Phu Vinh Industrial Park: Potential Investment Opportunity with Modern Infrastructure

On July 9, 2010, Ha Tinh Provincial People’s Committee approved the 1/2000 scale detailed planning for Phu Vinh Industrial Park according to Decision No. 2018/QD-UBND. Following that, on October 1, 2010, the Project of Construction and Business of Infrastructure of Phu Vinh I.P was approved by the Management Board of Vung Ang Economic Zone through Investment Certificate No. 28222000017. This project had an initial total investment of 23 million USD, with a land use area of about 200 hectares, and an operation duration of 50 years from the date of issuance of the investment certificate.

Since its implementation, Phu Vinh Industrial Park has had its planning adjusted through updates. Specifically, according to Decision No. 2154/QD-UBND on August 4, 2016, and Decision No. 2660/QD-UBND on August 17, 2020, of Ha Tinh Provincial People’s Committee, the industrial park has been expanded and its area adjusted. Currently, the total area of Phu Vinh I.P is 207.665 hectares, of which the industrial land area for lease is 141.4625 hectares, accounting for about 68.12% of the total area.

Geographically, Phu Vinh Industrial Park has a favorable location as it is adjacent to National Highway 1B in the East, borders Quang Binh Mountain in the West, and is surrounded by planned expansion areas of the industrial park in both the North and South. This industrial park was established in 2010 by Phu Vinh Infrastructure Construction and Investment Joint Stock Company. Since its inception, Phu Vinh I.P has developed strongly, attracting the attention of domestic and foreign investors thanks to its strategic location, modern infrastructure system, and attractive incentive policies from local authorities and the Government.

Phu Vinh Industrial Park

Address of Phu Vinh Industrial Park

Phu Vinh Industrial Park is located in Ky Lien Ward, Ky Anh Town, Ha Tinh Province, adjacent to National Highway 1A and within the Vung Ang Economic Zone. This location is not only convenient for the development of industries but also offers many strategic advantages for businesses operating in the industrial park. In particular, Vung Ang Seaport, one of the largest seaports in Central Vietnam, is only a short distance from the industrial park, facilitating the import and export of goods. This helps to minimize transportation costs and delivery time, especially for products with large volume or international shipping requirements.

In addition, the location adjacent to National Highway 1A also makes it easy to travel between the central provinces and key economic regions in the country. National Highway 1A is a key traffic route, connecting Ha Tinh with Thanh Hoa, Quang Binh provinces and the Northern and Southern economic regions, helping businesses save time and costs in transporting goods, while also facilitating the attraction of investors from other regions.

Nearby Amenities

Located in Vung Ang Economic Zone, this industrial park benefits from synchronous utilities and infrastructure, helping businesses here easily access resources and development opportunities.

• Only 15 km from Vung Ang International Port: This is one of the largest deep-water ports in Vietnam, capable of receiving large tonnage ships, facilitating the import and export of goods, especially heavy industrial products and raw materials.
• 70 km from Dong Hoi Airport: This location offers a great advantage in connecting trade and transporting goods by air. Dong Hoi Airport serves both domestic and international flights.
• Near large factories such as Formosa and VinFast: Phu Vinh I.P is located near large factories such as Formosa Ha Tinh (specializing in steel production) and VinFast (specializing in automobile and electric vehicle production).

With this convenient connection, Phu Vinh I.P is not only a manufacturing center but also an attractive investment destination, where businesses can make the most of the utilities, modern infrastructure, and strong transport network to expand production and increase business value.

Labor Resources

Phu Vinh Industrial Park possesses abundant and high-quality labor resources, especially thanks to the highest rate of trained labor in the North Central provinces. This helps the industrial park meet the demand for skilled human resources, contributing to improving production efficiency and minimizing training costs. Businesses in the industrial park can easily recruit employees with good professional skills, thanks to Ha Tinh province’s focus on developing the education and vocational training system. Phu Vinh Industrial Park also cooperates closely with universities, colleges, and vocational training centers in the area, helping to create a quality labor supply chain that meets the requirements of modern industries.

