Vietnam

Posted by DavidDay on Jun 23, 2010 in Blog, Vietnam | 0 comments

65 years Ago -While Japan surrendered aboard the Battleship Missouri in Tokyo Bay, Vietnam Declared Independence with the words of Thomas Jefferson

By David Day September 3, 2010.

Happy 65th Independence Day (September 2, 1945) to all of my Vietnamese friends and colleagues in Vietnam and abroad.

Most Americans do not know that it was on this date, as the formal Japanese surrender ceremonies were taking place aboard the battleship Missouri in Tokyo Bay, that Ho Chi Minh declared Vietnam’s independence from colonial rule. He stepped up to a rostrum in Hanoi’s Ba Dinh Square and, carefully borrowing the key portion of the precise text of Thomas Jefferson, delivered the Declaration of Independence of the Democratic Republic of Vietnam. The English translation of this portion Ho’s exact text is as follows:

” ‘All men are created equal. They are endowed by their
Creator with certain inalienable rights, among these are Life,
Liberty, and the pursuit of Happiness….’

This immortal statement was made in the Declaration
of Independence of the United States of America m 1776. In
a broader sense, this means: All the peoples on the earth are
equal from birth, all the peoples have a right to live, to be
happy and free.” (–President Ho Chi Minh).

Most Americans do not know this history. They also do not know that Uncle Ho carefully worked over this portion of his text with his American OSS colleagues some of whom were there in the crowd when he delivered this famous Declaration of Independence.

Another interesting pinprick of history here is that elderly people (now) in Hanoi who were on hand to witness Uncle Ho’s Declaration of Independence have told me that during the course of Uncle Ho’s speech, they looked up in the sky above his head and could see the insignia on an American warplane flying overhead (to presumably witness this historic event or to show support).
We were friends with Uncle Ho then and today, he would be pleased that the United States and Vietnam are now friends once again.

Happy 65th Independence Day!

Vietnam Looking to Elbow a Place with China and India with Foreign Investors

For Vietnam, stepping onto the world stage in recent years has meant admission to the WTO, a Nonpermanent seat on the UN Security Council, launching the country’s first telecommunications satellite (Vinasat 1 built by Lockeed Martin) and hosting the APEC Summit in Hanoi.

Vietnam continues to weather the global recession in reasonably well with foreign investment possibly doubling to $15 billion this year. Its largest export market is now the U.S. with over $12 billion last year. This Fall will see Intel’s new $1 billion chip assembly plant open outside Ho Chi Minh City.

Vietnam is now poised for yet another breakthrough. Political tensions in Thailand are helping Vietnam to get onto contingent plan target lists of foreign investors seeking political stability. Political stability is one factor working in Vietnam’s favor now. Another is labor costs. Vietnam is attempting to capitalize on the 30 to 40% labor differential with manufacturing plants in China. This is a huge incentive for China-based operations to begin looking to the south. The labor cost differential with China has been compounded by other problems nagging China operations: labor strikes and shortages.

Outside of the tech industry, where Vietnam has done very well in terms of attracting foreign investment, its aging colonial infrastructure has been a hindrance to all kinds of foreign investment.

There are two recent developments in Vietnam that will catapult the country forward in terms of attracting foreign investment at this critical juncture during the global recession. The first is the development of a number of major superhighway systems north of Hanoi that will link into highway systems in southern China. These new highways will allow a supply chain linkage between Chinese and Vietnamese manufacturing operations.

The second is a proposed Shinkansen-like bullet train between Ho Chi Minh City and Hanoi. The proposed bullet train, which would be completed by 2035, would travel the 1,600 km from Hanoi in the north to Ho Chi Minh City in the south in less than six hours. Vietnam’s current charming but woefully outdated trains take more than two days to make the trip. While this $56 billion project has recently been rejected by the National Assembly, Japan’s Transport Ministry continues to voice support for the project and has promised assistance should the Vietnamese government ultimately decide to proceed with the project once concerns of National Assembly members are adequately addressed (we believe that this is likely to occur despite the current clamor). Vietnam Railways Corp. was planning to use Japanese technology to build the high-speed train line. Sumitomo Corp. had teamed with Mitsubishi Heavy Industries Ltd. to bid on the project. Itochu Corp. was heading a competing group with Kawasaki Heavy Industries Ltd.

Given the importance of a high-speed rail link between Hanoi and Ho Chi Minh City, and the challenges Vietnam Airlines, and its related carriers have in meeting the staggering business traffic demands between the two cities, a Vietnamese “Shinkansen” would be an enormous contribution to the national infrastructure. No question that Vietnamese officials are eyeing the success of the Tokyo-Osaka Shinkansen as a precedent for a sorely needed rail upgrade in their own country. Financing the north-south linkage is another matter.