperor never switches roles with his subjects (barring a revolution in which case he is killed). Renember this the ancient poetic?

"Con vua thì lại làm vua,
Con sãi ở chùa lại quét lá đa
Khi nào dân nổi can qua
Con vua thất thế lại quét chùa"



Confucius view people generally good and they just need role model as oppose Legalism which mean people can potentially become bad and need adequate punishment.

.

The four social groups or class structures of the society are the scholar-gentry, the peasants, the artisans and craftsmen and finally the merchants. The scholar-gentry were deemed fit to rule because of their education. The peasants, the majority of the people, had second place and were given the dignity of work; this supposedly was to compensate for the fact that they had no real power. The artisans (3rd place) were allowed artistic expression. Merchants were given the lowest class because they went for profit (a despicable factor for Confucianists). It appraised agriculture and looked down business, techniques, trade and later including industry. This ideology had positive effect in the ancient time, but it stood way for the development of business, industry in the modern time. Agriculture society is backed by the Confucius theory and mechanism, it formed a firm facade to deny any change of trade and industry that they cannot develop despite their potentials, therefore Confucius is against the development of society.

If you look a bit closer throughout history, the ideas of four social groups was impose really heavy on VN under most dynasty while five relationship was not, woman are not bound to submit to their son or husband but able to owned property. In Le dynasty it was based more on Legalism. It went opposite direction during Early Nguyen dynasty under period of 9 lord rule with expansion to Southern Vietnam. And no need for Late Nguyen dynasty, emperor commit fully to Confucius and ignore the advice from forward thinking scholar and educated Vietnamese, did you see consequence we pay centuary later? Confucius got their role on building strong and legal government state and enforce national identity too but it drawback in modern society is enormous, you can just see that most Sinic countries even China is not maintain all principle of his theory?

Confucius highly appreciated knowledge in education and training. But knowledge was taught and learnt mechanically, it favored literature and looked down on techniques. Confucius restricts innovation. Self learning of Confucius means focusing mainly on ethic, less on technology; learning is to become an official or a teacher, not a worker or for innovation. The examination of Confucius is to check remembering classics rather than sciences or nature... The bad effect of Confucius is still a great barrier for Vietnam education and training today.

In my view, Confucius also take share of corruption issue in nowaday Vietnam too. Confucius appreciates kindness and respect in handling society. However, in reality Confucius changes what are called kindness, respect into unreasonable ranking and privilege. An official is supposed to be the master of all citizens, he is given a super power. The king represented the God, he was thought to be the son of the God, and consequently he had the supreme power. The society is classified into ranks, such as humble citizens and noble men, the upper and lower people. The king and mandarins were thought to take care of citizens as their children, but in fact it was reverse. Throughout history, Confucius encouraged to administrate society upon benefits of officials rather than respect, and never on law. The ruling and administrating society of Confucius attaching three core relations, five permanent qualities, three masters must obey, four classics, nominee, ... has lasted and merged hundred years in the system of education and administration, it is the barrier for the development of the society. The system of government building on the ideology of Confucius is in essence against any internal change, cause of it rigidness, lack room to maneuver, and check and balance force, it resists innovation or the development of the system etc. The stems of red tape, bureau, subjective, undemocratic, inhumane ways of administrating society is various and sometimes hard to realize. The saying absolute power come with absolute corruption true in this case.

And in case South Western Vietnam the result of late Nguyen Dynasty delicate to Confucius ideas of relationship can be seen nowaday too, do you notice the submission rule for woman to their husband in South Western( miền tây) which is quite infamous nowaday and make them desparate for change and help and trigger human trafficking?

So just pick some good aspect of Confucius not restore it

The OECD ranking was on math and science, not overal education, it based on TIMSS and PISA test. While most Asia countries top the list, it need to noted that it focus only to those subject and social skill and well-being and critical thinking are not tested. Many students in Asia country lack social skill and communication skills compare to their Western counterpart which can explain for lack of confidence in many students and it can build stress and pressure among pupil too. I don't want our education system copy the S.Korean education system of 12 hours schooling and cram extra class afterward.

@Carlosa
Problem with VN govt is that they are not strictly applied budgetting system and let public check it, they spend without check and balance from the public to prove responsible and credibility and this is main reason for our country wide spread small scale corruption and many ineffective project. Lack of finance is only one factor
 
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Yes, as the moment, Chinese seems to behave quite rude abroad, whereever they are. But it is the result of rapid industrilalization and getting rich, not a cultural problem. The nouveau riches always behave like that, in the East and the West alike.

