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Singapore to promote investment in industrial zones in Vietnam

1 May
VNRE – Singapore has been approved to build the No. 5 industrial zone in Vietnam, with total investment capital is 330 million U.S. dollars.

Expected that this industrial zone will be built on an area of 600 hectares in Quang Ngai province in Central of Vietnam, including 520 hectares for commercial purposes and housing.

Singapore’s Sembcorp will development, marketing and manage the project. So far, there have been 30-40 partners interested in this project, representatives of Semcorp said.

Phase 1 of the project will last approximately 3 years, and is expected in that period will also have the first plant is established and profitable here.

Recently, during an official visit to Vietnam, Singapore President Tony Tan Keng Yam met with leaders of Vietnam government and leaders of Vietnam’s largest city. President Tan said Singapore wants to invest more into Vietnam, and he said he would note the proposal to open two industrial zones in Hanoi and Ho Chi Minh.

So far, four industrial zones were invested by Singapore has been operating in Vietnam include: VSIP 1 and VSIP 2 (Binh Duong), VSIP 3 (Bac Ninh), VSIP 4 (Hai Phong). The total investment estimated at more than 20 billion U.S. dollars.

Source: VNA

Thailand’s Amata commits more investment in Vietnam

29 Apr
VNRE Mr Vikrom Kromadit, the founder of Thailand’s Amata Corp, said that the industrial zone infrastructure developer will continue investing more in Vietnam after some success of Amata IZ project in Dong Nai province.

He made this statement on Mach 28 in Dong Nai on the occasion of his Asia caravan to Thailand, Laos, Cambodia, Vietnam, China and Mongolia.

He also confirmed Amata is pursuing a new industrial urban development project with large scale in Long Thanh, Dong Nai without detailed elaboration on the project.

In an interview with Saigon Economic Times Online, Mr Huynh Ngoc Phien – General Director of Amata Vietnam JSC spoke that the above project with total area of 1,300 hectares and estimated investment capital of US$20 billion will be defined by Dong Nai municipal governance in next month. US$500 million of US$20 billion will be invested for infrastructure as from 2013. Amata will call for investors to develop each item of the new industrial urban development project.

Mr Phien expected the industrial urban development project will be more modern than the existing one in Thailand.

Currently, Amata Vietnam is developing the trade area on 20 hectares in Amata IZ, Bien Hoa City. It needs US$2 billion to complete the project consisting of trade centre, resident area, hotel, international school, hospital, entertainment and service areas…

Amata Vietnam JSC is a joint venture between Bien Hoa IZ Development Co and Thailand-based Bangpakong Industrial Park 2 Company. Amata has invested total US$60 million in Vietnam.

Source: VietBiz24

Chau Duc Urban Industrial Park: Promising Development Potentialities

15 Dec
VNRESonadezi Chau Duc Shareholding Company, a member of the Sonadezi Group, was set up in 2007 with the main business scopes of industrial park, real estate and residential zone development and operation. At present, Sonadezi Chau Duc is the investor of Chau Duc Urban Industrial Park and Road 768 project, etc. Amongst projects executed by the company, Chau Duc Urban Industrial Park, which is located in Chau Duc district, Ba Ria – Vung Tau province is considered a big and promising project.

Chau Duc Urban Industrial Park has a total area of 2,281.65 ha. Under the development plan, the area for industrial purposes is 1,550 ha, including 968 ha for industrial factories, and 175 ha for hi-tech park (in the north). The multi-sector area (in the south) is 793 ha. The area for administrative units, service, warehouse, green zone, water surface and traffic systems is 582 ha. The area for residence, commerce and entertainment is 579 ha, including 42 ha of resettlement, 72 ha of commercial land, 163 ha of housing area for low-income earners, 10 ha of green areas, 97 ha of park, traffic and infrastructure systems, Nghe Mount Park of 98 ha and golf course of 152 ha.

