AmCham Vietnam Weekly eNewsletter - 29th Week of 2021

Weekly eNewsletter

29th Week of 2021 - July 25, 2021

AmCham Vietnam’s Vision:

The most influential, strategic, and dynamic business association in Vietnam, that drives innovation and sustainable growth, and helps our members succeed. AmCham is a diverse and inclusive business association. We welcome American, Vietnamese, and international companies that share our interest in enabling a fair, transparent, predictable, and efficient regulatory environment that values innovation. A community you want to join!

www.amchamvietnam.com

Dear ,

I know many of you are now living under Directive 16 lockdown measures, with new curfews in place soon in HCMC. I may be far away, but can assure you I am still trying to do all I can to help, both short and longer-term.

I am now in Washington, DC, meeting with USG officials and colleagues at the U.S. Chamber, U.S. ASEAN Business Council (US-ABC), and think tanks. All recognize the importance and potential of the U.S.-Vietnam bilateral comprehensive partnership and the economic partnership. There also is increasing awareness about the severity of COVID outbreaks in the Southeast Asian region, including in Vietnam, and the impact on supply chains. And I heard urgent requests by Vietnamese Ambassador Ha Kim Ngoc and other Vietnamese officials for AmCham contributions of critically-needed medical equipment to help support the Vietnamese government’s COVID response, particularly in HCMC and the south.

But COVID cases aren’t just growing in Vietnam and Southeast Asia. There is also a surge in the United States – despite widespread availability of vaccines - caused in large part by the highly transmissible Delta variant. That surge, almost exclusively among the unvaccinated, means the United States once again has the highest number of new COVID cases in the world, surpassing Britain, Indonesia, India, and Brazil.

Partnering with Vietnamese Government on COVID-19 Response and Vaccine. Partnering with the Vietnamese government to support its efforts on COVID-19 control remains AmCham’s top priority. We continue to advocate for the United States to donate additional vaccines to Vietnam, and for Vietnam to distribute more vaccines to HCMC and the southern region, now the epicenter of Vietnam’s fourth wave. We welcome the clarification of Vietnamese government plans in Decree 3355, and encourage equitable distribution according to priority groups. We were thrilled to see the U.S. government donate another 3 million doses of Moderna vaccine to Vietnam this weekend. We plan to hold an event focused on Vietnam’s Role in Building Resilient Global Supply Chains: Managing the Current COVID Outbreaks with industry and both U.S. and Vietnamese government participation on August 5^th at 6PM; save the date! We also are trying to do our best to keep you informed and support your business operations. Please keep us apprised on your COVID-related questions and concerns.

Show you care! Please contribute NOW for AmCham Care donations of critically-needed medical equipment to support the Vietnamese government’s COVID response!! We know many of your companies were unable to contribute directly to the Vietnamese Government’s Vaccine Fund due to corporate governance concerns. AmCham Cares provides you a transparent mechanism to make contributions NOW for critically-needed medical equipment and supplies and know they will be delivered to where they are needed most.

There is an acute shortage of specialized medical equipment needed for COVID-19 response now, with ventilators at the top of the Vietnamese Government’s list. At least 200 are needed urgently.

Thanks to Healthcare Committee Subcommittee Vice Chair and Medtronic Managing Director IndoChina Paul Verhulst, we have access to state-of-the-art Medtronic Covidien ventilators at cost. The cheaper model is without compressor and needs to be attached to an oxygen supply in a hospital. The more expensive model comes with a compressor and can run independently; it is more suitable for district/provincial hospitals which often lack the infrastructure. We will liaise with DOH to determine how many of which kind are needed and will plan our purchase accordingly. LINK to product specs.

These are the same ventilators that the U.S. business community provided to the Indian government to assist in its response. Amazon alone donated 100. The Vietnamese Ministry of Health has told us it needs at least 200 ventilators. While we know that would be a very ambitious target, we hope you all can do your part as companies or individuals to support Vietnam at this challenging time. We will also share this donation opportunity with the U.S. Chamber and U.S.-ASEAN Business Council. Contribute Now to demonstrate AmCham Cares!

AmCham and our Healthcare Committee continue to liaise with relevant Vietnamese government agencies to determine other critically-needed equipment. Ventilators are the top need, but other needs include ECMO systems, mobile x-ray scanners, oxygen and blood monitors, multi-parameter patient monitors, electric syringe pumps, infusion machines, continuous renal replacement therapy (CRRT) systems, air purifiers and sanitizers, Color Doppler ultrasound machines, and oxygen systems.

We will conduct due diligence to obtain the best value and a transparent process for our donations. If you have access to some of the other needed items or have any questions or concerns, please contact Office Manager Cindy Tran.

