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supersnoop

Major
Registered Member
Strangelove said:
Let's move manufacturing out of China and to Vietnam!

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Vietnam's power blackouts hit multinationals' manufacturing hubs​

By Khanh Vu and
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June 5, 20235:33 PM GMT+8Updated 5 hours ago


HANOI, June 5 (Reuters) - Vietnam's rolling power cuts have hit industrial parks in the country's northern provinces where top global manufacturers such as Foxconn and Samsung have factories, officials said on Monday, as a surge in consumption amid a heatwave stretched the power supply system.

The frequent and often unannounced power cuts prompted EuroCham, which represents European companies in the country, to send a letter on Monday to the industry and trade ministry urging quick measures to address the emergency.

Some industrial parks in the northern provinces of Bac Ninh and Bac Giang have been facing blackouts, said two local investment officials, declining to be named as they were not authorised to speak to media.

"We are working with EVN later today to discuss the situation and possible measures to limit the impacts," one of the officials said, referring to the country's state utility Electricity of Vietnam.

The provinces house production facilities of Samsung Electronics
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, Foxconn
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, Canon Inc
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and Luxshare
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, among others.

"Vietnam's industry ministry should take urgent measures before the country's reputation as a reliable global manufacturing hub is undermined," Jean-Jacques Bouflet, deputy chairman of EuroCham Vietnam told Reuters on Monday, adding that the power cuts seriously disrupted industrial activities.

State media reports cited EVN's northern unit as saying power to Canon's factory in Bac Ninh will be cut from 8:00 am local time on Monday until 5:00am on Tuesday, adding power to at least five industrial parks and several villages in the province will be partially or fully cut for several hours during the first days of this week.

It was not immediately clear if the other companies were affected. The companies and EVN did not immediately respond to requests for comment.

The blackouts threaten efforts to avert an economic slowdown due to weak demand in key export markets, after first-quarter growth slipped to 3.3% from 5.9% in the fourth quarter.

The country has been
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and manufacturers switching operations to off-peak hours to keep the national power system running, with more than 11,000 companies having agreed to cut consumption where possible.
Deputy Minister of Industry and Trade Do Thang Hai admitted at a government meeting over the weekend that there had been "power shortages for households and businesses at certain locations at certain time", adding that the difficulties would continue.



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Lack of infrastructure is the major roadblock to any kinds of de-risking, de-coupling, de-whateverbuzzword.
Multinationals will invest in production, but they will not invest in roads/transportation, port facilities, or the power grid. These are too expensive and won't yield a positive return. Poorer countries will have trouble financing these large projects (heck, rich countries have trouble financing these projects...)

Furthermore, to stabilize the power grid, these countries will most likely seek out the cheapest and most reliable source of electricity which is traditional coal fired thermal power plant. This will be contrary to developed countries' stated goals of fighting climate change.
 
Strangelove

Strangelove

Colonel
Registered Member
supersnoop said:
Lack of infrastructure is the major roadblock to any kinds of de-risking, de-coupling, de-whateverbuzzword.
Multinationals will invest in production, but they will not invest in roads/transportation, port facilities, or the power grid. These are too expensive and won't yield a positive return. Poorer countries will have trouble financing these large projects (heck, rich countries have trouble financing these projects...)

Furthermore, to stabilize the power grid, these countries will most likely seek out the cheapest and most reliable source of electricity which is traditional coal fired thermal power plant. This will be contrary to developed countries' stated goals of fighting climate change.
Click to expand...

This is indicative of how serious the problem is in Vietnam. Foreign firms including Chinese ones actually bring in backup generators and build their own roads in Vietnam, typically connecting their factories to the main roads (local government can't be bothered), obviously not large scale infrastructure. If businesses are complaining now it means the problems from 10 years ago still persist or have worsened.

I used to go to Ho Chi Minh City often back in 2013/2014, my local associate and guide (Vietnamese American from Connecticut) informed me that local Vietnamese can't do infrastructure, everything from tunnels, bridges and airports were built by the Koreans and Japanese. I was mistaken as a Korean on several occassions. Northern Vietnamese provinces depend on imported Chinese electricity from Yunnan and Guangxi, and very likely still do to this day. They act tough in the SCS, but they should know if the shiit hits the fan, the switches in those Yunnan and Guangxi powerplants go off, and its romantic candle time in Hanoi.
 
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Bellum_Romanum

Bellum_Romanum

Brigadier
Registered Member
Indians are so easily triggered when any hint of attack that deals or talks about their country's supposed negative side. Here we have, an Indian ethnic-American politician, Nikki Haley making a tweet regarding CO2 in which she essentially tried to put the blame on climate pollution to both India and China. The Indians erupted in an uproar where they attack Nikki Haley's comment and Nikki Haley herself.

Indians are butt hurt when they're attacked or perceived slight when the level of propaganda against them is so tame coming from the west. I can't imagine them handling all the hate and attack if and when India lives up to the lofty promises heaped on that country by many western and Indian pundits as the next China.

 
M

Mirabo

Junior Member
Registered Member
Strangelove said:
This is indicative of how serious the problem is in Vietnam. Foreign firms including Chinese ones actually bring in backup generators and build their own roads in Vietnam, typically connecting their factories to the main roads (local government can't be bothered), obviously not large scale infrastructure. If businesses are complaining now it means the problems from 10 years ago still persist or have worsened.

