Overview
The forging industry in Vietnam is facing many challenges, including the impact of globalization and brutal markets, as well as factors such as technological shortages, cost pressures, and policy restrictions. However, with increasing global trade and strengthening international division of labor trends, Vietnam still has a great opportunity to play its value in the global market. To meet these challenges and maintain competitiveness, Vietnam’s forging business needs to take a series of measures.
Human resource development
Vietnam’s forging industry needs to develop more advanced skills and knowledge to respond to market changes. To this end, Vietnam should strengthen policies that support vocational skills training and vocational education, enhance cooperation and knowledge sharing with international partners to improve employees’ skill levels. For example, Vietnam has established a production training center for modern cooling towers in collaboration with a Japanese electrical machinery manufacturer to improve the skill level of Vietnamese workers.
Cost management
Vietnam’s forging industry needs to improve its production process to reduce costs and improve efficiency. To this end, Vietnam should support automation and digitization of production processing and provide more efficient use of energy. In addition, more sustainable production methods should be explored to reduce resource waste and environmental pollution in the production process. These measures will help strengthen the industry’s price competitiveness and improve profitability.
Marketing
Vietnam’s forging industry needs to develop a global marketing strategy to expand its customer base and establish a stable brand reputation. The industry needs to participate in international exhibitions and trade seminars, establish contacts with international buyers and producers to promote exports. In addition to traditional channels, the industry should also focus on using emerging technologies such as the internet, social media, and smartphones to market its products and services.
Actual case: ZF’s successful experience in Vietnam
ZF Friedrichshafen AG is a German-based company and a leading global supplier of automotive components and systems. To meet the growing demand in the Asia-Pacific region, ZF established its first factory in Vietnam, strengthening its position in the global market. The factory uses advanced technology, efficient energy utilization, and cost management systems to ensure that its products have good price advantages compared to global competitors and meet the global quality standards of the industry. At the same time, ZF has implemented multiple social responsibility projects in Vietnam to enhance its reputation in the local community.
Conclusion
Faced with the impact of globalization and brutal markets, Vietnam’s forging business should adopt strategies such as innovation, transparency, and cross-cultural leadership to address challenges. through strengthening human resource development, reducing costs and improving efficiency, marketing, and other practical aspects, Vietnam’s forging business will have the opportunity to continue to play its value in the global market.