In addition, the industrial park is located in Region 3, where the minimum wage is low, only about 3,860,000 VND/month, creating a competitive advantage in labor costs for businesses. The actual salary of workers in the industrial park ranges from 6,000,000 VND to 7,000,000 VND/month, helping to meet the living needs of workers while maintaining reasonable production costs for businesses. This salary level attracts not only unskilled labor but also highly skilled workers, creating a diverse and flexible workforce that well serves the production activities of businesses in the industrial park.

Modern Infrastructure

Phu Vinh Industrial Park possesses synchronous and modern infrastructure, fully meeting the production and operation requirements of businesses. Specifically, the infrastructure of the industrial park is divided into the following systems:

Internal Traffic System

• The main road in the industrial park has a width of 60m, designed to be spacious and convenient for large-sized goods transport vehicles.
• The branch roads have a width of 30m, are synchronously built and ensure high quality, making traffic in the industrial park easy and safe.
• The entire traffic system in the industrial park uses load-bearing concrete, capable of withstanding heavy loads, helping goods transportation to take place continuously and efficiently.

Power Supply System

• Phu Vinh Industrial Park is provided with stable 24/24 electricity from Ha Tinh Power Company, through a 35kV line directly connected to each land plot in the industrial park.
• The industrial park’s electricity system includes 3 transformer stations with a total capacity of up to 189MW, ensuring sufficient power supply for factories and enterprises in the industrial park to operate continuously without interruption.

Water Supply System

• The clean water center of Vung Ang Economic Zone provides water to the industrial park with a capacity of up to 10,000m³/day, which can be expanded when needed.
• Phu Vinh Industrial Park is also equipped with a water storage system with a capacity of up to 3,000m³, helping to ensure a continuous water supply, serving the production and living needs in the industrial park.

Water supply system of Phu Vinh Industrial Park

Wastewater Treatment System

Phu Vinh Industrial Park is invested with a modern wastewater treatment system, with a maximum treatment capacity of up to 15,000m³/day and night, ensuring that the quality of wastewater after treatment meets environmental standards.

The wastewater treatment system strictly complies with Vietnam’s environmental technical regulations, protecting the environment and ensuring sustainable development for the industrial park.

Telecommunications System

Phu Vinh Industrial Park provides modern telecommunications network services, ready to connect according to the needs of investors, businesses, and organizations in the industrial park.

The telecommunications network system is synchronously built, ensuring that businesses can easily communicate and exchange information quickly and efficiently.

Fire Prevention and Fighting System (FPF)

The fire prevention and fighting system is deployed with FPF nozzles built along the traffic axes in the industrial park, making it easy to access and handle fire and explosion incidents.

The system is also equipped with a fire protection monitoring and warning system, helping to promptly detect signs of fire and explosion and minimize risks.

The FPF staff is always on duty 24/7, ensuring quick and effective handling of all fire situations occurring in the industrial park.

All of these infrastructure systems are continuously maintained and serviced, creating a safe, efficient, and sustainable production environment for businesses in Phu Vinh I.P.

Information infrastructure of Phu Vinh Industrial Park

Industries and Fields

Phu Vinh Industrial Park attracts businesses to invest in various industries, with the main fields including:

• Steel Processing and Manufacturing:
  • Specializing in steel processing for construction, mechanics, etc. This is one of the important industries in Phu Vinh I.P. Businesses in this industry specialize in processing steel products, serving the construction, mechanics, and other industrial applications such as hot rolled steel coils, stainless steel, steel bars, round steel, steel pipes, special metals, etc.

• Electrical and Mechanical Industry:

  • Manufacturing and assembling electrical and mechanical equipment, industrial machinery. The electrical and mechanical industry in Phu Vinh I.P specializes in the production and assembly of electrical and mechanical equipment, including electronic equipment, industrial machinery, and mechanical systems for manufacturing plants such as electronics, electrical equipment, industrial equipment and household appliances, informatics, telecommunications, etc.
• Mechanical Engineering Industry:
  • Businesses in the mechanical engineering industry in Phu Vinh I.P focus on developing and manufacturing mechanical products such as machinery, industrial equipment, tools, and components for other manufacturing industries such as: spare parts production, vehicle assembly, engine products, agricultural machinery production, equipment used in exploitation.
• Construction Materials Industry:
  • The construction materials industry in Phu Vinh I.P specializes in providing construction products and materials to serve domestic and foreign demand, such as concrete production, cement, refractory materials, ceilings, and other materials for the domestic and foreign construction industry.
• Green Energy:
  • Phu Vinh I.P is also aiming to develop renewable energy, with projects related to wind energy and solar energy such as electricity generation using solar energy, wind power, wood pellets, etc. Businesses in this field provide clean and sustainable energy solutions, contributing to environmental protection and reducing pollution.