American tourists used to be stereotyped as such.
 
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More exports join “one-billion USD” club
giatangsothanhviencaulacbocacmathangxuatkhautyusd1464706316.jpg


– The country’s “one-billion USD” club, which comprises exports with turnover of more than 1 billion USD, has been expanded after admitting an additional 12 exports as its members in the first five months of the year.

Mobile phones and spare parts took the lead in export revenue with 14.44 billion USD, which made up 21.3 percent of the nation’s export turnover during the period. Last year, they became the first commodity to surpass export revenue of 30 billion USD. Meanwhile, it is likely for the country to rake in more than 36 billion USD from shipping mobile phones and spare parts abroad in 2016.

Regarding its consumption markets, the United Arab Emirate (UAE) was the largest purchaser with 1.5 trillion USD, followed by the US (1.47 trillion USD), the Republic of Korea (810 million USD) and the UK (637 million USD).

Garment and textile products were also listed in the club with 8.6 billion USD in export revenue. The export revenue in the five month period in 2016 recorded a year-on-year increase of 6.1 percent and is expected to exceed 24.5 billion USD for the whole year.

Major export markets of this commodity were the US, Japan, the RoK and Spain.

Other member of the club was computers and spare parts, which had an export revenue of 6.34 billion USD in the first five months of this year, an increase of 5.4 percent compared to the same period in 2015. Export revenue reaching over 100 million USD was seen in ten markets, including China (854 million USD), the US (820 million USD) and the Netherlands (539 million USD).

Footwear also secured a place in the one-billion USD club with 4.96 billion USD earned in foreign markets during the five month period. The largest consumption markets were the US (1.33 billion USD), China (253 million USD) and Japan (226 million USD). Total export revenue of the commodity is forecast at 12.7 billion USD in 2016.

Machines, equipment and tools, aquaculture products, coffee, accessories (handbags, purses, suitcases and umbrellas), rice and vegetables were also present in the club with export value of 3.63 billion USD, 2.54 billion USD, 2.45 billion USD, 1.33 billion USD, 1.13 billion USD and 1.01 billion USD, respectively.-VNA
 
@AViet, @William Hung, @BoQ77, @Carlosa
@Carlosa
Problem with VN govt is that they are not strictly applied budgetting system and let public check it, they spend without check and balance from the public to prove responsible and credibility and this is main reason for our country wide spread small scale corruption and many ineffective project. Lack of finance is only one factor

Yes, I know, it goes back to what I said the other day when I said that that issue is a cancer that prevents vietnamese and Vietnam to reach their potential. Anybody that lives in Vietnam for some time knows that, its very easy to see, affects everything and there is no solution on sight because the system doesn't have checks and balances, people are powerless to do anything.

India, a country which cannot produce a fighter after more than 30 years, or even a decent car by its own, or standard rifle for its army, one of the richest in Asia in 1940s and now poorer than Laos, and you keep saying about its quality reseach.

Do not speak about some nich products. In that case, Vietnam has lead many areas too, especially in medical treatment.

Do you mean its space program? .

The space program, ballistic missiles, etc, etc, there are a number of areas where they are really up there. You can call them niche areas, but very few countries can do that.

Lets not confuse their technical capability with their bureaucracy and endless requirement changes, that's what made the Tejas program last 30 years and it did about the same to many other programs, India's bureaucracy is just about terrible. On top of that, they are so much into doing things in India that they are overconfident in their domestic capabilities and that ends up causing endless delays.

Tejas is going to ended up being a decent fighter and most of the tech is quite good, the engine is were they failed, the chinese are not doing very well when it comes to engines either.

Their naval program is getting up to speed now, they solved the issues and the ships are coming out, just look at the Kolkata destroyer. They won the competition for the frigate for PH also.
 
@Carlosa,

If you do not like Vietnam and its government, why do you come here. Come back to your collapsing country (I guess it is Spain). We do not need you here. Do not talk about the problem you do not know clearly and repeat propaganda from Western media. .

