Vietnam State Capital Management Committee delegation meets with Business Sweden

As part of their European mission, on September 30, the delegation from the State Capital Management Committee of Vietnam, led by Vice Chairman Nguyễn Ngọc Cảnh, held a working session with the Business Sweden. The delegation was received by Ms. Emma Broms, Director for South and Southeast Asia at the Business Sweden.

Also present was Ms. Nguyễn Thị Hoàng Thúy, the Commercial Counselor of Vietnam in Sweden.

The Vietnamese delegation included representatives from the Departments of Technology and Infrastructure, Agriculture, and Industry, as well as leaders from key state-owned enterprises such as Airports Corporation of Vietnam (ACV), Vietnam Airlines, Vietnam Maritime Corporation (VIMC), and MobiFone.

From the Swedish side, attendees included representatives from the Swedish Export Credit Agency (EKN), Swedfund, the Swedish Industry Council, ADB Group, LFV Aviation Consulting, and Ericsson.

Ms. Emma Broms, Director for South and Southeast Asia, highlighted the strong diplomatic relationship between Vietnam and Sweden, established over 55 years, and their fruitful economic cooperation. Swedish companies have been actively contributing to Vietnam’s industrial, technological, and sustainable development sectors. This partnership has fostered not only trade and investment but also the exchange of knowledge and innovation, reflected in the steady growth of bilateral trade and investment.

In 2023, the number of Swedish foreign direct investment (FDI) projects in Vietnam increased, with six new investment licenses and 10 additional projects, contributing further capital and equity purchases. Green industry companies from Sweden are particularly exploring investment opportunities in Vietnam, reinforcing the dynamic relationship between the two nations.

Vice Chairman Nguyễn Ngọc Cảnh acknowledged Sweden as the first Western nation to establish diplomatic relations with Vietnam on January 11, 1969. Over the past 55 years, the two countries have developed a deep, sustainable bilateral relationship, achieving notable successes in various areas such as diplomacy, economics, culture, and people-to-people exchanges.

In terms of trade, bilateral import-export turnover reached $1.288 billion in 2023, with $946.1 million in exports and $341.9 million in imports. Despite Sweden’s prominence in high-tech industries such as electronics, appliances, and IT, the country still imports many essential consumer goods such as clothing, footwear, and coffee, which are among Vietnam’s strong exports.

Regarding investment, Sweden ranks 29th out of 143 countries and territories investing in Vietnam, with 109 active projects and over $733 million in total investment. More than 70 Swedish companies have offices in Vietnam and continue expanding their investments in IT, telecommunications, power, machinery, automotive, household electronics, packaging, and retail industries.

Sweden is also one of Vietnam’s top 10 trading partners within the European Union, and the EU-Vietnam Free Trade Agreement (EVFTA), effective since 2020, has further strengthened trade relations. Despite challenges posed by the COVID-19 pandemic, trade and investment between the two nations remained uninterrupted and continued to thrive.

Speaking on the importance of bilateral economic cooperation, Vice Chairman Nguyễn Ngọc Cảnh emphasized the role of the Swedish Trade and Investment Council, a government body representing and facilitating Swedish companies’ overseas investments and trade activities. With nearly 50 offices and over 500 employees worldwide, the council has played a vital role in promoting trade and investment with Vietnamese enterprises in recent years.

As of 2023, Vietnam had 676 state-owned enterprises, including 478 wholly-owned by the government, with total assets of approximately $150 billion. These enterprises control significant resources in terms of capital, assets, and technology, making considerable contributions to the state budget. To improve the performance of state-owned enterprises and separate state management functions from ownership functions, the State Capital Management Committee was established by the Vietnamese government in 2018. It serves as the state’s ownership representative for 19 major corporations operating in 16 economic and technical sectors, including energy, telecommunications, transportation, and agriculture.

In 2023, the combined equity of these 19 corporations was approximately $53.45 billion, with total consolidated assets of around $112 billion. These corporations play a critical role in ensuring economic stability, national security, and the supply of essential goods and services, particularly in areas such as energy, coal, petroleum, and chemicals. Their total revenue in 2023 amounted to $51.62 billion, with a pre-tax profit of $2.42 billion and a contribution of $3.6 billion to the state budget.

“The delegation of the State Capital Management Committee, representing four enterprises in telecommunications, IT, aviation, and maritime sectors, is eager to explore collaboration opportunities with Swedish companies today. I believe that both sides have significant potential for cooperation and development, and I hope today’s meeting marks the beginning of unlocking this potential,” said Vice Chairman Nguyễn Ngọc Cảnh.

During the meeting, representatives from both Vietnamese and Swedish companies introduced their strengths and potential areas for cooperation, discussing various partnership possibilities. A dedicated discussion on aviation was also held between ACV, Vietnam Airlines, and Swedish counterparts to explore collaboration opportunities.