I used to go to Ho Chi Minh City often back in 2013/2014, my local associate and guide (Vietnamese American from Connecticut) informed me that local Vietnamese can't do infrastructure, everything from tunnels, bridges and airports were build by the Koreans and Japanese. I was mistaken as a Korean on several occassions. Northern Vietnamese provinces depend on imported Chinese electricity from Yunnan and Guangxi, and very likely still do to this day. They act tough in the SCS, but they should know if the shiit hits the fan, the switches in those Yunnan and Guangxi powerplants go off, and its romantic candle time in Hanoi.
Click to expand...

In Vietnam's defence, they are the most sensible of the lot compared to their SEA neighbours. Unlike Cambodia and Myanmar, Vietnam is politically stable and their government knows they need foreign investors. Unlike the Philippines, they don't sit on the precarious fence between courting the Chinese and the Americans.

The local population tend to learn either Japanese, Korean, or Chinese as a second language. Whenever I visit Vietnam, I am always pleasantly surprised to be greeted by a Vietnamese who speaks fluent Chinese, yet the same person might not speak English at all. I'm sure the Vietnamese know what's best for them, and with that in mind, they rightfully toned down their SCS antics in the last few years.

They have a long way to go, but I'm sure that if they can maintain their current direction, they will do just fine.
 
B

Biscuits

Major
Registered Member
Strangelove said:
This is indicative of how serious the problem is in Vietnam. Foreign firms including Chinese ones actually bring in backup generators and build their own roads in Vietnam, typically connecting their factories to the main roads (local government can't be bothered), obviously not large scale infrastructure. If businesses are complaining now it means the problems from 10 years ago still persist or have worsened.

I used to go to Ho Chi Minh City often back in 2013/2014, my local associate and guide (Vietnamese American from Connecticut) informed me that local Vietnamese can't do infrastructure, everything from tunnels, bridges and airports were build by the Koreans and Japanese. I was mistaken as a Korean on several occassions. Northern Vietnamese provinces depend on imported Chinese electricity from Yunnan and Guangxi, and very likely still do to this day. They act tough in the SCS, but they should know if the shiit hits the fan, the switches in those Yunnan and Guangxi powerplants go off, and its romantic candle time in Hanoi.
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It'll just never happen. Vietnam will always be neutral or pro China. They're somewhat restricted to being more pro China due to the damages they received in 1979, but even so, Vietnam puts the security of the communist bloc before anything else.

Vietnam hasn't forgotten that while China fought a border dispute and political change war where all prisoners were respected and the civilians treated according to international law, America fought a genocidal war where the locals were killed, raped and plundered on a level not seen since the IJA landed in Vietnam. It is clear to the VCP which is the greatest threat to Vietnam.

The only hardcore anti Chinese Vietnamese are southern collaborator diaspora masquerading as actual viets. Within the VCP, reinforcing ties with China is all they speak of today.

While the wounds of 1979 might prevent Vietnam from overly marching to China's aid in the event of an American/Japanese attack, Vietnam will at the very least be neutral.

As time pasts and Vietnam has accepted it's lost claims, and the American threat in Asia has diminished, China itself will be responsible for building up Vietnam, as a fellow socialist nation. When that happens, there will be no unreliable powerplants or other shoddy constructions anymore.
 
ZeEa5KPul

ZeEa5KPul

Colonel
Registered Member
Bellum_Romanum said:
Indians are so easily triggered when any hint of attack that deals or talks about their country's supposed negative side. Here we have, an Indian ethnic-American politician, Nikki Haley making a tweet regarding CO2 in which she essentially tried to put the blame on climate pollution to both India and China. The Indians erupted in an uproar where they attack Nikki Haley's comment and Nikki Haley herself.

Indians are butt hurt when they're attacked or perceived slight when the level of propaganda against them is so tame coming from the west. I can't imagine them handling all the hate and attack if and when India lives up to the lofty promises heaped on that country by many western and Indian pundits as the next China.

Click to expand...
To be fair, I think Nimrata might be a little harsh here.
 
S

sndef888

Captain
Registered Member
baykalov said:
German crowd expresses discontent with Olaf Scholz, alleging his involvement in escalating conflict in Ukraine. During an SPD event in Falkensee, the chancellor faced continuous booing and accusations of being a warmonger, a liar and a bandit.

https://twitter.com/i/web/status/1664962596246638593

https://twitter.com/i/web/status/1664820814657605635
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Some germans are still based. Hopefully we see a return of sensible politics by CDU/CSU and the greens (US puppets) get kicked out
 
FairAndUnbiased

FairAndUnbiased

Brigadier
Registered Member
supersnoop said:
Lack of infrastructure is the major roadblock to any kinds of de-risking, de-coupling, de-whateverbuzzword.
Multinationals will invest in production, but they will not invest in roads/transportation, port facilities, or the power grid. These are too expensive and won't yield a positive return. Poorer countries will have trouble financing these large projects (heck, rich countries have trouble financing these projects...)

Furthermore, to stabilize the power grid, these countries will most likely seek out the cheapest and most reliable source of electricity which is traditional coal fired thermal power plant. This will be contrary to developed countries' stated goals of fighting climate change.
Click to expand...
Not just that, Vietnam is a special case in that they're basically mini China whose economy and politics now depends on China.

Their economy is basically assembling Chinese components for re-export.

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Politically, CPV is watching CPC every step because everything Vietnam is facing now, China already solved in the 1990s and 2000s.
 
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