Exporters and Investors will have access to financial products, market knowledge and connections
OTTAWA, ON, March 28, 2024 -- A country on the move, Vietnam is quickly becoming the new Asian hub with rapid macro-economic growth and opportunity. To help Canadian exporters and investors take advantage of the vast potential within this market, Export Development Canada (EDC), Canada's export credit agency, announced today, during the Team Canada Trade Mission to Malaysia and Vietnam, it will be opening a new representation this fall in Ho Chi Minh City to ensure it can provide Canadian exporters and investors what they need to enter this fast-growing market. With significant capital available to deploy in the region, on-the-ground market intelligence, connections to the right people and availability of insurance products, EDC can help grow and protect Canadian businesses interested in expanding into this dynamic market.
"Vietnam is unique. It presents an opportunity for Canadian companies and investors to enter an economy with immense potential and EDC is a partner that can help," said Mairead Lavery, President and CEO, EDC. "Vietnam offers Canadian exporters a geographical advantage to enter other Indo-Pacific markets with ease while also providing companies a cost-competitive advantage in doing business. Combine that with a growing middle class and one of the fastest growing economies in the world, exporters and investors should be looking to this market as a significant opportunity for growth in the region. "
Often overlooked, Vietnam is located at the heart of the Indo-Pacific which makes it attractive for exporting and developing a company's hub. According to New World Wealth, Vietnam is positioned to see the sharpest spike in wealth growth in the world over the next decade. In addition, the Vietnamese government has committed to achieving carbon neutrality by 2050. This creates opportunity for investors and companies in a variety of sectors of Canadian strength including clean technology and renewables, agriculture, advanced manufacturing and infrastructure, to name a few.
With EDC's new representation, the team will work with in-market federal, provincial and non-governmental trade experts including members from the Canadian Trade Commissioner Service, the Canada Chamber of Commerce in Vietnam and the Canada-ASEAN Business Council, to help Canadian companies take advantage of these opportunities through all stages of export.
"I'm pleased to be in Vietnam this week as part of our Team Canada Trade Mission, building new partnerships between Canadian and Vietnamese companies," said Mary Ng, Minister of Export Promotion, International Trade and Economic Development. "Vietnam's rapid economic growth in the Indo-Pacific region positions the country as a promising hub for Canadian businesses. As Canada's largest trading partner in ASEAN and a key member of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), Vietnam offers favorable prospects for our exporters and investors. The new EDC representative office in Ho Chi Minh City will be a valuable resource for Canadian companies seeking to grow into the Indo-Pacific region."
Through a solutions-oriented, no-wrong door approach, EDC is committed to helping Canadian companies diversify into this market. EDC can provide companies with access to working capital, a full suite of credit insurance products, expertise and knowledge, and connections to companies in need of Canadian products and services. EDC customer CNC Industries identified Vietnam as a market with opportunity 10 years ago and has not looked back.
"CNC has worked with EDC for many years, and with the help of EDC's credit insurance, CNC has been able to successfully export into global markets including Vietnam," said Perry Gill, CEO, CNC Industries. "We looked to Vietnam over a decade ago and now it is becoming the backbone of our operations. We've realized this market has a lot to offer including it's easy and safe to do business, there is availability of highly skilled labour, English is becoming more prevalent, and technology is not a barrier to doing business. Combine that with its proximity to other Indo-Pacific countries and you've got the perfect hub for your operations."
With the growing need to support a low-carbon future, Vietnam announced a target to achieve net zero by 2050 during the COP26 World Leaders' Summit in 2021 and they reiterated this commitment in its National Climate Change Strategy. This is an important objective for the country and one that will require local and global support.
"With our globally recognized soil contamination solution, we've entered the Vietnam market knowing we can support their ESG goals and protect the health of their local communities," said Darryl Nelson, President, Nelson Environmental Remediation Ltd. "The citizens and government of Vietnam are ambitious about their growth and highly committed to building a bright economic future of wealth for their country. Moreover, they are eager to work with Westerners to do it. With EDC and Canada's trade team by our side, we know we'll meet the right people and create opportunities faster and with better results. EDC not only creates value, but they also protect our business and open doors we didn't know otherwise achievable. I always say make EDC as one of your first calls for support – you'll be happy you did."
This announcement marks the third representation opening in the Indo-Pacific in the last six months reaffirming EDC's commitment to Canadian companies seeking to diversify into longer-term, higher growth markets. It further complements EDC's existing representations in Delhi, Mumbai, Shanghai, Beijing, Sydney, Jakarta, Seoul and Singapore.
Export Development Canada (EDC) is a financial Crown corporation dedicated to helping Canadian businesses make an impact at home and abroad. EDC has the financial products and knowledge Canadian companies need to confidently enter new markets, reduce financial risk and grow their business as they go from local to global. Together, EDC and Canadian companies are building a more prosperous, stronger and sustainable economy for all Canadians.
For more information and to learn how we can help your company, call us at 1-800-229-0575 or visit www.edc.ca.
Media Contact: Media | Export Development Canada, 1-888-222-4065, media@edc.ca