In a talk with us on the initiative for the development of the project, Mr Pham Xuan Bach, General Director of Sonadezi Group – the holding company of Sonadezi Chau Duc Shareholding Company – a leading and experienced developer of industrial parks, said: As far as we are concerned, domestic industrial parks usually only focus on completing infrastructure and provide limited services such as land and workshop leasing while each project in an industrial park draws a large number of workers who need spaces to play and houses to live. Through our knowledge and experience, the company built an industrial park with all supporting facilities like houses, industrial production area, servicing area and entertainment spaces. Chau Duc Urban Industrial Park will open a new strategic approach of Sonadezi Group in general and Sonadezi Chau Duc in particular.

Chau Duc Urban Industrial Park has a very favourable location as it closely connects with backbone traffic systems: 6 km from National Road 56, 13 km from National Road 51, 44 km from Vung Tau City, 67 km from Vung Tau junction, 16 km from Thi Vai Port, 19 km from Cai Mep Port, 21 km from Go Dau Port, and 54 km from blueprinted Long Thanh International Airport. With such a location, Chau Duc Urban Industrial Park holds advantages in connecting with other provinces, cities and major economic zones in the south-eastern region.

With 18 years of experience in industrial park development, Sonadezi is now managing 10 industrial parks in Dong Nai province. Besides, with its worldwide networks, the group will favourably attract investors for Chau Duc Urban Industrial Park.

Upon technical infrastructure completion, Chau Duc Urban Industrial Park will be divided into two sub-zones. The northern green hi-tech sub-zone will house projects involving electronic parts, PC and semiconductor assembly, telecom cables and materials, pharmaceuticals and medical equipment, and automobile assembly. The southern multi-sector sub-zone is designed for projects producing mechanical products and steel frameworks, agricultural products and medicines (not including manioc processing), construction materials (excluding commercial concrete, concrete structures), high-grade apparel, footwear and textile (excluding dyeing and tanning and environment-friendly fields.

In regards to employment, Mr Bach said Chau Duc Urban Industrial Park will create jobs for 80,000 labourers in addition to giving a facelift to the local economy and society.

For further information, please contact:

Sonadezi Chau Duc Shareholding Company
Add: 113-116 Plot C2, An Binh Residential Area, An Binh Ward,
Bien Hoa City, Dong Nai Province,Viet Nam
Tel: 84.61.3886 0784 – 3886 0785 – Fax: 84.61.3886 0783

Bourbon An Hoa – TransAsia Industrial Garden: Underscoring Environmental Protection

5 Nov
VNREWith an ambition to build a nature-close industrial park in a favourable location in Mekong Delta economic subregion, the first green, environment-friendly industrial park in Vietnam – Bourbon An Hoa – is catching the attention of investors.
Green, environment friendly industrial park

To awaken potential and strengths in Tay Ninh province, Bourbon Tay Ninh Corporation joined forces with Long Hau Joint Stock Company and Viet Au Joint Stock Company to build a green, environment friendly industrial park. To highlight the ambition of developing industry sustainably and protecting the natural environment, the investors decided to name the project Bourbon An Hoa – TransAsia Industrial Garden.

Bourbon An Hoa – TransAsia Industrial Garden has a total area 1,020 ha, of which nearly 760 ha are industrial land, 184 ha are ports and warehouses, and 76 ha for resettlement areas. Each project is allowed to use only 70 of land for factory construction and grow trees on the remaining 30 . The project was kicked off in January 2009 but the land clearance and compensation were completed very quickly.

The green area makes up 30 of the land. With its clear principle of building a green, environment friendly industrial park, the investors actively persuaded project-concerned parties to protect the green zone and the environment. The company also encouraged local people to keep their trees in the project area after they gave up the land for the project. In 2009, Bourbon An Hoa Joint Stock Company also collaborated with the An Hoa Commune People’s Committee to launch the “Keep trees – win prizes” campaign worth over VND400 million.