• Traditional Industries:

  • In addition to modern industries, Phu Vinh I.P also focuses on traditional industries, including raw material production and processing, supporting industries, and agro-processing industries such as: Interior decoration, garment, footwear, tables and chairs, beds and cabinets, toys, plastic products, paper, carton boxes, medical, optical.
• Chemical Industry:
  • The chemical industry in Phu Vinh I.P specializes in the production and processing of industrial chemicals, serving many different industries such as rubber tires, scrap recycling, electroplating, dyeing, flower printing, zinc refining, lead refining, aluminum refining, fertilizers, pesticides, battery materials, etc.

Thanks to modern infrastructure and preferential policies from the Government and Ha Tinh province, Phu Vinh I.P creates a favorable environment for businesses to operate and develop sustainably in various industries, from manufacturing, processing, to supporting industries and green industries.

Investment industries in Phu Vinh Industrial Park

Estimated Utility Fees

The costs at Phu Vinh Industrial Park are listed as follows:

• Electricity costs:
  • Normal hours: 1,685 VND/kWh (~0.07 USD/kWh)
  • Peak hours: 3,076 VND/kWh (~0.13 USD/kWh)
  • Off-peak hours: 1,100 VND/kWh (~0.05 USD/kWh)
• Clean water fee: 11,620 VND/m³ (~0.48 USD/m³)
• Wastewater treatment fee: Depending on the composition of the customer’s wastewater, the lowest price is 8,000 VND/m³.
• Management fee:04 USD/m²/month
• Workshop construction price: About 130-150 USD/m² (for steel structure workshops, low cost thanks to the hard geology of the area).

These prices are all based on state unit prices and may vary depending on the actual needs of customers.

Land Lease Fees

The costs at Phu Vinh Industrial Park include:

• Infrastructure usage fee: 55 USD/m² (applicable until 2060). This fee may vary depending on the leased land area and the specific location of the land plot in the industrial park.
• Infrastructure management and maintenance fee:04 USD/m²/month, to ensure that the infrastructure is always maintained and operated stably.
• Annual land rent: Phu Vinh I.P exempts land use fees, creating favorable conditions for businesses to reduce initial investment costs.

The above costs are set reasonably and transparently, helping investors easily make financial plans for production activities in the industrial park.

Phu Vinh Industrial Park applies competitive and flexible rental rates, suitable for different types of businesses. Details on rental prices for premises and workshops will be provided upon specific request of each customer, helping businesses choose the most optimal option for their production and business activities.

Payment terms are clearly defined, facilitating businesses in signing lease contracts and making periodic payments.

Incentive Policies

Tax and import-export incentives at Phu Vinh I.P bring many benefits to investing businesses, helping to reduce costs and create favorable conditions for sustainable development.

Corporate income tax incentives:

• First 15 years: Businesses will have their corporate income tax reduced to 10% from the time they have revenue, creating conditions for businesses to develop in the early stages.
• Profit: From the time they start making a profit, businesses will be exempt from tax for the first 4 years. After that, in the next 9 years, corporate income tax will be halved, helping to reduce business operating costs.

In particular, for large-scale projects, high-tech or new projects that need to attract investment, the application period of preferential tax rates can be extended, but the total application period of the 10% tax rate does not exceed 30 years. This helps businesses investing in large projects have more time to recover capital and develop stably.

