Vinh Phuc attracts 21 new projects in nine months

Vinh Phuc (VNA) – The management board of industrial parks in northern Vinh Phuc province granted investment licences to 57 projects in the first nine months of this year. 

They included 21 new projects and 36 existing ones that want to adjust their investment.

The province now accommodates 371 valid projects in industrial parks, including 65 domestic direct investment (DDI) projects with total investment capital of more than 15.19 trillion VND (656.8 million USD), and 306 foreign direct investment (FDI) projects valued at over 4.27 billion USD.

The board said it will step up investment promotion activities, targeting both traditional markets like Japan, the Republic of Korea, China, and Taiwan; promising markets such as the US and the EU; and countries that are members of the Free Trade Agreements (FTAs) and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

The locality expects to attract 550 million USD in FDI this year. As of August, it licensed 20 new FDI projects with combined capital amounting to 110.89 million USD, and 35 existing projects with additional capital of 191.82 million USD.

By the end of August, the province counted 402 valid FDI projects worth more than 5 billion USD.

From now till the end of this year, apart from containing COVID-19, Vinh Phuc will continue with measures to improve its investment environment, remove difficulties facing businesses, and step up the compensation and land clearance work.

Vinh Phuc has been a destination of choice for investors, both domestic and foreign, amid the COVID-19 pandemic.  

Representatives from the province’s Department of Planning and Investment said factors that help draw investors to the locality include the availability of clean infrastructure, convenient transport and reasonable land lease prices.

Many global groups have made their presence in Vinh Phuc, such as Toyota, Honda, Sumitomo from Japan, Piaggio from Italy, De Heus from the Netherlands, Daewoo, Haesung Vina, Partron Vina, Cammsys from the Republic of Korea, Prime Group from Thailand and Weldex from the US.

Officials from the Department of Planning and Investment said the provincial authorities will continue to push forward with administrative reform, focusing on streamlining administrative procedures to reduce time and costs for enterprises.

Vinh Phuc will promote the application of information technology (IT) in administrative procedures with the goal of creating the best possible environment for production and business, thus enhancing the attraction of FDI and investment from society.

During the period of social distancing to curb the spread of the COVID-19 pandemic, agencies in Vinh Phuc still maintained their connections with investors through many channels, providing them with consultations and latest information. The province has also intensified online investment promotion activities, so as to attract investors after the pandemic is put under control.

Vinh Phuc has designated 18 industrial parks with total area of 5,228 ha in a master plan to 2020 approved by the Prime Minister. By now nine industrial parks have received investment certificates. Industrial parks in Vinh Phuc have good technical infrastructure and professional management, thus contributing to attracting investors to the province. They reported an average occupancy rate of nearly 62 percent.

Thanks to the province’s endeavours to complete infrastructure in industrial parks and a transport system connecting them, as well as efforts to improve the business environment and reform administrative procedures, Vinh Phuc has become more popular among foreign investors.

The province reported total industrial production value of 11 trillion VND in the first six months of this year, down 9 percent year on year, which it attributed to the impact of the COVID-19 pandemic. The output of most main products declines, such as automobile down 24.8 percent, motorbike 14.4 percent, and electronic parts 7.7 percent./.