HIGHLIGHTS OF INDUSTRIAL MARKET
Vietnam: Attracted nearly 25 billion USD of FDI capital after 9 months
As of September 30, the total FDI capital reached more than 24.78 billion USD, up 11.6% over the same period in 2023. In addition, the realized capital of FDI projects is estimated at more than 17.3 billion USD, up 8.9% over the same period in 2023. In September alone, the total FDI capital reached the highest level in the months since the beginning of the year, with nearly 4.26 billion USD. The additional investment capital also reached the highest level since the beginning of the year.
Vietnam: Building a legal corridor to develop new types of Industrial Parks & Economic Zones
The Law on Industrial Parks and Economic Zones aims to promptly overcome limitations and obstacles, and supplement new regulations that the current law does not have on conditions, mechanisms, and specific policies to support investment in infrastructure of industrial parks and economic zones (orders, procedures, and authority to invest in new types); improve the effectiveness and efficiency of state management, and promote decentralization and delegation of authority.
Vietnam: Industrial Real Estate still hot
In the Q3/2024, the industrial real estate market recorded many positive signals. In the North, the occupancy rate of industrial parks (IPs) reached 83%, while in the South this figure was 92%. Notably, the trend of M&A and shifting capital flows from residential real estate to industrial real estate increased sharply. Some prominent projects such as Vinhomes IZ’s IP in Vung Ang with a scale of 965 ha, or Capitaland’s plan to acquire factories and industrial infrastructure with an investment capital of up to 110 million USD.
Vietnam: Warehouse and Factory market is booming
According to experts, the trend of converting asset functions continued to be recorded in the last quarter. Binh Duong recorded more than 18,000 sqm of a ready-built warehouse project converted into a ready-built factory. The average warehouse occupancy rate increased by 7% compared to the previous quarter, reaching 68%; the ready-built factory occupancy rate increased by 3% compared to the previous quarter, reaching 84%.
Vietnam: Industrial Park Market situation in Ho Chi Minh City, Hanoi
According to experts, in the Q3/24, HCM had no new industrial parks put into operation. The current total supply is about 5,000 ha of natural land. Compared to the previous quarter, the industrial land rental price continued to increase by 5% to 240 USD/sqm/term and the occupancy rate was 90%. Hanoi still has no new industrial parks. The market currently has nearly 2,000 ha of industrial land. The average land rental price was recorded at 221 USD/sqm/term and the occupancy rate was 86%.
Hanoi: A Bio-Technology Park with nearly 200 hectares is about to be established
The Deputy Prime Minister has just signed a Decision to establish the Hanoi Bio-Technology Park (HaBiotech). The project is under the Hanoi People’s Committee with an area of 199.03 ha, located in the wards of Tay Tuu, Lien Mac, Minh Khai, Thuy Phuong and Co Nhue 2, Bac Tu Liem District. It has a total investment capital of more than 1 billion USD. It has the function of carrying out high-tech activities in line with the trend of high-tech development with priority given to the field of biotechnology.
Long An: The first 400-hectare Eco-Industrial Park appears
On October 1, investor Prodezi and developer Huong Viet held an event to launch the Prodezi Eco-Industrial Park. It is committed to being a pioneer in sustainable practice and development through four pillars: using renewable energy-reusing, recycling water- developing green buildings, green-certified warehouses – developing organic farms. With a scale of up to 400 ha with VND4,600 billion investment capital, this is the first eco-industrial park in province & the largest in the Mekong Delta.
Long An: Developing a project to establish Long An Economic Zone
Recently, the Prime Minister directed the People’s Committee of Long An province to prepare a dossier to establish an economic zone in accordance with the provisions of Decree No. 35/2022/ND-CP, send it to the Ministry of Planning and Investment for appraisal, and report to the Prime Minister for consideration and decision. The proposed location to establish Long An Economic Zone is in the southeast of the province, in Can Giuoc and Can Duoc districts with about 12,930 ha.
Long An: Investing a Wind Power Equipment Manufacturing Factory
On September 10, at Long An International Port, Dong Tam Group (Vietnam) and CS Wind Group (Korea) signed a memorandum of understanding to lease 50 ha of land in the Long An Southeast Asia Industrial Park. CS Wind Group will build a manufacturing plant, an assembly yard for offshore and onshore wind tower equipment, and supply the global market on a large scale in the world. The total investment capital is about 200 million USD.
Long An: Mitsubishi Estate expands operations in VN with Logicross Nam Thuan project
Mitsubishi Estate – Japan’s leading real estate group, has just held the Groundbreaking Ceremony of the Logicross Nam Thuan project at Nam Thuan Industrial Park, Duc Hoa district, Long An province. With a scale of 11.5 hectares, Logicross Nam Thuan provides about 61,200 m2 of modern ready-built warehouses, including three blocks. After starting in Long An, Mitsubishi Estate plans to expand its operations in the North with the Logicross Hai Phong project.