Can you read Vietnamese, its laws and regulations? Can you understand who to apply for a certificate? Can you understand what government office you need to go if you want to have something? Have you ever been harassed or asked for bribe by a government staff, or all you know are "I heard that from cafeteria with my friends or read from Internet". Have you ever been to Hanoi to work with a government office, and which one? Do you understand the history of Vietnam?

The real life is totally different, sometimes even 100% opposite to what you know from your friends and Internet.

Do not say the nonsense like "Anybody that lives in Vietnam for some time knows that, its very easy to see, affects everything and there is no solution on sight because the system doesn't have checks and balances, people are powerless to do anything". Even if you work in a large company for 20 years, you may not know that tomorrow, it will file for bankruptcy.
 
I agree with you brother.

But I’m not sure if I should comment in this thread, I find AViet a very funny and strange member and not sure if I should take him seriously. Nearly all of his posts are about praising the confucian/east asian/chinese culture and attacking western or other cultures, even when the topic is only about military equipments, geopolitics, education, etc. This thread is only for VN’s economy but he still managed to use it to praise chinese/confucian culture haha.

Its not strange if a Vietnamese praise confucian/chinese culture because I have seen Viets who are like that. Its also not strange if a Vietnamese hate the west because I have seen Viets who hate the west. But I find it strange for this AViet member to also attack India like the Chinese do and talk like VN is better than India. For example, VN has absolutely nothing on the same level as Indian Institutes of Technology, not even close! Our scientific output (e.g. science academic publishing or patents registering) is nowhere near the level of India, ours is low by world’s average. Yet AViet still claimed that our domestic PhDs and education is one of the best in the world. So I’m not sure if I should take him seriously.
@AViet once claimed Vietnamese deserve Chinese contempt and racism here on pdf because Chinese are economically better off than Vietnamese.

Lets not confuse their technical capability with their bureaucracy and endless requirement changes, that's what made the Tejas program last 30 years and it did about the same to many other programs, India's bureaucracy is just about terrible. On top of that, they are so much into doing things in India that they are overconfident in their domestic capabilities and that ends up causing endless delays.

Tejas is going to ended up being a decent fighter and most of the tech is quite good, the engine is were they failed, the chinese are not doing very well when it comes to engines either.

Their naval program is getting up to speed now, they solved the issues and the ships are coming out, just look at the Kolkata destroyer. They won the competition for the frigate for PH also.

Just a correction here, unlike what is popularly believed that bureaucracy being a cause for delay

Delay in LCA was more due to funding and and sanctions imposed by West because of Indian nuclear test

While LCA was started on paper as early as 1983, its only in the mid 1990s funding for it started.

India was in economic crisis in 1991 and prior to that had an economy 1/10 the size of current Indian economy.

Only mid 1990s India could even afford to pay for military equipment $s unlike prior when India used to barter agrarian products like Sugarcane for defence products etc.

Also, Indian scientists who were working in collaboration with Lockheed martin were asked to walk out and not even allowed to take back their own research work immediately after Indian nuclear tests.

Finally, developing modern aircrafts are by no means easy task or cheap project , unless you rip off existing designs

Even well funded and experienced French aviation major like Dassault took over 2 decades to build Rafale
 
@Carlosa,

If you do not like Vietnam and its government, why do you come here. Come back to your collapsing country (I guess it is Spain). We do not need you here. Do not talk about the problem you do not know clearly and repeat propaganda from Western media. .

Can you read Vietnamese, its laws and regulations? Can you understand who to apply for a certificate? Can you understand what government office you need to go if you want to have something? Have you ever been harassed or asked for bribe by a government staff, or all you know are "I heard that from cafeteria with my friends or read from Internet". Have you ever been to Hanoi to work with a government office, and which one? Do you understand the history of Vietnam?

The real life is totally different, sometimes even 100% opposite to what you know from your friends and Internet.

Do not say the nonsense like "Anybody that lives in Vietnam for some time knows that, its very easy to see, affects everything and there is no solution on sight because the system doesn't have checks and balances, people are powerless to do anything". Even if you work in a large company for 20 years, you may not know that tomorrow, it will file for bankruptcy.

Sorry to tell you, but I have the same right to be in Vietnam and give my opinions same as the Vietnamese living in Spain, whether you like it or not.