We also are happy to highlight any COVID-related contributions from our member companies on our social media. Please email details, including photos, to Cindy Tran. We will also recognize contributions of our member companies to support the Vietnamese government’s COVID response, as well as other innovative and impactful Corporate Social Responsibility Programs or Environment, Social, and Governance initiatives at our November 18 “Giving Thanks Dinner”.

Section 301 Currency Punitive Actions Averted. While we recognize the current COVID outbreaks and lockdown measures in Vietnam are your most pressing business concerns, let's celebrate a major win! USTR determined on July 23rd that no action is warranted now on the Section 301 currency investigation, based in large part on the bilateral currency agreement announced by the Treasury Department earlier in the week. If USTR's determination had been different, tariffs could have been imposed on Vietnamese exports to the US. AmCham Vietnam, including AmCham Hanoi, together with over 70 business associations, signed onto a recent U.S. Chamber letter to USTR recommending against such punitive actions. Links below to the advocacy letter, a recent Inside U.S. Trade article LINK, and USTR and TREASURY announcements LINK. Note that the 301 timber investigation is ongoing, with active discussions between relevant U.S. and Vietnamese ministries and agencies, but reportedly on a positive track. No finding has yet been reported, the first step before USTR determines any necessary actions. Both 301 investigations, initiated in October 2020 under the Trump Administration, are scheduled to conclude by October 2, 2021.

Prospects for Strengthening U.S.-Vietnam Bilateral Trade and Investment Ties. While many I met with in the private sector would love to see the United States enter CPTPP, there is unanimous recognition that any move in that direction won’t be possible until after the November 2022 mid-term elections. There is strong interest to seek ways to strengthen trade and investment ties in the interim, though lack of clarity on how to do so under the Biden Administration’s “worker-centric” trade policy, beyond a need to address concerns of environmental and labor groups. It clearly means preventing forced labor such as that involved in Xinjiang cotton. Does “worker-centric” also include agricultural workers? Does it include the effect of trade on the cost and availability of consumer goods purchased by workers? While those answers are not yet clear, the issues we focus on in our Environment, Social, and Governance Committee will likely be of increased interest and relevance to the U.S. Government under the Biden Administration.

The general consensus from what I have heard so far appears to be that the best prospects for Vietnam in the near-term are to ensure full implementation of 301 agreements, seek an enhanced Trade and Investment Framework Agreement (TIFA), avoid problematic digital trade regulations, and seek to participate in a possible U.S.- ASEAN (or smaller group) Digital Trade Framework, that could lay groundwork for a possible Digital Trade Agreement.

Breakfast with Vietnamese Ambassador to the United States Hà Kim Ngọc. Ambassador Ngoc hosted me for a delicious phở gà breakfast with Economic Section colleagues. He thanked me for AmCham’s contributions to strengthening the comprehensive partnership, helping avert 301 currency sanctions, and advocacy to support US vaccine contributions. He expressed deep gratitude for the 5 million doses of vaccines donated by the United States, and encouraged continued advocacy for additional vaccines. He also made a plea for urgent contributions of critically-needed medical equipment and supplies, including ventilators, oxygen, ECMO, blood monitors, and COVID treatment drugs, especially to HCMC.

Amb. Ngoc and his team listened intently to AmCham recommendations on ways to continue business operations during COVID, including a focus on HCMC, Binh Duong and surrounding areas; expediting approval for imports of rapid antigen tests; support for worker housing; liberalized overtime rules; inclusion of those involved in the manufacturing of essential food and animal feed as priority groups; and strengthened inter-provincial coordination, especially on transportation.

Amb. Ngoc took on board concerns about recent draft digital economy decrees and agreed on the importance of a regulatory environment that welcomed foreign technology companies that are often key partners for innovative Vietnamese companies. He welcomed any possibilities to enter into negotiations for an U.S.- ASEAN Digital Trade Agreement.

He repeatedly stated that the U.S.-VN comprehensive partnership is win-win for both because of our many shared interests, not win, win for one-side only the Chinese way. And he said President Phuc had expressed his deep appreciation for the U.S. vaccine donations through stating the old proverb, “A friend in need is a friend indeed.”

Upcoming Events and Committee Meetings. Please join Comprehending and Analyzing the Key Provisions of Procurement to Avoid Pitfalls on July 29 at 9AM with Trial Lawyer and Founder of Le & Tran Stephen Le. AmCham members, please join next week’s Tourism and Hospitality Committee meeting on Tues, July 27 at 9AM; our Women in Leadership Committee meeting at 4:30pm on the same day, and our Logistics & Supply Chain Committee meeting on Wed, July 28 at 9AM.

