This was mentioned by Tran Ngoc Liem, Director of the Vietnam Chamber of Commerce and Industry, Ho Chi Minh City Branch (VCCI HCM), at the seminar “Enhancing Efficiency and Profitability for Businesses through Automation Lines.” The event was organized by VCCI HCM in collaboration with Min Sen Machinery Company (Thailand) on the morning of September 19 in Ho Chi Minh City.

Participants and businesses at the seminar - Photo: Dinh Dai.

Speaking at the seminar, Mr. Tran Ngoc Liem, Director of VCCI HCM, stated that in recent years, automation has become a trend many businesses are pursuing and has become a foundation for sustainable development. The automation market is expected to grow threefold in the next five years.

Citing data from market research firms Research and Markets and Zion Market Research, Mr. Tran Ngoc Liem mentioned that the hyper-automation market is forecasted to reach $26 billion by 2028. The industrial robot market is projected to increase from $15.7 billion in 2022 to $30.8 billion by 2027.

He noted that thanks to the achievements of the industrial revolution, the application of automation in manufacturing is rapidly gaining momentum. Many businesses initially feared that investing in new technology production lines would be costly, that training personnel to use them would take a long time, and that machinery could become obsolete if modern manufacturing technologies were not applied.

“In reality, the results of the 4.0 industrial revolution have helped manufacturing companies solve economic challenges, enabling smart and efficient investments. This is the basis for enhancing competitive positions and helping businesses stand firm in a fierce market,” assessed Trần Ngọc Liêm, Director of VCCI HCM.

According to Mr. Tran Ngoc Liem, automation is widely applied in various fields: manufacturing, mechanical processing, automated assembly lines, and quality control applications. For example, in the cosmetics and pharmaceutical production sector, automated packaging lines are crucial to ensure safe packaging and adherence to procedures for various drugs and cosmetics, maintaining their quality and protecting them from external factors like moisture and light. Advanced packaging machines have been developed to handle complex and diverse packaging tasks, increasing efficiency and accuracy in the packaging process while reducing dependence on human labor.

Mr. Tran Ngoc Liem, Director of VCCI HCM, believes that the automation market is expected to grow threefold in the next five years - Photo: Dinh Dai.

With the continuous operation capabilities of automated machinery, the production process of businesses is uninterrupted compared to traditional manual operations. Investing in automation systems helps companies optimize management, ensure worker safety, increase productivity, enhance product quality, and reduce labor costs.

For Vietnamese companies, Director Tran Ngoc Liem assesses that the COVID-19 pandemic acted as a catalyst to accelerate the digital transformation and automation of business operations more rapidly and robustly. Thanks to the development of the Internet and the 4.0 industrial revolution, automation is seen as a key, essential factor to help businesses grow and enhance their competitive positions in the market. Statistics show that over 90% of foreign-invested enterprises in Vietnam apply automation technology to enhance their production and business capacities.

However, Mr. Liem points out that the level of automation application among Vietnamese businesses is still relatively low. This can be viewed as an opportunity for those companies or suppliers of automation solutions, as there is still much "room" for continued improvement, innovation, and upgrading to higher and more complex processes.

“The 4.0 industrial sector is developing at an astonishing pace and is predicted to reach $1 trillion by 2030. This presents both opportunities and challenges for manufacturers to accelerate their strategies and effectively meet customer demands,” assessed Mr. Tran Ngoc Liem, Director of VCCI HCM.