In addition to the green area, the industrial garden is also known for its wastewater treatment facilities with a daily capacity of 40,000 cubic metres. Wastewater will be treated in accordance with Grade A requirements (wastewater is treated to the degree that it is drinkable). The industrial park is expected to house producers of consumer goods, cosmetics and home decorations.

Attractive to investors

Bourbon An Hoa – TransAsia Industrial Garden is located in An Hoa commune, Trang Bang district, Tay Ninh province on the Trans-Asia Highway which links Ho Chi Minh City with Moc Bai International Border Gate to Cambodia. Favourable infrastructures enable investors to access material sources in the country and in the region more easily. Besides, with its proximity with the Vam Co Dong River, tenants can use the waterways to reach Saigon Port and Bourbon – Ben Luc Port. With this position, the Bourbon An Hoa Industrial Garden has become a gatherer of economic resources.

Apart from a convenient location, the garden is also widely known for its preferential tax and human resources policies and its service manner to customers. With its efforts to attract investments and create favourable conditions for investors to do business, Bourbon An Hoa has to date attracted 11 new investors with registered capital of nearly US$20 million from Taiwan, India, Malaysia, Vietnam, Singapore and other nations.

Mr Philip Lombard, General Director of Bourbon An Hoa Joint Stock Company, said Bourbon An Hoa will step up investment promotion activities in the coming time to lure investors from ASEAN member countries, Japan, South Korea, Singapore and Malaysia. The industrial park also has associated with central industrial parks in the region.

Also according to Mr Phillip Lombard, in addition to building and implementing the ISO 14000 programme for environmental protection, in September 2010, Bourbon An Hoa Joint Stock Company officially became a member of the Vietnam Green Building Council (VGBC) and joined the VGBC Foundation to support green projects in the country.

At present, Bourbon An Hoa is building the Green School – a green-oriented school. This is the first school to apply the VGBC’s LOTUS score sheets and focus on environmental protection. The company will continue convincing people to protect trees around the industrial park and host a ceremony to grant awards to outperforming families. The cost is estimated to reach VND500 million.

The presence of green, environment friendly industry is essential when Vietnam is dealing with difficult matters like air pollution and water pollution. The success of the policy is playing important role in lifting up services and quality at Vietnamese industrial parks to a new high.

Reported by Anh Dao

Nam Dinh Vu Industrial Park

8 Sep

VNRE – Nam Dinh Vu Industrial Park is built on an area area of 1329 hectares. The first beach encroachment project creates space to build infrastructure for ports and industrial of Hai Phong City. Nam Dinh Vu is divided into three main functional zones: duty-free zone, sea port and industrial zone. Particularly, there will be the type of commercial services such as supermarkets, duty free shops, bonded warehouse; the area for production, processing, recycling, import and export, and re-export in Nam Dinh Vu duty-free zone (432 hectares).

Nam Dinh Vu General Industrial Park (897 hectares) will attract investment in clean industrial, advanced technology, friendly with environmental. In addition, the project will be planned nearly 100 hectares for the development of petrochemical products such as gasoline, oil, chemicals, asphalt, lubricants…

The port has about 10 terminals for container ships, synthetic goods, oil port, with a total capacity of about 20 million tons per year along with the Hai Phong port system and Lach Huyen deep water port will create a chain of ports and logistics. Nam Dinh Vu Industrial Park will meet the needs of sea economic development of Hai Phong in particular and the northern region in general.

Nam Dinh Vu Industrial Park was broken ground ceremony on May 13th. The project owner is Nam Dinh Vu investment corporation. The total investment is up to 2 trillion 500 billion VND, including 1st phase is up to 600 billion VND.

For further information, please contact:

Nam Dinh Vu Investment Corporation
Add: No.5 Ho Xuan Huong Street, Ha Phong City
Tel: 84.313.356 9301 – Fax: 84.313.356 9300
Email: – Website:

VSIP Hai Phong, a coastal city with great potential

13 Jan

Situated along the banks of the Cam River, Hai Phong is a major sea port for the northern region with easy access to the Gulf of Tonkin and the world.

