Vietnam’s economy has been growing robustly, as evidenced by the rapid increase in the number and diversity of industrial parks across the country. However, there is a lack of information about key industrial parks in Vietnam. This article, provided by KTG Industrial, aims to offer some insights.
How many Industrial Parks are there in Vietnam?
As of July 2024, Vietnam boasts over 429 industrial parks (IZs) with a total area of approximately 132,300 hectares. Of these, over 300 IZs are operational, attracting significant domestic and international investment. Additionally, there are 39 industrial parks located in coastal economic parks and 8 in border economic parks.
This growth underlines Vietnam’s increasing importance in the global economic landscape. Specifically, income from industrial parks contributes about 35-40% of the country’s additional FDI. For the processing and manufacturing sectors, these parks account for 70-80% of the nation’s total registered FDI.
Vietnam’s Major Industrial Parks
Northern Region
Most industrial parks in the northern region are concentrated in the midlands and the Red River Delta. Seven key provinces and cities in this economic hub include Hanoi, Bac Ninh, Hai Phong, Quang Ninh, Vinh Phuc, Hai Duong, and Hung Yen. These parks specialize in producing electronics, textiles, shipbuilding, and more, attracting investment from major global brands like Samsung and Goertek. And contribute 32% of Vietnam’s GDP.
Central Region
With its favorable natural conditions—coastal proximity and mild weather—the central region of Vietnam features over 56 industrial parks spread across 11 provinces and cities. The five most prominent parks are located in Thua Thien Hue, Da Nang, Quang Nam, Quang Ngai, and Binh Dinh. Businesses in these parks typically focus on IT, mechanics, electronics, industrial machinery, and food production.
Industrial parks in the Central of Vietnam are experiencing rapid development
Southern Region
The Southern region leads the country with 183 industrial parks. Eight key provinces and cities—Ho Chi Minh City, Binh Duong, Dong Nai, Long An, Binh Phuoc, Ba Ria-Vung Tau, Tay Ninh, and Tien Giang—form a vital economic hub. Recent statistics show that this region consistently generates stable revenues, accounting for 40% of Vietnam’s GDP and 42% of the country’s total FDI. Like other regions, Southern industrial parks prioritize the production of electronics and IT products, but they also diversify into agricultural goods and software development.
Provinces and cities with the most industrial parks in Vietnam
To understanding the industrial landscape, it requires more information of regions that host the key production areas listed below:
Ho Chi Minh City
This is one of the areas with the most industrial parks in our country, with 19 parks and a total area of 4,546 hectares. Some prominent industrial parks here are Dong Nam Industrial Park (342 hectares), Vinh Loc Industrial Park (207 hectares), Cat Lai II Industrial Park (136.95 hectares), …
In addition, Ho Chi Minh City has also reached to impressive economic achievements due to many different factors of “favorable time, favorable location, and favorable people”. For example, abundant human resources, new techniques applied, prime location and easy access from West to South, etc.
Currently, the cost of renting land in this area is relatively high, fluctuating around 198 USD/m²/lease term, thanks to the advantages of location and human resources. However, businesses must consider carefully before choosing to rent so as not to greatly affect revenue.
Ho Chi Minh City is one of the key industrial parks in our country
Dong Nai
Dong Nai is the leading province in our country with highest numbers of industrial parks with more than 39 industrial parks, 18.5 thousands… hectares and a total land occupancy rate of 86%. Currently, there are 31 industrial parks, bringing in more than 317.65 million USD in investment capital (as of November 2023) [3].
Accordingly, big industrial parks in Dong Nai are Dau Giay Industrial Park, Xuan Loc Industrial Park, Nhon Trach Industrial Park, Long Thanh Industrial Park, etc. Land rental fees in industrial parks in Dong Nai have increased sharply in recent years. Specifically, land prices have increased dramatically from VND 2,000/m2 to VND 35,000 – 40,000/m2 (meaning an increase of 15 – 20 times since 2019) [3].
Binh Duong
Binh Duong is another key important industrial park in our country with more than 31 production areas on 12,721 hectares. Moreover, despite of the less extensive industrial parks compared to Ho Chi Minh City or Dong Nai, Binh Duong IZs are almost 90% occupied. Notable industrial parks in Binh Duong include Vietnam – Singapore VSIP, VSIP II, Bau Bang Industrial Park, Binh An Industrial Park, and Dong An Industrial Park, etc.
According to CBRE Vietnam, average rental price in Binh Duong is 100 – 250 USD/m2/rental cycle [4].
Long An
With an occupancy rate of 85% for more than 4,500 hectares, Long An is one of the provinces with many key industrial production locations in Vietnam. It is expected that by 2030, spanning over 17 new industrial parks with an area of 3,200 hectares, bringing the total number to 51. Typical industrial parks in Long An province are Phuoc Dong Port Industrial Park, Long Hau Industrial Park, Xuyen A Industrial Park, etc.
Currently, average rental price at this market is approximately 125 – 275 USD/m2/rental cycle. In general, this is an average land rental rate among key areas in Vietnam [4].
Long An Industrial Park has a rapid growth rate
Bac Ninh
This is the area with the strongest growth in the North with more than 15 industrial parks B spanning over 8,033 hectares. The prominent industrial parks in Bac Ninh province are Tien Son Industrial Park, Yen Phong Industrial Park, Que Vo Industrial Park, etc.
With its convenient location for the transportation of goods, Bac Ninh broke the record of 160 USD/m2/rental period (more than 40% compared to 2022).
Top 7 outstanding industrial parks in Vietnam
Yen Phong I Industrial Park – Bac Ninh
When discussing the largest industrial parks in northern Vietnam, Yen Phong I Industrial Park is undoubtedly a standout. Spanning an area of 344.81 hectares, it includes 246.32 hectares dedicated to industrial land.
