NEWS & EVENTS

Promote the development of mechanical engineering

26/03/2020
The Government is determined to promote the development of the mechanical engineering industry with a 'breath of life' resolution, with key support mechanisms such as low-interest credit, space, market development, training human resources.
Prime Minister Nguyen Xuan Phuc emphasized that at the Conference on solutions to promote the development of Vietnam's mechanical engineering industry on 24 September. Affirming that this is a platform manufacturing industry, which once had a "boom" with many large-scale enterprises, but the Prime Minister acknowledged that the mechanical engineering industry has not yet been taken seriously, supporting policies for development are still slow to innovate. , both input and output policy thinking ...

Not paid enough attention

The Prime Minister emphasized the inadequacies of the current mechanical engineering industry, such as few leading enterprises, lacking and weak manpower, low capacity, high production costs, market organization not commensurate with market demand. of 100 million people ...

"Why don't localities pay proper attention to mechanical engineering?" - The Prime Minister questioned and affirmed that the Government and the Prime Minister decided to fight to introduce mechanisms and policies to promote the development of mechanical engineering.

Mr. Tran Tuan Anh - Minister of Industry and Trade - also said that there are about 25,000 mechanical enterprises in the whole country, accounting for nearly 30% of the total number of processing and manufacturing enterprises. However, there are very few domestic brands, mainly small-scale, low competitiveness, unable to master complete core technology to meet more than 32% of domestic demand.

The mechanical engineering industry of Vietnam has strengths in three sub-sectors including motorcycles and motorbike spare parts, household mechanics and tools, automobiles and auto parts, accounting for nearly 70% of the total industrial production value. of national engineering. However, the value of net revenue of mechanical engineering enterprises is quite low and tends to decrease over the years, reaching just over 18%.

According to Dr. Nguyen Chi Sang - vice president, general secretary of Vietnam Association of Mechanical Industry (VAMI), developing mechanical industry will bring profits to several tens of billions of dollars in the next one or two dozen years. is when investing in industrial plants, big projects of the country.

For example, in agriculture, although the market capacity for machinery and equipment is only about US $ 500 million / year, the added value for agricultural products and foodstuffs due to mechanization may reach US $ 5 billion / year.

However, according to Mr. Sang, the Vietnamese mechanical engineering industry has not yet mastered the design of machines, equipment or industrial plants, so it has not been able to design and manufacture finished products. Low labor productivity, unstable product quality, high product costs, businesses are unable to participate in the global supply chain ...

Need more support policies

Mr. Nguyen The Ha - Director of Bui Van Ngo Mechanical Co., Ltd - said that Vietnam's agricultural production encountered many difficulties due to large post-harvest losses, resulting in reduced values ​​and unsatisfactory quality. Therefore, Vietnam's agriculture needs to increase production mechanization and modernize processing industry.

However, according to Mr. Ha, so far not many policies to encourage mechanical engineering development. For example, science and technology budget (2% regulation) is still low, mainly to maintain the apparatus while research projects overlap and lack practicality. The land policy is unreasonable ...

Mr. Le Van Tuan - General Director of Lilama - said that mechanical products are under intense import competition, so it is difficult to expand the market due to the lack of information and competitiveness of domestic enterprises. strong enough. In fact, at home, mechanical enterprises are also difficult to participate in investment projects in the steel industry, chemicals, energy, oil and gas ...

Therefore, according to Mr. Tuan, it is necessary to clearly stipulate and supervise strict and strict implementation of investment projects in Vietnam, regardless of capital from the state budget, private capital, FDI. If domestic mechanical manufacturing parts can be manufactured, production is forced to be done by domestic mechanical enterprises. In addition, it is necessary to strictly control entry labor, only for highly qualified workers to work in Vietnam.

According to Mr. Tran Ba ​​Duong - Chairman of Truong Hai Automobile Joint Stock Company, the import tax policy is very inadequate, that is, the import tax rates for raw materials and supplies are higher than the import tax rates for components and accessories. finished products, leading to domestically unavailable products that cannot compete with imported products.

Therefore, Mr. Duong requested the Government and ministries and branches to consider exempting import tax on domestically unavailable raw materials and supplies to reduce input costs for automobile and mechanical enterprises, excluding excise tax on domestically produced auto parts and components, strengthening links between domestic and foreign enterprises, improving the quality of human resources ...


 

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