Vietnam is witnessing the strong development of high-tech parks as part of its strategy to attract investment and drive national digital transformation. With outstanding advancements in infrastructure, a high-quality workforce, and attractive incentive policies, Vietnam’s high-tech parks are not only appealing destinations for domestic enterprises but also ideal choices for international investors. KTG Industrial will introduce the three most prominent high-tech parks in Vietnam and the investment opportunities.
What is a High-Tech Industrial Park?
A high-tech industrial park is a specialized zone that attracts investment projects in high-tech industries, information technology, technology transfer, science and technology incubation, innovation-driven startups, research and development, education, and training. According to Decree 35/2022/ND-CP, at least 30% of the industrial land within these parks must be allocated for high-tech projects [1].
Each high-tech park may have one or multiple infrastructure investors responsible for developing and operating its facilities.
Government Policies on High-Tech Industrial Park Development:
- Encouraging and supporting organizations and individuals to establish new or convert existing industrial zones into high-tech industrial parks.
- Incentive policies vary by location and industry, including support in administrative procedures, technical consultancy, investment promotion, and access to investment cooperation information.
3 High-Tech Parks in Vietnam
Ho Chi Minh City High Tech Park (SHTP)
Area: 913 ha [2]
Location: Northeast gateway of Ho Chi Minh City
SHTP Benefits from Government Incentives
Located at the Northeast gateway of Ho Chi Minh City, SHTP enjoys a strategic position near key transportation routes such as Hanoi Highway and Ring Road 2, offering easy access to Tan Son Nhat Airport, Cat Lai Port, and central districts. This advantageous location facilitates seamless connections with the city center and neighboring provinces, optimizing production and logistics operations [3].
Notably, the Ben Thanh – Suoi Tien Metro Line, operational from December 22, 2024, will further enhance connectivity between the high-tech park and downtown Ho Chi Minh City [15].
Metro Station at Saigon High Tech Park Enhances Worker Mobility
Infrastructure & Facilities:
- Modern infrastructure meeting high-tech standards, including synchronized power, water, telecommunications, and wastewater treatment systems.
- Dedicated zones for research, training, and business incubation.
- Comprehensive amenities: innovation centers, specialized laboratories, and startup incubators.
Scale:
- A vast total area with clearly defined zoning.
- Comprises high-tech production zones, research and development areas, and business incubation spaces.
- Types of industrial spaces: ready-built factories and leasable industrial land to meet the demands of high-tech enterprises.
Policies & Incentives:
- Attractive to investors with corporate income tax incentives and exemptions on imported equipment.
- Investment support policies and tailored benefits for technology experts.
Workforce:
- Access to a high-quality labor pool from universities and research institutes in Ho Chi Minh City.
- Internal training programs supported by regional training centers.
Established on October 24, 2002, Saigon High Tech Park is one of Vietnam’s three national high-tech parks. It has successfully attracted major corporations such as Intel, Samsung, and Nidec. The presence of these global giants has encouraged additional investments, fostering a robust startup and R&D ecosystem.
Key Industries at SHTP:
- Microelectronics, information technology, telecommunications.
- Precision engineering, automation.
- Biotechnology for pharmaceuticals and environmental applications.
- Renewable energy, new materials, nanotechnology.
SHTP adheres to strict legal regulations while maintaining flexibility in assisting businesses with investment procedures and administrative processes. Moreover, the park prioritizes projects that utilize clean energy and environmentally friendly technologies, ensuring a sustainable and investor-friendly business environment.
Beyond manufacturing, SHTP serves as a research and innovation hub, fostering strong collaborations between universities, research institutes, and enterprises. As a result, it has attracted extensive international partnerships and engagement with multinational corporations from various industries.
Hoa Lac High Tech Park
Total Area: 1,586 ha
Location: Quoc Oai and Thach That districts, Hanoi [4]
Hoa Lac High Tech Park is attracting major technology enterprises, both domestic and international.
Established in 1998, Hoa Lac High Tech Park (HHTP) holds a strategic location, just a 30-minute drive from Hanoi’s city center via Thang Long Boulevard, a modern six-lane expressway. Additionally, a planned elevated railway connecting Hoa Lac to downtown Hanoi is set to be operational by 2026. The park is also conveniently located near Noi Bai International Airport (1-hour drive) and has seamless connections to key international seaports such as Hai Phong and Cai Lan, with travel times ranging from 1.5 to 2 hours [5].
HHTP serves as a crucial hub linking northern Vietnam’s major industrial zones within a 100 km radius, facilitating research, production, and logistics activities.
High-Standard Infrastructure [6]:
- Power Supply: 110/35/22kV 3x63MVA and 110/22kV 2x63MVA transformer stations.
- Water Supply: Song Da – Hanoi water system, with a pumping capacity of 43,000 m³/day-night and 8,000 m³/day-night.
- Telecommunications: 96-core fiber optic cable system.
- Wastewater Treatment: Processing capacity of 42,000 m³/day-night.
Tax Incentives for Investment Projects at HHTP:
- Corporate Income Tax [7]:
- 10% preferential tax rate for 15 years for new investment projects.
- 10% preferential tax rate for 30 years for projects with capital investment of at least VND 4,000 billion.