Nam Dinh: Investing over VND1,657 billion to build Trung Thanh Industrial Park
Deputy Prime Minister has just signed Decision No. 1245/QD-TTg on the policy of investing in the construction and business of infrastructure for Trung Thanh Industrial Park. The land use scale of the project: 200 ha, the project implementation location is in Yen Trung and Yen Thanh communes, district of Y Yen, Nam Dinh province. The total investment capital of the project is VND1,657.098 billion. The project implementation progress is no more than 24 months from the date of land handover by the State.
Thai Nguyen: Approval of 1/500 planning for Song Cong II Industrial Park, Phase 2
Thai Nguyen People’s Committee has just officially approved the detailed construction planning project at a scale of 1/500 for Song Cong II Industrial Park, Phase 2. This project covers a total area of 296.24 ha, spread across Ba Xuyen and Tan Quang communes of Song Cong city. It is invested by Viglacera Thai Nguyen JSC. This is a concentrated industrial park with priority industries such as electronics, telecommunications, renewable energy, new materials, supporting industries, and smart energy.
Dong Thap: Approval for Song Hau 2 Industrial Park and Cao Lanh III Industrial Park
Dong Thap Provincial People’s Council has just issued a Resolution approving the task of making a master plan of Song Hau 2 Industrial Park (IP) and the task of making a zoning plan of Cao Lanh III IP. Accordingly, Song Hau 2 IP will be located in the communes of Binh Thanh, Dinh An, Dinh Yen, Lap Vo district with a total area of 710 ha. Meanwhile, Cao Lanh III IP will be located in the communes of Binh Hang Trung and Binh Hang Tay, Cao Lanh district with a total area of 94 ha.
Bac Kan: Commencement the construction of Quang Chu Industrial Cluster
On October 18, Onsen Fuji Group coordinated with the People’s Committee of Cho Moi district successfully organize the groundbreaking ceremony for the construction of technical infrastructure for Quang Chu Industrial Cluster. The project covers an area of about 74.9 ha. It is expected to be completed and put into operation from the Q4/2025. The project is expected to contribute to the provincial budget from 500-700 billion VND/year, creating jobs for about 10,000 workers.
Da Nang: Expanding the Concentrated Information Technology Park of Da Nang Software Park
On October 22, the Deputy Prime Minister signed Decision No. 1238/QD-TTg approving the expansion of the Concentrated Information Technology Park of Da Nang Software Park. Specifically, the Prime Minister recognized this as a concentrated information technology park called Da Nang Software Park No. 2, located in Thuan Phuoc Ward, Hai Chau District, Da Nang City; the expanded area is 28,573 m2. The People’s Committee of Da Nang City is the investor.
Da Nang: Complete the Project to establish Da Nang Free Trade Zone in December
The Government requested Da Nang to prepare a draft dossier of the Prime Minister’s Decision on adding the management function of Da Nang Free Trade Zone to the High-Tech Park Management Board and send it to the Ministry of Affairs for appraisal. From the fourth quarter of 2024 to the first quarter of 2025, the Ministry of Planning and Investment will preside over the appraisal and submit it to the Prime Minister for issuance of the Decision on the establishment of Da Nang Free Trade Zone.
Binh Dinh: Approval of new Industrial Cluster Project worth over VND373 billion
Binh Dinh People’s Committee has just approved the investment policy of the Project to Build and Operate Technical Infrastructure for the Industrial Cluster of Van Canh Town, Van Canh District with the land use area of 75 ha, and a total estimated investment of over VND373 billion. The progress of completing the entire project is no more than 36 months from the date the investor is recognized as the project investor.
Bac Ninh: Sam Sung invests another 1.8 billion USD
On September 15, Bac Ninh will officially hand over a MoU for Samsung Display Vietnam’s project to produce screens and electronic components in Yen Phong Industrial Park, with a total investment of about 1.8 billion USD. Samsung began investing in Bac Ninh in 2008 with an initial capital of 670 million USD. After more than a decade, Samsung has become the largest foreign direct investor in Vietnam, with a total investment of more than 22.4 billion USD.
Bac Ninh: New High-end Industrial Real Estate Project Coming Soon
With its rapid growth in recent years, Bac Ninh continues to welcome new projects. The high-end industrial real estate project SLP Park Bac Ninh located in Thuan Thanh 2 Industrial Park will officially launch in the fourth quarter of 2024. SLP Park Bac Ninh owns a leasable area of up to 93,374sqm of ready-built factories and Class A warehouses according to the high-end industrial real estate model. The project owns a solar roof system and is LEED certified.
Quang Nam: Korean Enterprise invests 7.2 million USD in Tam Thang Industrial Park
On September 19, Chu Lai Industrial Park Infrastructure Development Company Limited (CIZIDCO) announced that it had just signed a Memorandum of Investment Agreement at Tam Thang Industrial Park with OCC Vina (Korea). Accordingly, OCC Vina Company will invest in a factory producing packaging industry support products here, with a total area of about 32,000 sqm. This project has a total investment capital of more than 182 billion VND; equivalent to 7.2 million USD.
