Can Tho City to boost mechanic sector

Southern Can Tho City has prepared a master plan to develop its mechanic sector by 2020 with a vision to 2030, with total investment of VND3.8 trillion (US$167.2 million).

Southern Can Tho City has prepared a master plan to develop its mechanic sector by 2020 with a vision to 2030, with total investment of VND3.8 trillion (US$167.2 million).-VNA/VNS Photo Danh Lam

This was stated by Duong Hong Quan, head of the Planning and Industrial Development Division under the Ministry of Industry and Trade’s Industrial Policy and Strategy Institute (IPSI) on Wednesday.

Quan said the plan aimed at ensuring the city’s mechanic sector develop on par with other leading localities in the country while basically meeting the demand of key economic sectors in the Mekong Delta region.

He said Can Tho should establish at least 100 mechanic enterprises. The city should give priority to boosting investment in projects, including rapid prototyping projects, heat and surface treatment technology, opaque steel production and machines for agricultural production and processing.

“The project needs investment of over VND3.8 trillion by 2030. It will need VND599 billion in the 2016-20 period, VND1.1 trillion in the 2021-25 period and VND2.08 trillion in the 2026-30 period. Seventy per cent of the sum would come from commercial loans, 10 per cent from foreign investment and 20 per cent from businesses and Official Development Assistance source. The capital would be used for infrastructure development and human resource training,” he added.

Nguyen Anh Son, director of the Industrial Policy and Strategy Institute – the consulting unit for the master plan, said the scale of mechanic value in the city is low. Its mechanic sector, especially the auto sector, has seen weakness, not living up to its potential.

Truong Quang Hoai Nam, vice chairman of the municipal People’s Committee, said the mechanic sector has seen the weakest growth in the city. In the past decade, the city has been finding solutions so that the sector could fulfill its role as the economic centre of the Mekong Delta region.

The master plan was prepared to meet the requirements of the sector’s sustainable development, thus promoting growth of other industries in the context of international integration.

Can Tho will limit the import of poor quality mechanic machines and equipment which could be harmful to people. It will also give priority to studies on the development of environmental industries and application of clean technologies.

Source VNS