Strategically located between Hanoi and Bac Ninh, Yen Phong I benefits from proximity to key transportation routes, offering convenient access to economic and political hubs. Notably, the park has successfully attracted projects across various sectors, including mechanical engineering, high technology, consumer goods, and food production.
My Phuoc Industrial Park – Binh Duong
Established in August 2006, My Phuoc (Binh Duong) stands out with a total area of up to 2,280 hectares and quickly became the most important industrial park in the Southern region. The remarkable development of My Phuoc Industrial Park and its connection with key economic centers such as Ho Chi Minh City, Binh Duong, Dong Nai and Ba Ria – Vung Tau have created a strong economic momentum for the entire Southern region.
The special feature of My Phuoc Industrial Park lies in its developed infrastructure, which is synchronously invested and meets international standards. Additionally, the facilities merge to green standards, develop the sustainable and environmentally friendly industry in the area.
Tan Tao Industrial Park – Ho Chi Minh City
Officially put into operation since 1996, Tan Tao has been in the TOP of the largest industrial parks in the Southern region with a total land area of up to 182.55 hectares and an occupancy rate of more than 97% [5].
With a prime location – National Highway 1A towards the Saigon – Trung Luong Expressway, Tan Tao Industrial Park creates seamless connectivity for both domestic and international businesses.
Nhon Trach Industrial Park – Dong Nai
Located in the Southwest of Dong Nai province, 9 industrial parks in Nhon Trach are ideal destinations for many businesses in the manufacturing and processing sector. In addition, the total population of the district is more than 260,000 people, as an abundant labor force for the manufacturing industry.
Moreover, the location of the industrial park is adjacent to Ho Chi Minh City, Ba Ria – Vung Tau, and other provinces, it allows businesses to efficiently distribute goods to neighboring areas via the road traffic network.
Becamex Industrial Park – Binh Phuoc Province
Becamex is one of the largest industrial parks in Vietnam with an estimated total planned area of up to 4,600 hectares. It’s convenient to transport from here to Ho Chi Minh City and other key provinces and cities, such as Binh Duong, Dong Nai, and Ba Ria – Vung Tau.
Therefore, Becamex is the top destination for businesses specializing in domestic operationss with with optimal transportation costs.
Becamex has been strongly attracting large domestic and foreign corporations and enterprises
Binh Xuyen Industrial Park – Vinh Phuc
Binh Xuyen in Vinh Phuc owns a prime location, attracting strong attention and investment from businesses, regardless of the high price. In addition, the infrastructure here is periodically inspected and upgraded, ensuring stable production and distribution activities.
According to the latest data, there are about 60 enterprises/corporations investing in Binh Xuyen, creating good opportunities for the local economy to grow rapidly.
Phu Nghia Industrial Park – Hanoi
Located on National Highway 6A between Xuan Mai and Chuc Son towns, Phu Nghia Industrial Park has become a key hub for local communities. The industrial park not only creates attractive job opportunities but also provides significant value to the society and economy of the country.
Currently, there are 170 hectares spanning over Phu Nghia IP, which serves a lot of businesses such as Toyota, Viet Chin, Starlight, etc.
KTG Industrial – A Trusted Industrial Real Estate Leasing Provider in Vietnam
Proud to be one of the leading developers in Industrial Real Estate in Vietnam, KTG Industrial is committed to providing real estate one-stop services such as consultancy services, legal services, etc.
We’re located in key economic parks across Vietnam such as Dong Nai, Bac Ninh, providing:
- Ready-built factory
- Ready-built warehouse
- Built-to-suit factory
KTG Industrial creates stable real estate solutions for all businesses
KTG Industrial is committed to bringing sustainable value to businesses throughout our partnership. Our commitment to the growth of Vietnam’s economic parks goes beyond developing physical space. We actively foster innovation, create collaborative environments, and build a strong community.
The article has provided a comprehensive understanding of the industrial parks in Vietnam. With this insight, business owners can have investment decisions, ensuring stable profits and competitive rental rates. Contact us for more business insights and opportunities!
References:
[1] Phat trien khu cong nghiep va mo hinh khu cong nghiep sinh thai gan voi tang truong xanh, phat trien ben vung, kinh te tuan hoan. (2024). Mpi.gov.vn. https://www.mpi.gov.vn/portal/Pages/2024-8-23/Phat-trien-khu-cong-nghiep-va-mo-hinh-khu-cong-ngh0qfsuf.aspx
[2] Thuc day phat trien ben vung khu cong nghiep Viet Nam. (2024, April). Moit.gov.vn; Cong thong tin dien tu Bo Cong Thuong. https://moit.gov.vn/phat-trien-ben-vung/thuc-day-phat-trien-ben-vung-khu-cong-nghiep-viet-nam.html
[3] Gia thue dat trong khu cong nghiep tiep tuc tang. (2021). Baodongnai.com.vn. https://baodongnai.com.vn/kinh-te/202407/gia-thue-dat-trong-khu-cong-nghiep-tiep-tuc-tang-0176b38/
[4] Moc Minh. (2022, July 22). Gia thue bat dong san cong nghiep tang cao. Nhip Song Kinh Te Viet Nam & The Gioi. https://vneconomy.vn/gia-thue-bat-dong-san-cong-nghiep-tang-cao.htm
[5] Khu cong nghiep Tan Tao – Ban Quan Ly cac khu che xuat va cong nghiep thanh pho Ho Chi Minh. (2015). Ban quan ly cac khu che xuat va cong nghiep thanh pho Ho Chi Minh. https://hepza.hochiminhcity.gov.vn/vn/khu-cong-nghiep-tan-tao
