Vinh Phuc – Potential destination for industrial investors
Beside leading industrial provinces in the North such as Hanoi, Bac Ninh or Hai Phong, thanks to a good infrastructure system, Vinh Phuc is rapidly increasing as an attractive investment destination.
Vietnam is now one of Asia’s most popular manufacturing hubs, with stable growth, an export-driven economy, free trade agreements (FTAs), a young dynamic workforce, investment incentives, and a strategic location. Its labor-intensive industries are transforming, and foreign and high value-added investors remain bullish on Vietnam’s long-term growth.
Vinh Phuc – Advantages to develop industry
Industry is specified as the key development goal of Vinh Phuc. Therefore, the province continuously offers supported policies along with efforts in infrastructure improvement to attract FDI. They are all to make Vinh Phuc become the bright spot of the industry in the Northern Key Economic Zone.
Vinh Phuc has a strategic location. It is only 18 km from Noi Bai international airport and 150 km from Hai Phong port. Furthermore, Vinh Phuc has been continuously upgrading and expanding the inter-provincial transport system. In addition, it also concentrates on two ports: Vinh Thinh and Nhu Thuy. They pass through the Red River and Lo River, with a carrying capacity of up to 500 tons of goods per day.
According to population statistics up to 2021, Vinh Phuc reaches 1.2 million people and half of which are highly skilled labor. Only about 40 minutes from the center of Hanoi, Vinh Phuc is a convenient workplace for experts and foreign workers.
Currently, Vinh Phuc is implementing mechanisms and policies to encourage investors such as tax incentives and sponsorship for supporting businesses. In Particular, they are high-tech industries, electronic components, automobiles, motorcycles and metal fabrication. Up to now, Vinh Phuc has gathered many investors which were famous global manufacturing brands such as Daewoo, Haesung Vina (Korea), Toyota, Honda, Sumitomo (Japan), Compal (Taiwan), Piaggio (Korea), and Piaggio (Italy), De Heus (Netherlands), NorthStar Polaris and Weldex (USA).
According to Vinh Phuc Authority for Planning and Investment, in the first 10 months of 2022, Vinh Phuc has attracted 41 new projects and 39 capital increase investment projects. There were 16 new projects granted, investment capital adjusted for 7 DDI projects with a total registered capital of 9,937 billion VND; newly granted 25 projects, adjusted to increase investment capital for 32 FDI projects with a total registered capital of 312.5 million USD.
Mr. Kwak Il Hwan – Vice Chairman of YSL Group – one of Korean major investors, said: “We can all clearly see the advantages of Vinh Phuc, but it seems that so far we have not properly taken care. Appreciating the development potential of Vinh Phuc, YSL Group is focusing on investing and developing an industrial park project with a scale of nearly 300ha – Green Park Vinh Phuc. The project is developed to be a high-tech industrial park, using clean energy sources for sustainable development.”
Green Park Vinh Phuc – A next destination for industrial real estate investors
Vinh Phuc province has 7 industrial parks in operation. There will be 13 more industrial parks that have had investment certificates, starting to operate from 2023. They will bring huge potential benefits for industrial real estate development.
In particular, hi-tech Nam Binh Xuyen Green Park Vinh Phuc Industrial Park of a Korea investor – YSL Group must be mentioned. Ideas from 2021, the project has been deployed on schedule to be able to hand over to investors from 2023.
About nearly 300 hectares with 200 hectares for factories, Green Park Vinh Phuc is invested in the highest standards. The management systems such as: central management system, security system, automatic real-time located logistics system, etc., are all using advanced science and technology for optimizing operational efficiency and creating the most modern working environment.
The energy source for production activities of the industrial park is paid special attention by YSL Group for the sustainable development. On all roofs of factories or vacant lots, solar panels are installed. This not only reduces the pressure on energy consumption from the national power grid but also takes advantage of the available clean energy. It is similar to using water sources. Investing in wastewater treatment system, using recycled water for cooling, watering plants, etc. will help save clean water while still ensuring large consumption of the industrial zone.
As it is called, the green and smart Green Park Vinh Phuc Industrial Park will become a model industrial park. It will contribute to not only the local economy development but also bringing benefits to investors, workers and society.