Vietnam’s Industrial Zones – 3 Locations for Your Business
Industrial Zones (IZs) in Vietnam are a popular destination for foreign investors. But what are they? IZs are locations earmarked by Vietnam’s government for the industrial production of goods and services.
Investors often locate in an IZ because IZs often have regionally competitive facilities, infrastructure, and logistics. Foreign invested companies are also able to tap into resources provided by the IZ as well as cost savings and financial incentives.
Nevertheless, IZs differ significantly according to location, structure, incentives, and so on. Investors choosing to set up in an IZ should evaluate IZs closely in order to find a location that best suits their needs. Investors should consider several factors, when making a choice about where or if an establishment in an IZ makes sense for a given investment.
Learning more about IZs is increasingly important.
With investors moving factories to Vietnam, the domestic property market has experienced a boom – with prices steadily rising. Ready to build factories were in the highest demand, which recorded more than an 85 percent occupancy rate. Binh Duong and Dong Nai in the southeast are the markets with the highest demand, given their access to transport infrastructure.
Here, we highlight and compare three industrial zones in the north, central and southern part of the country which foreign investors can begin examining. This introduction can provide you and your team a good basis to begin assessing your next investment destination.
This is an excerpt from an article appearing in Vietnam Briefing, a subsidiary of Dezan Shira & Associates. For the latest economic, regulatory and business news from Vietnam, visit vietnam-briefing.com.