And in terms of not knowing this and that, I only need to know what the Vietnamese people around me say all the time and what I hear from nearly everybody (except those that are part of the system and benefit from the corruption) is that they are sick and tired of the government corruption and bureaucratic nonsense. I also read several Vietnamese newspapers to have a feel for things. Even the Vietnamese newspapers report (even that they are under government censorship) all the time about the widespread corruption. What did the business associations of Vietnam keep saying all the time about what their main issue is about doing business in Vietnam? CORRUPTION

And you pretend to lecture us and tell us that this is not so? Do you live in Vietnam? Or are you blind? Or you are part of the system? Which one is it, because you have to be in one of those 3 situations to be so ignorant about what's going in Vietnam. If you talk like this to Vietnamese, they'll laugh at you.

@AViet once claimed Vietnamese deserve Chinese contempt and racism here on pdf because Chinese are economically better off than Vietnamese.



Just a correction here, unlike what is popularly believed that bureaucracy being a cause for delay

Delay in LCA was more due to funding and and sanctions imposed by West because of Indian nuclear test

While LCA was started on paper as early as 1983, its only in the mid 1990s funding for it started.

India was in economic crisis in 1991 and prior to that had an economy 1/10 the size of current Indian economy.

Only mid 1990s India could even afford to pay for military equipment $s unlike prior when India used to barter agrarian products like Sugarcane for defence products etc.

Also, Indian scientists who were working in collaboration with Lockheed martin were asked to walk out and not even allowed to take back their own research work immediately after Indian nuclear tests.

Finally, developing modern aircrafts are by no means easy task or cheap project , unless you rip off existing designs

Even well funded and experienced French aviation major like Dassault took over 2 decades to build Rafale

Thank you for the information, good info, its good to know.

@AViet once claimed Vietnamese deserve Chinese contempt and racism here on pdf because Chinese are economically better off than Vietnamese.

This guy has some lose screws in his head.
 
Sorry to tell you, but I have the same right to be in Vietnam and give my opinions same as the Vietnamese living in Spain, whether you like it or not.

And in terms of not knowing this and that, I only need to know what the Vietnamese people around me say all the time and what I hear from nearly everybody (except those that are part of the system and benefit from the corruption) is that they are sick and tired of the government corruption and bureaucratic nonsense. I also read several Vietnamese newspapers to have a feel for things. Even the Vietnamese newspapers report (even that they are under government censorship) all the time about the widespread corruption. What did the business associations of Vietnam keep saying all the time about what their main issue is about doing business in Vietnam? CORRUPTION

And you pretend to lecture us and tell us that this is not so? Do you live in Vietnam? Or are you blind? Or you are part of the system? Which one is it, because you have to be in one of those 3 situations to be so ignorant about what's going in Vietnam. If you talk like this to Vietnamese, they'll laugh at you.



Thank you for the information, good info, its good to know.



This guy has some lose screws in his head.
u r right, i agree with your opinion about vietnam now, i have lived in vietnam for 25 years old, my friend wants to work for a local bank, he needs to give 300 millions vietnam dong ( 15k usd) (bribery). a different example with a my friend who hope to become a teacher. Money, relationship, beauty..describes for status's vietnam now. talent,uhm not too inportant to apply for a state-company.
 
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u r right, i agree with your opinion about vietnam now, i have lived in vietnam for 25 years old, my friend wants to work for a local bank, he needs to give 300 millions vietnam dong ( 15k usd) (bribery). a different example with a my friend who hope to become a teacher. Money, relationship, beauty..describes for status's vietnam now. talent,uhm not too inportant to apply for a state-company.

Absolutely, its usually like that with everything related to the government.

I know one Vietnamese that told me that someone that he knows paid a bribe to enter the military and he was admitted even that he was totally unqualified. Same thing happens in the chinese military.
 
Absolutely, its usually like that with everything related to the government.

I know one Vietnamese that told me that someone that he knows paid a bribe to enter the military and he was admitted even that he was totally unqualified. Same thing happens in the chinese military.
i studied in banking acedemy of vietnam 4 years ago, i cant find a job in the bank if i dont pay a bribe, because my parents r famer and havent a relationship with leader or manager from any bank, in banking acedemy of vietnam, status is worse than, haha, get a good point( điểm số cao) need to give money for teacher, prof..and i know many univesity in vietnam similar that
 
i studied in banking acedemy of vietnam 4 years ago, i cant find a job in the bank if i dont pay a bribe, because my parents r famer and havent a relationship with leader or manager from any bank, in banking acedemy of vietnam, status is worse than, haha, get a good point( điểm số cao) need to give money for teacher, prof..and i know many univesity in vietnam similar that

That's why I said that it is a cancer. And its not getting better, Its getting worst.
 