- 100% tax exemption for the first 4 years, followed by a 50% reduction for the next 9 years.
- Import Tax Exemptions:
- Exemption for imported goods used for fixed assets of the project.
- Exemption for imported goods for scientific research and technological development.
- 5-year exemption for imported raw materials, supplies, and components not yet produced domestically.
HHTP has implemented a “one-stop service” to streamline administrative procedures, saving investors time and effort. This service connects investors with government agencies, including the Hoa Lac Customs Branch, ensuring fast and efficient customs clearance. The “one-stop, on-site” model, combined with the ISO 9001:2008 system, enhances transparency and efficiency in administrative management.
HHTP is home to prominent universities such as FPT University, Vietnam-France University, Van Lang University, and Vietnam National University, ensuring a high-quality workforce for investors [8].
HHTP invites investments in various sectors, including manufacturing, research, training, business, infrastructure development, and finance. The park prioritizes high-tech projects in:
- Information technology
- Biotechnology
- New materials technology
- Automation technology
High-tech products and technologies developed here align with Decision No. 38/2020/QD-TTg by the Prime Minister [9].
Da Nang High Tech Park
Total Area: 1,130 ha
Location: Hoa Ninh and Hoa Lien communes, Hoa Vang district, Da Nang City
Da Nang High Tech Park Attracts Leading Technology Enterprises
Established under Decision No. 1979/QD-TTg on October 28, 2010, Da Nang High Tech Park (DHTP) is the only national high-tech park in central Vietnam. Covering 1,128.40 ha, it consists of specialized zones for high-tech manufacturing, research and development, training, business incubation, and logistics services [10].
Geographical Advantage [11]:
- Located 22 km from Da Nang city center, with convenient access via road, sea, and air connectivity.
- Proximity to key central economic zones such as Chan May-Lang Co, Chu Lai, and Dung Quat.
Infrastructure:
- Comprehensive investment in transport networks, electricity, water supply, drainage, and telecommunications.
- Roads, power, water, and wastewater treatment systems are designed to support efficient business operations.
Rental Costs & Investment Incentives:
- Transparent pricing for infrastructure rental and utilities such as electricity, water, and wastewater treatment.
- Investment incentives and simplified procedures to facilitate both domestic and international investors.
DHTP is rapidly developing, attracting significant domestic and foreign investments. Key promoted industries include biotechnology, microelectronics, automation, new materials, information technology, and environmental technology.
DHTP aims to attract high-tech resources, integrating research, production, and services to foster technological innovation, business incubation, and market development.
Notable investment projects include an FDI project by Universal Alloy Corporation Vietnam, with a total investment of USD 170 million. The park has a high occupancy rate, with clearly defined land pricing and infrastructure usage fees, ensuring transparency for potential investors.
Investment Incentives for High Tech Park Development in Vietnam
Land Lease Incentives
Investment projects in high tech park infrastructure development in Vietnam are eligible for land lease exemptions and support for site clearance and land compensation, as stipulated in Decree 10/2024/ND-CP [12].
The government encourages organizations to develop critical infrastructure such as electricity, water, and transportation. These projects are also prioritized for state credit loans and participation in high-tech development and smart city support programs. These policies make high tech parks attractive investment destinations.
Corporate Income Tax and Import Tax Incentives
Previously, under Decision 53/2004/QD-TTg in 2004, investors were entitled to a 10% corporate income tax (CIT) rate throughout the project duration. However, after the Corporate Income Tax Law 2008 took effect, this tax rate was adjusted to 10% for 15 years for income generated from high tech park investment projects [13].
Investors expanding projects can choose between two incentive schemes:
- Continuing to benefit from the existing preferential tax rate for the remainder of the project.
- Applying tax incentives only to additional income generated from the expansion (not subject to the preferential tax rate).
To qualify, businesses must increase the original cost of fixed assets by at least VND 10 billion or increase total assets by 20%. If these criteria are not met, the existing tax incentives will continue without any rate adjustment.
Additionally, investors receive a five-year exemption from import duties on raw materials and components that are not yet manufactured domestically.
Preferential Policies for Market Entry Strategies
Corporate Income Tax Incentives [14]:
- 10% preferential tax rate for 15 years for projects related to high technology, environmental protection, renewable energy, and essential infrastructure.
- Full tax exemption for four years and a 50% reduction for the following nine years for research, high-tech, and environmental projects.
- From 2016, a 20% tax rate applies, with a two-year exemption and a 50% reduction for four years for newly established businesses in industrial parks outside Ho Chi Minh City.
Import Tax Incentives [14]:
- Exemption from import duties on products used for scientific research, technology, and production in priority investment sectors, including equipment, machinery, components, and raw materials not yet produced domestically.
- Enterprises in specially encouraged investment sectors can receive a five-year import tax exemption from the start of production.
Conclusion
Vietnam’s high tech parks offer modern infrastructure, attractive tax incentives, and significant business opportunities for investors seeking expansion in technology sectors. With prominent high tech parks such as Hoa Lac, Ho Chi Minh City, and Da Nang, Vietnam is emerging as a key investment hub in Southeast Asia. These incentives and business prospects will continue to drive the nation’s technological economy forward in the coming years.