The strategic location of Vietnam’s third largest city brings great potential for the devepment of the industrial park and township of VSIP Hai Phong.

VSIP Hai Phong, Township and Industrial park of 1,600ha, 1,100ha for Township
and 500ha for Industrial Park, is available for booking by early 2009.

For further information, please contact:

VSIP Hai Phong Co., Ltd.
Add: 175 National Road 10, Pho Moi,
Tan Duong Commune, Thuy Nguyen District, Hai Phong
Tel: 84.31.395 9868 – Fax: 84.31.395 9886.

VSIP – a specialist integrated township developer

13 Aug

VSIP Bac Ninh, originally uploaded by Kiva.Dang.
The Vietnam-Singapore Industrial Park is a model development in the Southern Key Economic Region. VIR’s Bao Minh talks with Anthony Tan, deputy general director of the VSIP Joint Venture Company Ltd about VSIP’s investment attraction in the time to come.

What are the foundations for VSIP’s success?

Back in 1994, the late Prime Minister Vo Van Kiet and Singapore’s then Prime Minister Goh Chok Tong mooted the idea of a joint collaboration to promote co-operation at the government level. VSIP was officially launched in 1996. While it enjoys strong support from the two governments, it is commercially managed by state-owned enterprise Becamex Corporation and Singapore’s Sembcorp Industrial Parks.

Becamex brings to the joint venture a deep understanding of what Binh Duong province needs in terms of infrastructure in order for the province to develop. The Singaporean company brings its Singapore international system. Sembcorp also contributes expertise learnt from having developed other successful industrial parks in Indonesia and China. The joint venture partnership has worked very well together to manage the VSIP and in turn, help bring prosperity to the province.

Why should investors choose VSIP as their destination rather than other industrial parks?

In VSIP, our customers are very important. With 22 different nationalities and territories among our customers, VSIP works hard to understand their various needs. We are essentially managing an international business: providing essential services with the service support that is almost ‘a home away from home’ operating environment. At the end of the day, investors come to VSIP because things get done for them. We are very thankful of the strong support rendered by our VSIP Management Board from the provincial government.

Together with our customers from all parts of the world, we share a common concern for the environment. We believe in long term sustainable development. Our roads are lined with trees, there is proper management of our estate, we have sewage treatment plants, etc and these are all steps to contribute to Vietnam’s strive for environmental friendliness.

Can you elaborate on your plan to expand VSIP’s investment in Binh Duong and nationwide?

I mentioned earlier that VSIP aims to ensure sustainability. With the success of our first VSIP in Binh Duong, it became apparent that we cannot continue to develop industrial zones if the surrounding vicinity is not able to offer amenities to support people’s needs. With worsening traffic in Ho Chi Minh City, it is increasingly difficult for workers and employers to come to work.

They need accommodation close to the workplace. Furthermore, as more young Vietnamese executives are employed, they look forward to affordable accommodation with modern facilities. So VSIP is developing residential and commercial properties close to the industrial park. We call this an integrated township and industrial park concept. Our second VSIP in Binh Duong’s New City will offer this integrated concept on 2,045 hectares. Ninety-five per cent of its initial industrial phase of 345ha is already taken-up, so we will commence developing some residential land soon.

Our third VSIP in the northern Bac Ninh province is about 700ha, out of which 200ha are allocated for residential and commercial purposes. The first phase industrial area has 19 committed customers. We are preparing to handover some land to customers in the third quarter of this year. Our Bac Ninh project should be popular with young Vietnamese executives. It will take just 15 minutes from Hanoi when the new highway is completed, so really they do not have far to travel for work. Living in VSIP Bac Ninh can also be a reality as affordable residences will be available.

