With a Gross Regional Domestic Product (GRDP) of about IDR 84.18 trillion (equivalent to USD 5.4 billion), Padang is Indonesia's strategic maritime gateway to the Indian Ocean and the largest economic and commercial hub on Sumatra's west coast. The transportation system and commercial services in Padang's economy are quite strong and well-connected. The Teluk Bayur Seaport system, one of the biggest commercial ports in the area, highlights the city's main strengths, which are mostly centered in the Wholesale & Retail sector (which accounts for 17.52% of the GRDP) and the Transportation & Storage sector (which accounts for 15.68% of the GRDP). In the new era, Padang is rapidly transforming into a marine economy hub by advancing high-tech agro-fishery processing industries, modernizing infrastructure, and pioneering the development of sustainable eco-tourism models integrated with the unique Minangkabau cultural identity.
Vice Chairman of the Ho Chi Minh City People's Committee Tran Van Bay receives and works with Mr. Dave Akbarshah Fikarno Laksono, Chairman of the Communication and Information Department of the Golkar Party and Vice Chairman of the Commission for Security, Defense, Foreign Affairs, and Intelligence of the Indonesian House of Representatives - Photo: Tuoi Tre Newspaper
Trade, trade infrastructure connectivity, and people-to-people diplomacy have all benefited greatly from the two areas' combined accomplishments over the years. Under the strategic direction of both local governments in cooperation with the Ministry of Investment of Indonesia (BKPM), the bilateral connecting corridor has been progressively strengthened since the beginning of the Memorandum of Understanding on developing partnership connections. Through the transshipment of essential commodities and the development of supply chain connectedness, trade flows have consistently reached significant milestones. A strong basis for strengthening the collaboration between the two major cities has been formed through networking events for small and medium-sized businesses (SMEs), infrastructure development experience-sharing programs, and promotion conferences.
In order to draw in direct investment and establish strategic partnerships with Padang City partners in five crucial areas, Ho Chi Minh City is growing its partnership networks, especially in light of the city's recently extended sustainable development space:
1. Logistics and Maritime Seaport Infrastructure: Optimizing international maritime transport systems, connecting and integrating logistics networks between both sides, and particularly maximizing the transshipment capacity through the Teluk Bayur International Port gateway.
Trade, Wholesale, and Retail: Promoting bilateral trade corridors, developing goods distribution networks, and creating favorable conditions for enterprises to deeply access the domestic consumer markets of both countries.
2. High-Tech Agro-Fishery Processing Industry: Partnering in the transfer of technical solutions, forming joint ventures for high-value-added agricultural and seafood processing, and implementing professionalized food chain models such as the Sentra Rendang mega-project.
Eco-Tourism and Cultural Exchange (MICE): Collaborating on the joint creation of island and maritime travel routes, exploiting the potential of unique heritage culinary tourism, and expanding the scale of human resource training cooperation for the hospitality industry.
3. Digital Infrastructure and Sustainable Cities: Exchanging digital urban governance solutions, cooperating on synchronized investments in inter-regional connectivity transport infrastructure (drawing from the Trans-Sumatra Toll Road network model), and developing green economy models adapted to climate change.