Bosch expands presence in Vietnam

Bosch – headquartered in Stuttgart, Germany – is a leading global supplier of technology and services, and the world’s largest supplier of automotive components. Bosch has been present in Vietnam since 1994. In 2008, Bosch set up a 100 % owned subsidiary under the name of Robert Bosch Vietnam Co., Ltd, based in Ho Chi Minh City. The presence of Bosch in Vietnam is considered a catalyst for trade throughout the region for the company. Bosch also focuses on technology transfer in Vietnam.

Establishing a foothold

Shortly after the setup of Robert Bosch Vietnam Co., Ltd in April 2008, Bosch announced its first investment into a hi-tech automotive parts production facility for push-belts, used in Continuously Variable Transmissions (CVT), in Long Thanh Industrial Zone, Dong Nai Province. The project is valued at EUR 55 million by 2015.

In August 2008, Bosch started the CVT push-belt assembly at a temporary facility in Long Thanh Industrial Zone, and exported its first products to the Japanese market at the end of 2009. The production plant is expected to be completed by Q4, 2010.

Despite the global economic crisis in 2009, Bosch witnessed double digit growth in Vietnam. Mr Quang-Hue Vo, Managing Director of Robert Bosch Vietnam Co., Ltd, said, “The initial results show that our investment in Vietnam is on the right track. Although 2009 was a challenging year for Bosch in Vietnam, we are very pleased to further commit ourselves with long term investments in the country. We are now looking to expand our presence through new partnerships, introduce a wider range of our innovative products and solutions to the market, and further strengthen our distribution network to better serve our customers.”

Bosch recently set up a Software and Engineering Centre in Ho Chi Minh City, planning to employ some 500 engineers by 2015. “The centre demonstrates our confidence in Vietnam, with its good IT infrastructure facilities and available talent. It is also Bosch’s first investment in the software and engineering field in Southeast Asia,” said Quang-Hue Vo. The main focus of the centre includes embedded software development, as well as IT software and mechanical engineering services. The centre will allow Bosch to better serve its customers in the Asia Pacific region.

Bosch will also have a warehouse in Ho Chi Minh City this year to establish local support of customers for the automotive aftermarket. In addition, in 2011 Bosch will set up the first Bosch Car Service workshop in Vietnam to provide parts and equipment for fleets.

Technology transfer

Another of Bosch’s key objectives in Vietnam, according to Mr Quang-Hue Vo, is technology transfer. To achieve this, Bosch has been calling for local talent to join its operations in Vietnam, offering 3 months of overseas training courses and sending Bosch engineers from Europe to support technology transfer in the new CVT push-belt assembly plant. Bosch is expected to employ some 1,200 qualified associates at the plant in Long Thanh and the Software and Engineering Centre in Ho Chi Minh City by 2015. Bosch currently has a total of around 160 associates in Vietnam.

Bosch also works with local universities, institutions and partners to promote vocational education. Today, Bosch Vietnam is the largest sponsor of the Nhat Nghe Tinh programme, donating automotive equipment and power tools, as well as awarding financial scholarships to vocational students. In addition, Bosch signed an automotive training collaboration agreement with the Cao Thang Technical College to offer internships to their students. The college will also be Bosch’s first automotive training base for Cao Thang’s students and Bosch customers in Vietnam.

The largest corporation in the automotive technology sector in Vietnam, with a strong economic contribution to the country, Mr Quang-Hue Vo said that Bosch would continue to strengthen its commitment in Vietnam. – VCCI

Tags: Bosch, Bosch Vietnam