Ho Chi Minh City engages in dialogue on industrial transformation

On the morning of September 24, Ho Chi Minh City People's Committee Chairman Phan Van Mai chaired the Ho Chi Minh City Friendship Dialogue Conference 2024. The event was attended by Politburo Member and Ho Chi Minh City Party Secretary Nguyen Van Nen, Deputy Minister of Foreign Affairs Nguyen Minh Hang, and over 35 delegations of leaders from international localities with friendly cooperation ties to Ho Chi Minh City.

Chairman Phan Van Mai stated that this year's dialogue theme is "Industrial Transformation: Development Experiences and Cooperation Priorities," which is an essential and urgent matter for Ho Chi Minh City specifically and globally as a whole.

Industrial transformation is not just an option but a pressing requirement for Ho Chi Minh City and urban centres worldwide.

Under the dual pressure of maintaining economic growth while meeting increasingly stringent environmental and social responsibility standards, innovation and adaptation are imperative.

To sustain competitiveness and ensure sustainable development, Phan Van Mai emphasized that Ho Chi Minh City must transition from traditional industries to high-tech industries with greater added value.

Currently, high-tech industries account for only about 23% of the city's total GDP. Therefore, Ho Chi Minh City's goal is to raise this share to 40% by 2030, thereby not only maintaining the city's contribution to the national economy but also solidifying its leading position in the country and the region.

"We are witnessing significant changes in the international market, moving towards more sustainable and responsible production methods.

According to a report by McKinsey & Company, about 70% of multinational companies have committed to reducing their carbon emissions by at least 25% by 2030.

New-generation free trade agreements such as CPTPP set higher standards, linking trade with sustainable development. Therefore, to maintain a strong global market presence, Ho Chi Minh City must meet these standards," said the Chairman of the Ho Chi Minh City People's Committee. He added that to respond to these challenges, the city has adopted a dual strategy, combining green transformation and digital transformation.

According to the Ministry of Science and Technology, investing in digital technologies such as artificial intelligence (AI), the Internet of Things (IoT), and big data can save up to 20% in production costs and reduce carbon emissions by 15% per unit of product.

The city's goal is to build a sustainable, inclusive, and resilient economy, serving as a model for other localities.

Ho Chi Minh City is also focusing on developing high-tech industries, investing in automation, smart factories, and advanced manufacturing technologies to upgrade its value chain.

According to the International Labour Organization (ILO), increasing automation and applying high technology could boost labour productivity by up to 30% over the next decade, while reducing dependence on natural resources and enhancing competitiveness.

Industrial transformation is a journey that cannot be undertaken alone. According to research by the World Economic Forum (WEF), around 60% of successful industrial transformation initiatives result from collaborations between governments, businesses, and the public, both domestically and internationally.

Chairman Phan Van Mai expressed his hope that this conference would provide an opportunity to learn from one another, share best practices, and explore new avenues for cooperation. Through joint efforts, innovative solutions to the challenges of industrial transformation can be developed. Whether it be technology transfer, investment in green and digital infrastructure, or promoting partnerships in high-tech industries, there are many opportunities for collaboration to foster sustainable development.

"Ho Chi Minh City is committed to continuing as a dynamic, open, and sincere partner with localities around the world. By promoting a spirit of friendship and cooperation, we will not only achieve our common goals but also build a better future for humanity", said the city's leader.