General Introduction
The VSIP Hai Phong Industrial Park project is the fourth collaboration of VSIP Group – a joint venture between Becamex IDC (Binh Duong) and SembCorp Industries (Singapore). The project is located north of the Cam River, Thuy Nguyen district, Hai Phong, with a scale of 1600ha and an investment capital of up to 1 billion USD.
The VSIP Hai Phong project is one of the important projects not only for Hai Phong city but also for the socio-economic development of the Northern region. The project is a complex of modern industrial parks, services, and urban areas, with synchronous technical infrastructure meeting standards and quality.
With modern, synchronous infrastructure and a conveniently connected traffic system, VSIP Industrial Park has created conditions to attract many domestic and foreign investors, especially investors from Japan, South Korea, the US, Europe, etc. Projects currently in operation have created jobs for about 50,000 workers, thereby contributing to ensuring stable employment, increasing income for workers, and promoting the socio-economic development of the City.
Besides, aiming for green design and the desire for VSIP Hai Phong to be a green lung providing investors and workers with an airy and fresh working environment, about 200ha of green trees have been invested and designed, arranged harmoniously with the landscape of the industrial park. In 2020, VSIP was honored to receive the "Green Industrial Park 2020" award certified by the Vietnam Association of Economic and Commercial Information Consultants under the Ministry of Industry and Trade.
VSIP Hai Phong Industrial Park focuses on investing in clean industries such as information technology, electronics, and pharmaceuticals.
Overview Information
- Name: VSIP – Hai Phong Industrial Park
- Developer: VSIP Hai Phong Co., Ltd.
- Scale: 1600 ha (500 ha industrial park, 1100 ha urban area)
- Available area:
- Rental price: 80-90 USD
- Leasable area: 1700m2; 2,550 m2; 2,750 m2
- Target industries: information technology, electronics, pharmaceuticals, etc.
Strategic location
VSIP Industrial Park is located in the Dinh Vu – Cat Hai Economic Zone, situated at the northern gateway of Hai Phong City, less than 5km from the city center, and can flexibly connect to the city's key project clusters via the modern East-West Avenue and North-South axis, Provincial Road 10, and Provincial Road 359.
VSIP Hai Phong Industrial Park has a very convenient traffic connection location:
- Approximately 8 km from Hai Phong port
- Approximately 15 km from Cat Bi International Airport
- Approximately 46 km from Cai Lan port
- Approximately 120 km from Noi Bai International Airport
Infrastructure and utilities
VSIP Hai Phong is one of the key development projects of Hai Phong city with the goal of building a modern urban and industrial area with synchronous technical infrastructure meeting international standards and quality, while creating a cohesive and effective environment for the business operations of investors and residents in the industrial park and urban area of the project.
Road system: 2 main axes: East-West Avenue 6.1km long, width: main road: 80m, 90m, branch road: 26m, 56m; North-South Avenue: 4.8km long, 80m wide.
Power supply system: with a transformer station with a total capacity of 200MVA, of which phase 1: 54 MVA.
Clean water supply system: with a water supply plant: 69,000m3/day and night. Wastewater treatment system: Waste treatment plant with a total of: 39,000m3/day and night, with phase 1: 4,500m3/day and night.
Standard factory: 1700m2; 2,550 m2; 2,750 m2
Participating Investors
With synchronously invested, modern infrastructure, and a favorable geographical location and transport network, the entire area of the VSIP Hai Phong project is located within the Dinh Vu – Cat Hai Economic Zone. Consequently, businesses operating within the VSIP Hai Phong project benefit from special investment incentives as stipulated by the Government. By applying Singaporean experience in industrial park and urban planning and management, adapted to the conditions of Hai Phong, VSIP Hai Phong serves as a typical example of long-term and sustainable development. The VSIP Hai Phong industrial park has attracted numerous investors from South Korea, Singapore, Japan, Europe, etc. Notable transnational corporations that have invested in VSIP Hai Phong include: Nipro Pharma Group, with a pharmaceutical and medical device manufacturing plant project valued at 250 million USD; and Fuji Xerox, which invested 119 million USD in the production and trading of photocopiers, multi-functional devices, and printers. To date, the total investment capital in the VSIP Hai Phong Industrial, Urban, and Service Park has reached over 1 billion USD.
Operational Period and Investment Costs
Project duration:
- 50 years from the date of issuance of the investment certificate
- Investors can lease long-term or transfer and invest
- During the lease period, investors can sublease or transfer to other small investors
Investment costs:
- Rental price including infrastructure: 80-100 USD/m2. Electricity price: 0.1 USD/kWh during peak hours; 0.05 USD/kWh during normal hours; 0.03 USD/kWh during off-peak hours.
- Water price: 0.4 USD/m3
- Labor cost: with a reference price of 200-500 USD/person/month, depending on the job position
- Management fee: 0.5 USD/m2/year
- Wastewater treatment fee: 0.3 USD/m3
Special Incentives
Investment projects in the Dinh Vu – Cat Hai Economic Zone follow a rapid and convenient investment registration process to obtain an Investment Registration Certificate and enjoy incentives applicable to areas with exceptionally difficult socio-economic conditions, as stipulated by the Law on Investment, Law on Land, Law on Corporate Income Tax, Law on Export and Import Duties, Law on Cooperatives, and other tax-related legal regulations, specifically:
Corporate Income Tax:
Cooperatives and newly established business entities from investment projects are entitled to a corporate income tax rate of 10% for 15 years, starting from the time the project begins production and business operations; they are exempt from corporate income tax for 4 years from the time of generating taxable income and receive a 50% reduction in payable tax for the following 9 years.
Projects belonging to the list of sectors with special investment incentives and having a significant socio-economic impact that require higher encouragement shall be submitted by the Ministry of Finance to the Prime Minister for decision in cases where higher incentives are needed.
Personal Income Tax:
Vietnamese and foreign individuals working in the Economic Zone receive a 50% reduction in income tax for those whose income is subject to personal income tax.
Export and Import Duties:
Exported and imported goods in the following cases are not subject to export or import duties:
- Goods exported from non-tariff zones to foreign countries
- Goods imported from foreign countries into non-tariff zones and used exclusively within the non-tariff zone
- Goods transferred from one non-tariff zone to another
Value Added Tax (VAT):
Goods and services traded between foreign countries and non-tariff zones, and between non-tariff zones themselves, are not subject to VAT. Goods and services sold or supplied within a non-tariff zone are subject to a 0% VAT rate.
Special Consumption Tax:
Goods are not subject to special consumption tax in the following cases:
- Goods imported from foreign countries into a non-tariff zone.
- Goods sold from the domestic market into a non-tariff zone and used exclusively within the non-tariff zone.
- Goods traded between non-tariff zones, excluding passenger cars with fewer than 24 seats.
Land and Water Surface Rental Fees:
Exemption from land and water surface rental fees for the entire lease term in the following cases:
- Investment projects in sectors with special investment incentives located in areas with exceptionally difficult socio-economic conditions.
- Projects using land to build housing for workers in industrial parks. Land used for common infrastructure construction within an industrial park.
- Exemption from land and water surface rental fees after the basic construction period exemption: 11 years for investment projects in areas with exceptionally difficult socio-economic conditions.
- 15 years for projects on the List of sectors with investment incentives located in areas with exceptionally difficult socio-economic conditions.
