South Korean companies are looking for government support for investments in wind and gas energy

Power equipment maker Doosan Enerbility is ready to invest in Vietnam to help the country achieve carbon neutrality by 2050, Vice President Jung Yeonin told Prime Minister Pham Minh Chinh in Seoul on Monday, where the latter met with 50 company executives.

He said the company wants to supply turbines to wind energy developers in Vietnam.

“We are ready to provide technology transfer and training.”

GS Energy is building a $3 billion liquefied natural gas power plant in the southern province of Long An, and its CEO Huh Yongsoo wants government support to bring the project online by the end of this year.

Prime Minister Pham Minh Chinh (right) meets with South Korean business leaders in Seoul, July 1, 2024. Photo: Nhat Bac

Industry and Trade Minister Nguyen Hong Dien informed investors that there is a strong demand for investment in Vietnam’s energy sector.

He added that the country plans to have 30,400 MW of power in gas power plants by 2030, 75% in the form of LNG and 27,900 MW in wind farms.

He added that the company hopes to increase total capacity eightfold to 510,000 MW by 2050 to meet the demand of an economy that is estimated to grow at a rate of 6-6.5% annually.

Vietnam is developing a policy on liquefied natural gas prices and direct energy purchase agreements to attract investors, he added.

South Korean investors have also expressed interest in maintaining civil aircraft engines.

Jung In Sub, CEO of Hanwha Aerospace, said Vietnamese airlines currently have to send their planes abroad for engine maintenance.

“We want to invest in this sector and expect support from the Vietnamese government.”

Chinh welcomed the proposal, stating that with the construction or modernization of airports such as Long Thanh, Da Nang Chu Lai and Noi Bai, Vietnam will have a huge need for aircraft engine maintenance.

He also called on businesses to find new areas of investment that will help the two countries achieve bilateral trade of $100 billion by 2024 and $150 billion by 2030.

Last year it was worth $76 billion, making South Korea Vietnam’s third-largest partner after China and the U.S.

Chinh and his wife are in South Korea on an official visit from June 30 to July 3 at the invitation of Prime Minister Han Duck-soo and his wife.

More than 30 events are planned during the visit, more than half of which will be devoted to the economy, which is one of the main pillars of Vietnam-South Korea relations.