Until Vietnam authorities show control over the anti-China riots, Hong Kong investors are putting their business plans in Vietnam on hold, reports the SCMP.
More than 3,000 Chinese nationals have evacuated from Vietnam after deadly protests over Chinese oil drilling in a disputed area in the South China Sea.
Many investors moved businesses and factories to Vietnam about a decade ago as wages were and still are cheap. Most of Vietnam’s manufacturing industry is funded by foreign investment and contributes to the country’s economy; 75 percent in 2012 and 56 percent in 2009.
Taiwan is the fourth largest foreign investor in Vietnam last year, followed by Hong Kong is the sixth and China in ninth.
See related:
Hong Kong tour groups cancel trips to Vietnam
Hong Kong issues amber travel warning for Vietnam
Photo: AFP