Up, Up, Up: Vietnam’s Growth Over 20 Years Make it Asia’s Shining Star
By Michael Tatarski on June 6, 2016



Photo: Courtesy Wikimedia contributor Hieucd
The Trung Hoa Area of Hanoi, sometimes referred to as ‘Koreatown’ due to its significant Korean population, glows gold at night from street lighting, but also reflecting the golden eriod of growth Vietnam has enjoyed over the last 20 years.


Once war-torn and poverty-stricken, Southeast Asia is one of the world’s main growth spots. While developed economies stagger along, constantly on the brink of setting off another global recession, countries such as Myanmar and Indonesia are enjoying sustained economic expansion. Possibly the brightest economic star within the region is Vietnam, whose growing clout has been highlighted by a visit by US President Barack Obama and its inclusion in the Trans-Pacific Partnership (TPP), a major trade deal among Pacific Rim countries.

The past 20 years have been particularly fruitful for Vietnam, and this period was recently analysed by TNS Vietnam, the local branch of the global market research firm. TNS Vietnam just celebrated its 20th anniversary, and its report, 20 years of growth in Vietnam illustrates the dramatic changes economic growth has wrought.



Growth in Earnings

Chart: Courtesy TNS Global, Vietnam
Vietnam GDP Growth over the last 20 years is 50 per cent above the global average.



The most commonly used indicator of economic growth is a country’s Gross Domestic Product (GDP). Vietnam’s GDP growth remains among the highest in the world, at roughly 6 per cent per year, compared to the global average of less than 4 per cent. This is fantastic news, but it can be difficult to get a sense of how such growth impacts people in their daily lives.

For that, a more useful figure is GDP per capita, or what each person’s share of the national economy is. Vietnam’s growth in this regard has been remarkable. In 1996 the per capita income in US dollars was just under 1,600, according to the World Bank and the International Monetary Fund. Today, that figure sits just under USD 6,400, a fourfold increase.

Taylor Nelson Sofres’ (TNS’) VietCycle and Consumer Pulse reports meanwhile, show that workers in Vietnam’s biggest cities are earning about five times more than they did in 1999. TNS figures show that average monthly household income at the end of the 20th century was VND 3.6 million (US$ 160 in 2016 terms), while the number reached VND 17.2 million ($ 766) this year.



Chart: Courtesy TNS Global, Vietnam
Workers in Vietnam’s biggest cities are earning about five times more than they did in 1999



Such growth has brought about dramatic shifts in consumption within Vietnam.

According to TNS, in 1999 motorbikes, personal computers and washing machines were the products which people most aspired to. Today, cars, smart TVs and air conditioners are the most sough-after items, and even these are within the reach of more consumers than ever, as evidenced by the ongoing auto sales boom in Hanoi and Ho Chi Minh City.

The report also notes that travel, both international and domestic, is more accessible due to both rising income and the appearance of budget airlines, in addition to improved road networks. With Vietnam’s growth outlook for 2016 looking positive, such trends should only become more pronounced.



Confidence And Expectations

Chart: Courtesy TNS Global, Vietnam
Consumer confidence in Vietnam continues to climb



TNS has also tracked consumer confidence in recent years through their Consumer Confidence Index (CCI). This figure is based on Vietnamese expectations for the value of the Vietnamese dong, employment, the economy, and personal standard of living. In Q2 2016 the index hit 91, the highest ever recorded by TNS.

Ashish Kanchan, managing director of TNS Vietnam, notes that it can be difficult to maintain high consumer confidence after years of growth. This is best illustrated by the fact that in 1999, 80 per cent of respondents said they expected their personal standard of living to improve in the next 12 months, while the figure was 49 per cent this year.

This has more to do with a realistic view of economics than any problems with growth, though. “(Consumers) are also realizing that even though the country continues to grow rapidly, improvements to daily life will become more gradual than in the early days,” Kanchan said in the report.

“Still, 96 per cent of Vietnamese expect stability or improvement in their standard of living.” This is a remarkably optimistic outlook, especially amid regular headlines warning of the impending doom of traditional economic stalwarts such as the European Union.