I think our fourth 1,600ha VSIP in Haiphong can potentially be our most exciting. It is also an integrated township development, but it has a truly advantageous geography being sited in a coastal city. We have four kilometres of waterfront interspersed with a long commercial corridor to create a modern and urban environment. Adjacent are the new art and convention centres, making this an appealing livable city within the larger Haiphong.

With the economic downturn going on, many investors want to suspend the expansion of operations and investment. But it is different with VSIP which still continues to expand investment in industrial parks and township. Why is this?

You are right that the economic downturn has affected many investors. Some of our customers have adopted caution in implementing new investments. However, VSIP remains very confident in Vietnam. We believe fundamentally Vietnam has much to offer and when the world economic situation improves, it will be amongst the first to benefit. VSIP has been in Vietnam since 1996. We have together with Vietnam navigated the difficult Asian financial crisis in the late 1990s. We believe Vietnam will again ride through this difficult period and emerge stronger. VSIP is here for the long haul.

For VSIP, the integrated township and industrial parks are long term developments that span 10 to 15 years. Our new projects in Binh Duong and Bac Ninh were only recently launched. We continue to prepare the land for infrastructure including roads. By the time the economy shows signs of recovery, we would have readied land for customers to take over immediately. In a way, the economic downturn has ‘bought us time’ for land preparation, so for VSIP, we take this opportunity to prepare ourselves.

Source: VSIP/ VIR

Industrial property market booming

25 Apr
In contrast to the gloomy climate of the high-grade apartment market, property business operations at industrial zones (IZs) are bustling due to demand fueled by increasing flow of foreign investments.
Industrial and Logistics Manager of the property services provider CBRE Vietnam David W. Neal said foreign investors have great demand for land and workshop lease. Most industrial and export processing zones (EPZs) in southern economic hubs such as Ho Chi Minh City, Dong Nai and Binh Duong have nearly 100 percent of land occupied.

The growing demand has pushed up the land rent at IZs by 30-50 percent compared with a year ago. Land rent at the Tan Thuan EPZ is the most expensive at 100 USD/sq.m/year, followed by the Tan Binh, Linh Trung (HCM City) and Vietnam-Singapore IZs (Binh Duong). Workshop rent is also escalating, particularly at the Amata IZ in Dong Nai and other IZs in HCM City .

According to the Deputy General Director of the Cu Chi Industry and Trade Investment and Development Company, Dang Ngoc Thanh, the investor of the Tay Bac Cu Chi IZ, most foreign-invested businesses want to lease land at IZs regardless of high rents because they insist on good services, simple lease procedures and tax incentives.

In response to the demand, a series of IZs including Tan Tao, Vinh Loc, Tan Phu Trung and Tay Bac Cu Chi, have confirmed they will expand their acreages.

CBRE Vietnam forecast that the IZ real estate market will continue to witness busy operations in the coming years because Vietnam has emerged as an attractive destination for foreign investors.

Statistics released by the Ministry of Planning and Investment showed that Vietnam attracted close to 7.6 billion USD in foreign investment in the first four months of the year, a year-on-year rise of 41 percent, with property development topping the list in terms of lured capital.

Deputy Director of the Urban Research and Infrastructure Development Institute Nguyen Dang Son said the government is paying due attention to infrastructure development at IZs and EPZs. Land areas for IZs and EPZs are projected to increase by 65,000 ha in 2010 and 80,000 ha 10 years later.

An additional 113 new IZs will be built, mainly in the southern provinces of Binh Phuoc, Tay Ninh and Dong Nai, and 27 existing IZs will be expanded by 2015, Son said.

Vietnam currently houses more than 150 IZs and EPZs which cover a total of 320,000 ha in 55 provinces and cities nationwide, of which 21,700 ha were occupied.

Phu Yen develops with foreign investment influx

The southcentral province of Phu Yen has attracted major foreign investment projects after years of lagging behind other parts of the country.

In 2007, the province attracted a record US$2.3 billion in FDI, accounting for 7.9 per cent of the country’s total foreign direct investment and ranking fifth among the country’s investment destinations.

