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Labour, infrastructure issues hold back surging Vietnam investment

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President Joe Biden visits Hanoi Sunday to boost economic ties as Washington looks to move away from over-reliance on China, but a lack of highly skilled labour and infrastructure weaknesses mean Vietnam may struggle to replace its neighbour.

Vietnam has become an increasingly important destination for some of the world’s top companies including Samsung and Apple supplier Foxconn as concerns escalate over tensions between the US and China.

Many have expanded into the country as part of a “China plus one” strategy, and Washington sees Hanoi as an important partner as it looks to source less from China after supply chain shocks rocked the global economy in recent years.—AFP

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