Want to be in the loop?
subscribe to
our notification
Business News
INDUSTRIAL ZONES€™ BRILLIANT DAYS RETURN
In 2014, Kinh Bac reported revenue of VND1.213 trillion, equal to that of 2013, while post-tax profits increased sharply by 297 percent, reaching VND326 billion.
Kinh Bac’s prosperity in 2014 was due to several big tenants. LG Group, for example, has signed a contract to lease 40 hectares more of land in the Kinh Bac-developed Trang Due IZ.
This is the largest foreign-invested project in Hai Phong City, with expected capital of $1.5 billion.
Another 10 hectares of land in Trang Due has been leased to South Korean Haeng Sung, an electronics manufacturer.
According to Kinh Bac, the company is gearing up for implementation of the project so as to get clean land to lease to the electronics manufacturers which make components for LG and others.
Tan Phu Trung, a Kinh Bac IZ in the south, also had a prosperous year in 2014. About 22.5 hectares of land in the IZ were leased in the year.
Meanwhile, a group of Thai businesses said in the first quarter of 2015 that they planned to lease about 20 hectares there.
Dang Thanh Tam’s Kinh Bac is not the only profitable IZ developer.
Analysts said they can see a new “gust of wind” in the industrial zone development sector.
Long Hau, Tan Tao Group, Sonadezi Long Thanh and Vinh Phuc Infrastructure Development all have reported satisfactory business results.
The analysts believe that IZ development, together with middle- and high-class apartments and resort real estate, will be the three most profitable business segments in 2015.
Timothy Horton, CEO of Cushman & Wakefield, noted that new foreign direct investment (FDI) was heading for Vietnam as foreign investors are leaving China. This is the reason behind the recent prosperity of IZ development firms.
The CEO said many companies and multinational groups with annual profit growth rate of 30 percent and higher have asked for Cushman & Wakefield’s consultancy on whether to buy 10,000-15,000 square meter land plots in IZs.
According to the Ministry of Planning and Investment, foreign investors registered $20.23 billion worth of investments in Vietnam in 2014.
Unlike the years before, when FDI capital mostly flowed to the real estate sector, the registered projects were mostly in the manufacturing sector, explaining the increased demand for land in IZs.
Source: VNEP
Related News
![Card image cap](/uploads/Logo/Cathay%20%281%29.jpg)
ONE-TIME OFFER: COMPLEMENTARY CATHAY PACIFIC LOUNGE PASS
Begin your trip on the right note in Cathay Pacific’s first-ever ferry lounge, located at Shenzhen’s Shekou Cruise home port. Situated at the end of the pier, the ferry lounge offers a breathtaking 270-degree view of the sea. You can immerse yourself in sheer luxury and revel in the panoramic beauty. Catch a glimpse of Hong Kong in the distance.
![Card image cap](/uploads/news/Industrial%20Zone.jpg)
VIỆT NAM TARGETS FULL MOBILE BROADBAND COVERAGE ON HIGHWAYS, INDUSTRIAL ZONES BY 2025
By 2025, Việt Nam aims to achieve one hundred per cent mobile broadband coverage on all national highways, expressways and railways under a plan to enhance the quality of Việt Nam’s mobile telecommunications network by 2025, which has been approved by the Ministry of Information and Communications (MIC).
![Card image cap](/uploads/news/Investment6.jpg)
VIETNAM ONE OF FASTEST-GROWING E-COMMERCE MARKETS IN SOUTHEAST ASIA
The report released on July 16 highlighted that the total GMV of Southeast Asia’s eight leading e-commerce platforms rose to $114.6 billion in 2023, up 15 per cent from 2022. The key drivers for the region's e-commerce GMV expansion in 2023 are Vietnam and Thailand, growing 52.9 per cent and 34.1 per cent on-year, respectively.
![Card image cap](/uploads/news/eco2.jpg)
FOOTWEAR EXPORTS SEEN REACHING US$27 BILLION THIS YEAR
This optimistic forecast reflects the industry’s efforts to expand and diversify its markets. Lefaso indicated that Vietnam’s footwear sector will concentrate on traditional markets like the U.S. and the European Union, alongside markets with free trade agreements to maximize opportunities.
![Card image cap](/uploads/news/Security.jpg)
2025 PIVOTAL FOR STOCK MARKET UPGRADE EFFORT
The Ministry of Finance (MoF) is expected to soon publish the entire content of the draft circular amending and supplementing four circulars on transactions, registration, depository, and clearing, as well as operations of securities companies and information disclosure. This move, along with feedback and explanations, aims to meet the criteria for upgrading Vietnam’s stock market.
![Card image cap](/uploads/news/bn-01.jpg)
VIETNAM INTENSIFIES E-COMMERCE TAX SCRUTINY
The department plans to offer guidance for and hold direct dialogues with e-commerce taxpayers to ensure compliance. Efforts will also include updating the e-commerce database, conducting risk analysis, and leveraging artificial intelligence (AI) to manage data and issue alerts.