Chairman of Phu Yen Province People’s Committee Pham Ngoc Chi attributed the rapid growth to investments in petrochemical projects, particularly the Vung Ro oil refinery plant. Technostar Mangement Ltd (UK) and Russia’s oil company Telloil invested $1.7 billion into the refinery, which is expected to have a capacity of 4 million tonnes a year.

The 380-ha project in Ong Hoa District will be operational in 2011 and reach a turnover of $2.23 billion a year.

Other major projects involve building infrastructure for a 2,600 ha petrochemical industrial park in Dong Hoa District and a deep seaport in Bai Goc to accommodate ships of 250,000 DWT.

These projects will be completed in 2024, with an investment capital of $11 billion including $5 billion from Naptha Cracking oil complex. They will provide jobs for 15,000-20,000 people and have a combined turnover of US$20 billion a year.

Chi said the investment success stemmed from the province’s promotion efforts. In 2007, an investment conference organised by provincial officials in Singapore led to an agreement to invest in the petrochemical industrial park and the oil complex.

Investors from the US, Canada, Japan, Australia, South Korea and Middle East have also flocked to Phu Yen to explore investment opportunities.

Taking advantage of its favourable geological conditions with highway, railway and seaport networks linking the central and the Central Highlands provinces, Phu Yen officials are cooperating with other central provinces to develop major transport infrastructure projects.

These projects involve the railway linking Tuy Hoa (the town of Phu Yen) with the Central Highlands, an underground tunnel through Ca Pass, and the upgrading of highways between the province and the Central Highlands.

Chi said the province will further invest in building Phu Yen into a gateway for the area bordering Viet Nam, Laos and Cambodia via road, railway, waterway and air networks.

The Prime Minister recently approved a plan to establish an economic zone in southern Phu Yen. The 20,370-ha zone will house industrial parks and link up with Vung Ro seaport, Tuy Hoa airport and Van Phong economic zone in Khanh Hoa Province.

Vinashin – Shinec Industrial Park

11 Feb
Construction of the Vinashin-Shinec industrial complex (SIP) began in Thuy Nguyen district in the northern port city of Hai Phong on November 24.

The SIP was set up and zoned off in September 2006 under the management of the Vietnam Shipbuilding Industry Corporation (Vinashin). It covers 300ha along the Cam river, Hai Phong port and National Highway 10.

The same day, three foreign-invested companies started constructing their facilities in the complex, which include wharfs, offices and warehouses.

So far, SIP has attracted seven foreign-invested projects with a combined registered capital of VND3 trillion (about US$187.5 million). Ten other companies pledged to pour investment into the complex next year.

Cong Hoa Industrial Zone

11 Feb
Construction on the first phase of Cong Hoa Industrial Zone began on Sunday in Chi Linh District, Hai Duong Province.

The Viet Nam Rubber Industrial Zones and Urban Development Joint-Stock Company (Vinaruco), under the Viet Nam Rubber Industry Group has set aside more than VND1 trillion (US$64.63 million) for the first phase.

The project is considered to be the biggest industrial zone (IZ) in the province so far.

Cong Hoa IZ will be built in two phrases covering 700ha. It is expected to attract 20,000 workers and take about three years to complete.

The zone will include industries such as electronics, IT, electrical equipment production and car manufacturing.

On the same day, Vinaruco started work on the $14.3 million 398B Highway, which will cross through Cong Hoa IZ to link Hai Duong, Quang Ninh and Hai Phong.

Eight IZs covering 1,600ha have been built in Hai Duong so far including Nam Sach, Dai An, Phuc Dien, Tan Truong, Viet Hoa, Lai Vu, Phu Thai and Cong Hoa, according to Mai Duc Chon, head of the province’s IZ Management Department.

Total occupancy in all of the province’s IZs is around 60 per cent with Nam Sach, Phuc Dien and Dai An IZs achieving a remarkable 100 per cent.

The province is expected to lure a further 11 industrial zones by 2010.