Outcry over Chinese investment in Vietnam

The Vietnamese government recently approved a plan to let a Chinese company build a bauxite mine in the country.

The move triggered rare public outcry from scientists, intellectuals and even war heroes who say the environmental and social damage will far outweigh any economic benefits. But analysts say while environmental concerns might be legitimate, fears for national security or even a so called "Chinese invasion" are totally unfounded.

LILY YAN: The Vietnamese Government estimates the country's bauxite reserves at 5.5 million tonnes, one of the largest in the world. It is a major drawcard for attracting foreign investment for Vietnam. However the majority of the bauxite reserve concentrates in the Central Highlands, an area regarded by some as a strategic region for the country. Duong Trung Quoc, a historian and a member of Vietnam's National Assembly, said it's careless to let a Chinese company into the region where national security is at stake.

DUONG TRUNG QUOC: I want to raise this question to see if it could be answered as I can't answer it. This is a sensitive issue. I wonder if we've studied carefully the history of the Central Highlands, the history of protection of the sovereignty of the country and the land. If you let the foreigners in, that can cause serious problems.

LILY YAN: Vietnam's Deputy Prime Minister, Hoang Trung Hai, has said the $10 billion mining project will help social and economic development in the Central Highlands but critics say the financial benefits brought by the mines will be very limited. Nguyen Ngoc is a well-known writer and outspoken activist for the Central Highlands and its people. He's concerned about what he saw during his recent trip to the area.

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