AMERICAN COMPANIES EYE INFRASTRUCTURE PROJECTS IN VIETNAM

By Manik Mehta

WASHINGTON, June 10 (Bernama) -- Vietnam is seeking cooperation with
American companies to build and modernise its infrastructure.

Vietnam is sometimes called the "new China", as it is now in the same
take-off stage in which China was in, in the early 1990s before it became a
global economic powerhouse,

As an increasingly important member country of Asean, Vietnam has
become home to a steady migration of manufacturing operations from many
countries which no longer find China a low-cost site.

But Vietnam has also emerged as an attractive market, inherent with good
business potential, as many US companies are discovering.

Indeed, US companies are eyeing infrastructure projects in a country that is
keen to push ahead its development.

A delegation of major US companies was in Vietnam this week to iron out
partnerships with local government agencies with a view to bag infrastructure
projects.

The delegation visited Vietnam under the aegis of the Washington based
US-Asean Business Council (USABC), a US business group which promotes trade,
business and investments with the Asean region.

It has also also played host to many delegations visiting the United States
from that region.

According to USABC sources, the delegation's visit marked a continuation of
talks started during the visit of Vietnamese Prime Minister Nguyen Tan Dung to
the United
States in April.

Then, the Vietnamese side, showed interest in cooperation in the
infrastructure sector.

The USABC delegation consisted of senior executives representing 22 major
companies and was co-led by the USABC President Alexander Feldman, and Stuart
Dean of General Electric along with Kathryn McGill of ConocoPhillips.

The last two are also Chairman and Vice Chairman respectively of the USABC's
Vietnam Committee.

The USABC said that its annual business mission comes at an important time
for Vietnam, which is putting together its socio-economic plan for the next 10
years.

The impressive growth rates posted by Vietnam have not gone unnoticed by US
companies, many of whom have also suffered because of the economic crisis in the
United States, that had its worst ever recession since the Great Depression.

"Vietnam has averaged over 7 per cent economic growth for the past seven
years, and improving its infrastructure will help sustain this impressive
record, " said USABC President Feldman.

"Vietnam's ambitious plans for future development require high-quality
foreign investors to succeed, making US companies ideal partners in building
Vietnam for the future," he added.

According to Dean, as Vietnam looks to become more export-driven,
opportunities will expand significantly for companies to help upgrade the
country's existing network of ports, railways, and other transportation
facilities.

"US companies are already laying the groundwork to help Vietnam take the
next steps in its development. It included providing technical training and
skills to help Vietnam develop the human resources needed to compete in the
global marketplace," he disclosed.

"An essential component of infrastructure for any nation is its information
and communications technology capability," added Joseph Alhadeff of Oracle
corporation, Co-Chair of the USABC's ICT working group.

"In addition to building Vietnam's physical infrastructure, we are working
to upgrade its broadband technology, build capacity for expanded ICT
implementation, and supporting education projects throughout the country," he
explained.

The USABC maintains that Vietnam, which chairs the ASEAN group this year,
has an important role to play in pushing toward a cohesive regional
architecture.

"Vietnam has an important opportunity to keep regional goals for economic
integration on track.

"We've been very impressed by the Vietnamese government's plans to advance
the ASEAN Single Window and e-customs plans," Feldman said.

The USABC delegation also held discussions in Ho Chi-Minh City, dedicated to
expanding infrastructure needs of Southeast Asia.
-- BERNAMA