Vinh Phuc welcomes 15 new FDI projects in eight months

Illustrative image (Photo: vietnambiz.vn)

Vinh Phuc (VNA) - Industrial parks in the northern province of Vinh Phuc attracted 15 new FDI projects in the first eight months of this year.

Thirty-two existing projects also added capital totalling more than 220 million USD in the period, equal to 42 percent of the figure in the same period last year and 67 percent of the annual plan.

More than 414 billion VND (17.89 million USD) was poured into two new domestic direct investment (DDI) projects and two other existing projects.

Vinh Phuc is now home to eight industrial parks.

Binh Xuyen district alone has seven industrial parks covering nearly 2,000 ha in total: Thang Long Vinh Phuc, Binh Xuyen, Binh Xuyen II, Ba Thien, Ba Thien II, Son Loi, and Nam Binh Xuyen, taking the lead in the province in terms of number of industrial parks and investment projects.

The Thang Long Vinh Phuc Industrial Park has attracted dozens of investors from Japan, with combined capital exceeding 200 million USD, despite having only just finished the first phase of construction.

There have been a total of 369 valid projects at local industrial parks, including 63 domestic projects valued at nearly 15 trillion VND (647 million USD) and 306 FDI projects worth more than 4.2 billion USD.

A total of 326 investment projects were launched at industrial parks in the 2011-2020 period, of which 286 were FDI projects, accounting for the lion’s share, or 75 percent, of registered capital, at in excess of 1.9 billion USD.

Forty or so domestic projects got underway in the period, with capital hitting 5.1 trillion VND (220 million USD). They account for 10 percent of the total of such projects since 2011.

Of note, Vinh Phuc has not attracted any FDI projects in agricultural production in recent times. Existing projects in the province are primarily in processing, electronic components, auto and motorbike spare parts, export-import services, and logistics.

Meanwhile, DDI projects are mostly in trade and services.

In the time to come, the management board of industrial parks will continue to help companies carry out their projects and will urge infrastructure developers to speed up works at industrial parks, so the schedule approved by the provincial People’s Committee is met, while attracting infrastructure investment in works yet to welcome investors.

To raise occupancy rates and attract increasing numbers of projects applying high and advanced technology in industrial parks, Vinh Phuc will introduce mechanisms and incentives and expand industrial parks and industrial clusters in preparation for the next phase of investment attraction.

For the 2021-2030 period, the province has set itself a target of welcoming investment of up to 5 billion USD from FDI projects and about 60 trillion VND (nearly 2.6 billion USD) from DDI projects.

During the 2016-2019 period, in addition to investment promotion activities conducted at home, the province also promoted its image abroad, especially in developed countries such as the UK, Germany, the Czech Republic, Italy, Japan, and the Republic of Korea.

Projects have come from investors in 18 countries and territories around the globe. The Republic of Korea has the most, with 210, followed by Japan, China, and Thailand.

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

Thanks to the province’s endeavours to complete infrastructure at industrial parks and build a transport network that connects them all together, as well as local efforts to improve the business environment and reform administrative procedures, Vinh Phuc has become increasingly popular among foreign investors./.