The expectations of what role members of society should fill have also shifted during this period of impressive growth.

In 1999 TNS found that 78 per cent of consumers believed women should focus on traditional roles, while the firm’s latest Consumer Pulse report placed that figure at 51 per cent. This is in line with the increasing confidence with which young Vietnamese women are entering the workforce.

Vietnam’s economic growth over the past two decades has brought major change to nearly every aspect of society, and the country stands as one of the best examples of how growth can lift large segments of the population out of poverty in a relatively short time period.

To be sure, challenges remain, especially in the form of national debt and bloated state-owned enterprises, and a global economic downturn would hurt the export-driven economy, but for now Vietnam’s future looks just as bright as its recent past.




Read more: Up, Up, Up: Vietnam's Growth Over 20 Years Make it Asia's Shining Star http://aecnewstoday.com/2016/up-up-...ars-make-it-asias-shining-star/#ixzz4AxmdCVaG
 
Formosa Plastics Group confirms Vietnam steel firm operations postponed
CNA
June 16, 2016

http://www.chinapost.com.tw/taiwan-business/2016/06/16/469512/Formosa-Plastics.htm

TAIPEI--The Formosa Plastics Group (FPG, 台塑集團), one of Taiwan's leading conglomerates, confirmed Wednesday that a scheduled operating date for its steel mill in Vietnam has been postponed and said that no new schedule for the start of operations has been set.

Chang Fu-ning, vice president of Formosa Ha Tinh Steel Corp., said that the No. 1 furnace of the steel complex, which is located in the Vung Ang Economic Zone in Ha Tinh Province, central Vietnam, will not become operational on June 25 as scheduled.

The confirmation came after a Taiwanese media report that FPG has been forced to postpone the start of operations of the furnace in the steel mill, as the Vietnamese authorities have demanded that the group pay US$70 million in taxes it has been accused of having failed to pay.

In addition, the media report said that the delay was also because the Vietnamese authorities needed more time to process an application filed by FPG to kick off production.

Chang said that FPG has communicated with Vietnam's Ministry of Finance over the accusation of failure to pay tax. The media report cited sources in Vietnam as saying that the move to chase FPG for the tax could have untold political factors.

A Blow to Government's 'New Southbound Policy'

The sources said that the postponement could deal a blow to the government's "New Southbound Policy," which is aimed at building closer ties with more business partners in the region, including an ambition to turn the Association of Southeast Asian Nations (ASEAN) into an extension of Taiwan's domestic market.

The sources said that the postponement of operations has caught many investors operating in Vietnam off-guard, and hoping that the Taiwan government will step in to resolve the issue.

The US$10 billion Formosa Ha Tinh Steel is the first steel furnace investment project by Taiwan in an overseas market.

Currently, FPG's subsidiaries, such as Formosa Plastics Corp. (台塑), Nan Ya Plastics Corp. (南亞塑), Formosa Chemicals & Fiber Corp. (台塑化纖) and Formosa Petrochemical Corp., hold a 70-percent stake in the Vietnamese project. China Steel Corp. (中鋼), the largest steel maker in Taiwan, and Japan's JFE Steel Corp., own a 20 percent and a 5 percent stake, respectively. Chang said that the management of the Ha Tinh steel mill has been in discussions to iron out a strategy to deal with the delay.

Anti-mainland Protest

The FPG steel complex was one of the targets of anti-Chinese protests staged by Vietnamese workers in May 2014 over China's deployment of a US$1 billion oilrig in disputed waters in the South China Sea.
 
i studied in banking acedemy of vietnam 4 years ago, i cant find a job in the bank if i dont pay a bribe, because my parents r famer and havent a relationship with leader or manager from any bank, in banking acedemy of vietnam, status is worse than, haha, get a good point( điểm số cao) need to give money for teacher, prof..and i know many univesity in vietnam similar that

I must tell you, it is guy like you made this system work, hahaha.
I never in my life pay the bribery to have a job, my wife now in banking system never paid a single cent for any of her job.

Promote the right thing and fighting the bad, my friends.
Dont pay.

Corruption existed in nearly most of country in a specific period, no matter you like it or not, South Korea still suffer it.
The gap between rich and poor in Vietnam is very small several year after war. It is increasing rapidly, that is bad.
 
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