AmCham Celebrates Wellness and Self-care: With social distancing measures extended, it is more important than ever to practice wellness and self-care. AmCham kicked off a Wellness social media campaign to celebrate Wellness, kicking off on June 12th, Global Wellness Day, continuing through July 24th, International Self-Care Day. As part of this effort, on Facebook and Instagram, we are featuring our members and friends, with a few words and photos about how they practice wellness. We would love to feature you! Send photos of your wellness efforts, with your company name and title, and a short description of your approach to wellness@amchamvietnam.com. Remember that wellness can take a variety of forms: physical, emotional, spiritual, intellectual, environmental, financial, vocational, and social. https://www.amchamvietnam.com/sports-wellness-and-selfcare/

On the occasion of WHO’s Self-Care Month (June 24th-July 24th) and International Self-Care Day July 24th, the Global Self–Care Federation (GSCF) is putting the spotlight on the benefits of self–care ahead with theme “#SelfCarePromise”. The COVID-19 pandemic has highlighted just how fragile our global health systems are. Adopting good self–care habits beyond the pandemic is one of the best ways we can continue to protect ourselves, our communities, and our healthcare professionals. A dedicated site https://selfcarepromise.org was launched on June 24th to highlight stories, activities, and the #SelfCarePromise pledge to ensure the well-being of individuals and communities around the world.

Recent Events and Developments

AmCham Premium Corporate Membership offers the opportunity for qualified companies to highlight their status as business leaders and their strategic support for AmCham Vietnam’s mission and programs. Premium Membership offers a range of discounts, benefits, and exclusive access. Customized packages are available. To learn more, see LINK or contact Office Manager Cindy Tran at cindy.tran@amchamvietnam.com.

Support Local Businesses: It is harder under Directive 16 to support local businesses. But please do what you can with the few retail businesses still open. And be prepared to do your part when things reopen – please support the local businesses that contribute so much to our quality of life, but are incredibly hard hit by lockdown measures! Especially our AmCham Members and Discount partners!! LINK. And if you want to become an AmCham Discount Partner, please contact us at LINK.

I will return to HCMC on August 1 after having meetings in Washington, DC and look forward to again being on the same timezone. Meanwhile, my email and text replies may be delayed and I regret I will not be able to join many of your mid-day and afternoon meetings. But our wonderful AmCham team, led by Office Manager Cindy Tran and Events & Committees Manager Lily Nguyen, will continue to keep things running to support you, even though they like many of you, are currently working from home, and our events will be entirely virtual.

To support the HCMC People’s Committee’s COVID-19 control measures. AmCham Vietnam is holding all our meetings and events at a Level IV rating this week – all virtual. Please see https://bit.ly/ACEventRating for more information about AmCham’s COVID-19 event ratings. All members of the AmCham team are following a Work from Home (wfh) policy. Our team is still working hard to serve you. We regret our home wifi is not as strong as at the New World Hotel.

We welcome your feedback at team@amchamvietnam.com to let us know how we can serve you better. We wish you a safe and healthy week ahead! Mary

Greetings from Da Nang and I hope you all are safe and healthy. Really wish I better news this week but unfortunately the city has gone into lockdown under Directive 16 since noon Wednesday. I know that the government is doing everything it can to contain the epidemic in our city and with appropriate actions of our citizens to follow in accordance with the guidelines that are in effect, we should be open again soon! Everyone stay safe, stay home and stay healthy.

COVID-19 Update from Healthcare Provider Subcommittee Chair

Dr. Mason Cobb and Andrew Meadows

Cases surge with nearly vertical increase. Thankfully, more vaccines arrive, including a U.S. donation of an additional 3 million doses of Moderna vaccines on Saturday, nearly 1.5 million direct to HCMC. Curfews are now imposed from 6PM-6AM in HCMC, effective Monday, July 26, at 6PM.

For more information, LINK (to COVID page).

Advocacy

This week, we focused on sharing AmCham member recommendations on Vietnam’s COVID-19 response informally to Vietnamese government channels; we plan to follow up next week with a formal letter. We thanked U.S. government officials for the 5 million doses of vaccines already donated and urged additional vaccine donations to Vietnam. We also discussed ways to strengthen our bilateral trade and investment ties. See LINK for this week’s report. If you have interest in these or any other advocacy matters that require AmCham support, please contact relevant Committee leaders and/or advocacyaction@amchamvietnam.com.

Committee Meetings & Activities (For AmCham Members Only)

July 27: Tourism and Hospitality Committee Meeting

July 27: Women in Leadership Committee Meeting

July 28: Logistics & Supply Chain Committee Meeting

August 2: Capital Markets and Financial Services Committee (CMFSC) Meeting

August 4: Education & Training Committee Meeting

August 6: Manufacturing Committee Meeting

Key Media Updates

Stay informed about key developments affecting your business by checking frequently – updated regularly on weekdays. On weekends, stay informed and connected through AmCham’s Facebook, Linked IN, and Instagram. LINK to our Key Media Updates.