Industrial park Vietnam has emerged as crucial engines of growth and innovation. From the inception of the Doi Moi policy reforms in the 1990s to the present day, these hubs of industrial activity have played a pivotal role in driving economic modernization and prosperity. Among them, the Tan Thuan Export Processing Zone (“Tan Thuan EPZ”) stands out as a shining example of industrial innovation and success. Let's delve into the captivating story of Vietnam's industrial park development and explore the remarkable achievements of key players like Tan Thuan EPZ.
Overview of Industrial Park Vietnam
Development history
The development of industrial park Vietnam began in the early 1990s, coinciding with the country’s Doi Moi (Renovation) policy which aimed to transition from a centrally planned economy to a socialist-oriented market economy. This period marked a significant shift in Vietnam's economic landscape, encouraging both domestic and foreign investments.
Development history of industrial park Vietnam
Concurrently, the Vietnamese government has implemented a series of policies and incentives to attract investment into its industrial parks, including the Tan Thuan Export Processing Zone. These measures are designed to create a favorable business environment and encourage sustainable industrial growth. Key policies and incentives include:
- Tax Incentives
- Land lease and infrastructure support
- Streamlined administrative procedures
- Investment protection and legal framework
- Support for research and development (R&D)
Current landscape
Industrial park Vietnam, including the Tan Thuan Export Processing Zone, are strategically distributed across the country to maximize regional economic development and leverage local resources. As of the latest data, there are over
300 industrial parks spread throughout Vietnam, covering a substantial area of land and providing extensive facilities for a wide range of industries.
These industrial parks cater to a diverse array of industries, reflecting the country’s multifaceted economic landscape. Key sectors operating within these parks include electronics and electrical equipment, textiles and garments, automotive and machinery, food and beverage processing, pharmaceuticals and healthcare products, chemicals and petrochemicals, as well as information technology (IT) and software.
Investment Situation of Vietnam Industrial Parks
FDI
Foreign Direct Investment (
FDI) has been a driving force behind the growth and development of industrial park Vietnam, including the Tan Thuan Export Processing Zone. The country has become a preferred destination for foreign investors due to its favorable investment climate, strategic location, and competitive labor costs.
Moreover, several countries and regions have emerged as major investors in Vietnam's industrial parks, contributing to their expansion and success. These investors bring in capital, technology, and expertise, fostering industrial growth and development in Vietnam.
Domestic investment
Domestic investment in industrial park Vietnam, including the Tan Thuan Export Processing Zone, has been a crucial driver of economic growth and industrialization. Vietnamese businesses have been actively investing in various sectors, leveraging local resources, expertise, and government incentives to establish and expand their operations within industrial parks.
Furthermore, several domestic companies have made substantial investments in Vietnam’s industrial parks, contributing to the country's industrial development and economic growth. Here are some notable examples: Vingroup, VNG Corporation, Truong Hai Auto Corporation (THACO), CMC Corporation, FPT Corporation, FAPV.
Tan Thuan Export Processing Zone - Home to the largest high-rise factory in Vietnam
Overview of Tan Thuan Export Processing Zone
Tan Thuan EPZ is a prominent industrial park Vietnam, situated in Tan Thuan Dong Ward, District 7, Ho Chi Minh City. It covers a total area of 300 hectares, which is surrounded by the Saigon River. The land lease is valid until September 2041. The EPZ is divided into four main zones:
- Export processing zone: 163 hectares, 100% occupancy rate.
- Industrial zone: 298 hectares, 86% occupancy rate.
- E-Office zone: 96 hectares, 70% occupancy rate.
- Commercial zone: 116 hectares, 88% occupancy rate .
Established in 1991, Tan Thuan EPZ is the first export processing zone in Vietnam. It was developed through a joint venture between Tan Thuan Industrial Promotion Company (IPC), a government state-owned enterprise, and Central Trading & Development Corporation (CT&D) from Taiwan.
Moreover, the zone has successfully attracted numerous investors and developed critical infrastructure including electricity and water with high capacity, telecommunications systems covering the entire Zone, firefighting stations, and wastewater treatment plants. Over the years, Tan Thuan EPZ has established itself as a prominent industrial hub, contributing significantly to the local economy and industrial landscape, creating jobs for more than 60,000 employees.
More especially, Tan Thuan EPZ attracts investments due to several factors:
- Prime location: Proximity to central Ho Chi Minh City (10-20 minutes to District 1) and Phu My Hung (5-10 minutes).
- Abundant labor supply: Access to a large pool of skilled and semi-skilled workers.
- Comprehensive infrastructure: Fully developed infrastructure, including advanced telecommunication systems, professional firefighting services, and a high-capacity wastewater treatment plant.
- One-stop procedures: Simplified administrative processes through one-stop services provided by the Ho Chi Minh City Export Processing and Industrial Zones Authority (HEPZA).
- Ideal living environment: Convenient living conditions for workers and professionals with access to international-standard amenities in Phu My Hung, such as education, healthcare, shopping, and entertainment facilities, District 1 center and neighbor area.
Home to the largest high-rise factory in Vietnam
Tan Thuan EPZ is home to the largest high-rise factory in Vietnam. This innovative facility represents a significant advancement in industrial construction within the country. The high-rise factory is designed to optimize space usage in the densely populated urban area of Ho Chi Minh City.
Spanning multiple floors, the high-rise factory provides substantial manufacturing space while minimizing the ground footprint, crucial for maximizing land use efficiency in the industrial zone.
The establishment of the largest high-rise factory in Tan Thuan EPZ underscores the zone's commitment to industrial innovation, enhancing its capacity to host diverse manufacturing activities and attract high-tech industries. This landmark achievement contributes to economic growth and industrial productivity in Vietnam, setting a precedent for industrial advancement in the Tan Thuan Export Processing Zone.
The high-rise factory provides several benefits:
- Economic growth: Contributes to the local and national economy by creating jobs and stimulating industrial activity.
- Community development: Offers employment opportunities and supports community infrastructure through various corporate social responsibility initiatives.
- Industrial advancement: Encourages the adoption of modern manufacturing practices and technologies, driving overall industrial progress in Vietnam.
In conclusion, industrial park Vietnam, epitomized by the Tan Thuan Export Processing Zone, have been instrumental in the country's economic transformation. These zones have attracted significant investment, both foreign and domestic, driving economic growth and fostering industrial innovation.
The establishment of Vietnam's largest high-rise factory within Tan Thuan EPZ symbolizes the nation's commitment to efficiency and technological advancement. This important achievement contributes to Vietnam's continued economic growth and industrial prosperity, paving the way for industrial advancement in the Tan Thuan Export Processing Zone.