First Minister's Visit To Vietnam – 4-6 April 2005

My visit to Vietnam from 4th to 6th April albeit very short gave me an opportunity to meet representatives of business and government in both Hanoi and Ho Chi Minh City.

The first engagement involved a visit to the Nam Trieu Shipyard in Hai Phong to see at the first hand the development of the project between Cardiff company Graig Shipping and the Vietnamese shipbuilding company Vinashin.  This US$400 million contract is to build 15 new ships and is a major partnership between a Welsh company and Vietnam’s national shipbuilding organisation.  Graig have ordered ships of their own mid-sized double-hulled dry bulk carrier design on their own behalf and on other ship owners behalf.  The size of the order enables what is in effect a shipbuilding production line to be set down.  Graig have representatives on site to project manage the whole project.

A few weeks ago I had the pleasure of meeting Dr Nguyen Van An, President of the National Assembly of Vietnam and his party during his visit to Wales.  While I was in Vietnam I took the opportunity to pay a courtesy call on Dr Van An.  Other meetings in Hanoi were held with the Vice Minister for Trade, the Deputy Prime Minister and the Minister for Planning & Investment.   In addition I had a lengthy discussion with the Minister for Health particularly about the implications of possible mutations of the current bird flu virus, which might become the originating virus for the flu pandemic, feared by epidemiologists the world over.  

In Ho Chi Minh City I had a short meeting with some Vietnamese students who had studied in Wales and then at the offices of the British Council I participated in a question and answer session with young people who were interested in hearing about Wales, learning the English language.

Other meetings were with business and business support organisations.  The business meetings involved discussions with GlaxoSmithKline about pharmaceutical products that are marketed in Vietnam.  This was followed by a meeting with Atlas Industries which employs architects and structural engineers, designing schools and hospitals plans mainly for PFI projects in the UK on an outsourced basis.  The Future Inns Hotel in Cardiff Bay was also designed in this way.

In addition nine Welsh companies took part in a trade mission across a whole range of sectors including aviation, ultrasound equipment, business consultancy, management training, risk assessment in chemical industries, security systems and IT, producers of specialist honey and the promotion of Welsh products and services.  Early reports from the mission representatives have been extremely positive. The Mission delegates were impressed with the rate of growth in Vietnam and the extent of business opportunities available. Very early estimates indicate that business opportunities in excess of £2.5 million have been identified.  

All my meetings were positive and Vietnam is clearly a country of 82 million, half of them under 25, that is moving forward with a growing economy.  In terms of openness to business and trade opportunities, Vietnam is probably about 10 years behind China in the reform agenda but it is now moving quickly in that direction.

The unified country’s capital has reverted to the old French colonial capital of Hanoi with a population of about 5 million.  The business capital is undoubtedly Hot Chi Minh City, formerly Saigon, with a population of about 7 million.

The key aspect of the Wales and Vietnam trade and political relationship is that we are getting in now, while the country is at the ‘take-off’ phase of its economy and society.  Relationships made now will pay off hugely in years to come.