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Japanese Retailer Aeon to Invest $2bn to Build 25 Malls in Vietnam

Prime Minister Nguyen Xuan Phuc met Aeon General Director Iwamura Yasutsugu and Japanese Ambassador to Vietnam Umeda Kunio on February 28 to discuss Aeon’s future in Vietnam.

During the meeting, the Japanese retail giant revealed that it will invest US$2 billion in expanding its business in Vietnam, Tuoi Tre reports. With this money, it aims to operate 25 shopping malls across the country by 2025, with a focus on Hanoi.

Since entering Vietnam in 2013, Aeon has opened five shopping malls in the country, including two in Ho Chi Minh City, two in Hanoi and one in Binh Duong Province.

In the meeting, PM Phuc also expressed interest in directly exporting more local Vietnamese products through Aeon. The retail group said that this year, it aims to export US$500 million worth of Vietnamese products. By 2025, Aeon targets to export US$1 billion worth of goods from Vietnam to Japan and countries which Aeon operates in.

The prime minister also urged Aeon to consider expanding its businesses in areas besides big cities and support more Vietnamese businesses to participate in its supply chain. In exchange, Vietnam will increase the production of produce, food-related and garment goods to meet the standards required by Aeon. 

The Japanese Ambassador mentioned that Aeon is hosting conferences across the country's localities to increase the value of Vietnamese products and collaborating with Japanese organizations to help with the country's manufacturing and new countryside development. 

[Photo via Aeon Mall Vietnam]