Foreign investment into the city’s industrial parks sees impressive results

Workers at the Vinafor Da Nang Wood Processing Enterprise, based in the Hoa Khanh IP

Since having been put into operation, the IPs have attracted a large number of domestic and foreign investment projects. The occupation rate of the IPs’ rental space is currently 86.45%.

By late September, the IPs had attracted a total of 482 domestic and foreign investment projects. In detail, there had been 360 domestic projects with a total registered investment capital of more than 17,200 billion VND, and 122 FDI projects totalling about 1,196 million USD.

The majority of these projects in IPs involve such aspects as manufacturing and processing, warehouses, and logistics. In particular, foreign investors come from countries and territories worldwide, mainly in Asia. Currently, Japan takes the lead amongst the city’s foreign investors with 180 projects totalling more than 800 million USD.

To date, the IPs have together created over 76,000 employment opportunities for job seekers in Da Nang and such neighbouring localities as Quang Nam, Quang Ngai, Hue, Quang Tri, Quang Binh, and Thanh Hoa.

Mr Pham Truong Son, the Head of the Authority, said, in 2018 alone, companies operating in the IPs contributed nearly 6,000 billion VND to the city’s budget, accounting for 26% of the city’s total budget revenue. Of this, 1,700 billion VND came from the domestic businesses, whilst the remainder were from foreign ones.

Mr Satoru Takizawa, the General Director of Daiwa Viet Nam Co., Ltd, based in the Hoa Khanh IP cum Chairman of the Japanese Business Association in Da Nang, remarked Japan was one of the first countries having its businesses to operate in the Hoa Khanh IP, and the city’s IPs as a whole. He noted, over the past two decades, Japanese businesses have always received active support from the municipal authorities and relevant agencies.

“I hope that, in the near future, Da Nang will pay more special attention to resolving environmental pollution hotspots, and ensuring sufficient labour forces, especially skilled workers, in order to get the city ready to welcome foreign investment” Mr Satoru Takizawa noted.

In the past two years, the city government has made significant efforts to promote investment attraction activities to leverage foreign investment in large-scale projects. In particular, the municipal authorities have always created very favourable conditions for foreign investors to effectively deploy their projects in the city.

Source: Da Nang Today