Dong Nai: Investment Decisions Granted to 17 Projects with total of over 6 Billion USD
On September 24, 17 investment projects were granted by the Dong Nai Provincial People’s Committee to enterprises with a total capital of over 6 billion USD. Typical industrial projects include: Tan Hiep – Bau Can Industrial Park with a scale of phase 1 over 1,000 ha; Project for manufacturing optical equipment and instruments (29 million USD); Project for manufacturing semiconductors for electronics applications (54 million USD); Regza Vietnam TV Factory Project (40 million USD)…
Dong Nai: KCN Group starts construction of LEED-Certified Ready-Built Warehouse
Vietnam Industrial Park Group JSC officially started construction of Phase 1 of the high-quality ready-built warehouse project in Sub-area D, Nhon Trach VI Industrial Park (Dong Nai) on October 25. The project covers an area of 14.5 ha and will provide more than 97,000 sqm of leasable floor space. Phase 1 is expected to be completed in the Q2/2025 and will provide more than 44,000 sqm to the market. The project is built according to LEED Gold standards.
Dong Nai: German polyurethane (PU) manufacturer sets up factory
On October 10, Pearl Group (Germany) established its first factory in An Phuoc Industrial Park, An Phuoc Commune, Long Thanh District, Dong Nai Province. The factory has strengths in advanced mixing as well as prepolymer production. The factory in Vietnam is expected to become a bridge for customers (with demand for PU materials) in India, shortening delivery time compared to China, Japan and Korea, and benefiting from the Free Trade Agreements – FTAs of the two regions.
Binh Duong: Investment Decisions Granted to 8 Projects with total capital of $1.8 Billion
On September 26, Binh Duong Province granted investment approval decisions and investment registration certificates to 8 projects, with a total investment capital of 1.8 billion USD. Notably: Project of D.mag Vietnam Precision Technology Co.,(120 million USD); Factory 2 Project of Paihong Vietnam Co., Ltd. (400 million USD); Sembcorp Binh Duong Infrastructure Services Project (51.5 million USD) and Project of Tektro Technology Vietnam Company (38 million USD).
Hai Phong: Inauguration of a $30 million Door Closer Factory
On October 10, at DEEP C 2B Industrial Park in Hai Phong, the inauguration ceremony of the Assa Abloy Vietnam Hardware Structure Factory took place, with a total investment of $30 million. It was invested by Assa Abloy Vietnam Co., Ltd.; investment was implemented from November 2022 with the goal of producing door closers. To date, It has completed the construction of the factory and all utilities for the factory, completing the installation of machinery and equipment for the production line.
HIGHLIGHTS OF LOGISTICS MARKET
Vietnam: Total import-export turnover is est. at 578.47 billion USD in the first 9 months
The total value of import-export goods in September 2024 reached 65.81 billion USD, down 8% compared to the previous month. Of which, the export value reached 34.05 billion USD, down 9.9% (equivalent to a decrease of 3.74 billion USD) compared to August 2024; the import value reached 31.76 billion USD, down 5.9%(equivalent to a decrease of 1.98 billion USD) compared to the previous month. Vietnam’s trade balance in September 2024 recorded a trade surplus of 2.29 billion USD.
Hau Giang: Construction of Port and Logistics Center worth over VND1,300 billion
On October 18, Mekong Logistics JSC started construction of Port and Logistics Center – Phase 2 at Song Hau Industrial Park – Phase 1, Dong Phu Commune, Chau Thanh District, Hau Giang. The project is invested in building a logistics center with a total investment of VND1,350 billion with an area of 15 ha. The project has a maximum capacity of 50,000 pallets, a dry warehouse of 46,142 sqm, and a port area of 50,868 sqm.
Ca Mau: Approval of investment policy to expand and upgrade Ca Mau Airport
Deputy Prime Minister has just signed Decision No. 1188/QD-TTg dated October 15, 2024 approving the investment policy of the Project to expand and upgrade Ca Mau Airport. The scale of the project is to build a new runway measuring 2,400 m × 45 m, ensuring the operation of A320, A321 and equivalent aircraft. The construction area of the passenger terminal is about 2,668 m2, the total construction floor area is about 4,200 m2, 2 floors, the height of the building is about 9.5 meters.
Hai Duong: Approval of investment in Ninh Giang Inland Water Port Project
Hai Duong People’s Committee has approved the investment policy and approved the investor, Vietnam National Shipping Lines – JSC to implement the Ninh Giang Inland Water Port Project. It is located in Hong Phuc and Kien Quoc communes, Ninh Giang district, Hai Duong province. The area is about 27.07 ha. The project has a design capacity of 3 million tons of goods/year. The total preliminary investment capital of the project is 1,496 billion VND.
Bac Ninh: Opening Tien Son Dry Port, area of over 114,800 sqm
The Ministry of Transport has just announced the opening of Tien Son Dry Port in Tien Son Industrial Park. The port has an area of over 114,800 sqm invested by Bac Ky Investment JSC. The port will operate, provide services and carry out import and export procedures for goods at the dry port in accordance with the provisions of Decree No. 38. It has multimodal connections with roads and connects with Hai Phong, Quang Ninh seaports and Lang Son border gate. It has a capacity of 120,000 TEUs/year.
Source: Catherine Huỳnh
