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Dong Ky billionaires go bankrupt, sell super cars

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Dong Ky once had the highest number of billionaires and cars in Bac Ninh province, but its heyday is over.

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Dong Ky is called the 'billionaires' village'


Located 20 kilometers northeast of Hanoi, Dong Ky is famous for its traditional wooden crafts. Its most prosperous period was from 1988 to 2012. However, it has often been called ‘the directors’ village’ or ‘billionaires’ village’.

The largest woodwork craft village in the north now is different from in the past. Multi-storey houses still exist and hundreds of companies’ signs are still there, but the area is now surprisingly quiet. 

The sounds of saws and chisels from production workshops are no longer heard. Hundreds of woodwork shops on Nguyen Van Cu Road were found deserted when reporters visited.

In the past, Dong Ky villagers made wooden furniture products for export, which brought  hundreds of billions of dong each year, providing thousands of jobs for locals and workers from other provinces.

Vu Van Luong, chair of Dong Ky Village, said every day, thousands of Chinese businessmen came to the village to sign contracts with workshop owners.

However, those days are over. Only a few clients come to Dong Ky now and most production workshops are facing problems. Many people have incurred losses, from hundreds of millions of dong to billions of dong.

“Dong Ky’s products were made of precious wood and most of the products were exported to China, the market which favored natural timber. However, exports have become stagnant in recent years,” Luong said, adding that tens of thousands of cubic meters of precious wood are still in stock.

Also according to Luong, some businesses went bankrupt, while some directors still owe tens of billions of dong. They fled after selling all the land and assets. In the past, the lanes were full of super cars such as Lexus and Camry. But now, the cars have been sold to pay debts. 

As business has been performing badly, the list of Dong Ky’s billionaires has shrunk. A craftsman said many people have had to sell houses, land and cars. 

Vu Thi Mai, director of Huong Mai Woodenware, confirmed that exports dropped dramatically in recent years. However, she said, branded products are still selling well in the domestic market.

Le Thi Thuy, director of Kim Long, also said her company is now focusing on making products for domestic consumption.



Source: VietNamNet

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