Tax incentives of Phu Vinh Industrial Park

Import tax incentives:

• Goods imported to create fixed assets for businesses will be exempt from import tax. This helps reduce the initial investment costs for companies when building infrastructure.
• Raw materials, supplies, and components imported for processing export goods will also be exempt from import tax. This helps export-producing enterprises save costs and improve competitiveness.
• In particular, for industries and trades with special investment incentives or projects located in areas with particularly difficult socio-economic conditions (as prescribed), enterprises belonging to high-tech enterprises or science and technology enterprises will be exempt from import tax for 5 years from the start of production. This policy encourages the development of high-tech industries, especially creative and environmentally friendly industries.

Incentive policies for import and export through Vung Ang port:

• Businesses importing and exporting goods through Vung Ang port will be supported with transportation costs: 1,000,000 VND/40-foot container (~41.09 USD) and 700,000 VND/20-foot container (~28.76 USD). This helps reduce logistics costs for businesses, promote import and export activities, and strengthen international economic connectivity.

These incentive policies not only help minimize tax and import costs, but also create an attractive investment environment, support sustainable business development, enhance competitiveness, and access international markets.

Utilities

The 25ha urban area located right next to Phu Vinh Industrial Park offers an ideal living and working environment, with full amenities to serve the needs of businesses and employees. This urban area not only meets production needs, but also helps improve the quality of life of residents and workers in the area. Specifically, the urban area provides:

• Food services: Restaurants, eateries, and diverse culinary areas meet the nutritional and relaxation needs of employees after working hours.
• Dormitories: Comfortable dormitory areas are built to provide accommodation for workers and employees, ensuring a stable and comfortable life.
• Convenience stores: Convenience stores serve the daily shopping needs of residents, from food, consumer goods to personal items.
• Finance: Financial services such as banks and ATMs are readily available, making it easy for businesses and employees to carry out financial transactions.
• Entertainment: Entertainment facilities such as parks, sports areas, and community spaces are developed to help employees relax and recharge after stressful working hours.

With these synchronous utilities, the 25ha urban area not only helps improve the lives of residents, but also creates a convenient living and working space, balancing work and rest. This not only supports labor productivity but also helps attract and retain employees, contributing to sustainable development for the industrial park and businesses here.

Utility services of Phu Vinh Industrial Park

Development Potential

Phu Vinh Industrial Park possesses outstanding development potential with an expected expansion area of up to 1,500 hectares, allowing it to attract new businesses and industries. This not only opens up opportunities for businesses in traditional fields such as mechanics and construction materials, but also creates favorable conditions for the development of new industries such as renewable energy, high technology, and supporting industries. These industries will contribute significantly to building a sustainable economy, while creating job opportunities and increasing added value for the region.

Phu Vinh Industrial Park is also aiming to participate in the global supply chain, especially in the field of export. With the development of infrastructure and supporting policies, businesses here can easily access international markets, improve competitiveness, and expand production scale.

Competitive Advantages

Phu Vinh Industrial Park possesses many outstanding competitive advantages to attract investment and develop strongly in the future:

• Strategic geographical location: Located near Vung Ang port, one of the largest seaports in Central Vietnam, Phu Vinh I.P has an ideal location for import and export activities. This helps reduce logistics costs and enhance connectivity with international markets.
• Complete infrastructure system: The industrial park is fully equipped with modern infrastructure systems such as internal traffic, 110kV power system, clean water supply, wastewater treatment meeting international standards, ensuring effective support for production and business activities of enterprises.
• Attractive incentive policies: Preferential tax policies, such as corporate income tax reduction, import tax exemption for goods serving production, along with import and export support policies through Vung Ang port, create favorable conditions for businesses to optimize costs and achieve sustainable growth.
• High-quality labor source: Ha Tinh province has a high rate of trained labor, leading the North Central provinces, creating an abundant and skilled human resource for businesses. This helps companies easily recruit employees with appropriate skills and expertise, meeting the needs of production development.

Thanks to these competitive advantages, Phu Vinh I.P not only attracts the attention of domestic investors, but also expands international cooperation opportunities, creating a solid foundation for long-term and sustainable development.

Conclusion

Phu Vinh Industrial Park is not only an ideal choice for domestic and foreign investors thanks to its synchronous infrastructure, attractive incentive policies, and great development potential, but also a strategic destination for those who want to participate in the process of sustainable economic development in the Central region of Vietnam.

With an expanded area of up to 1,500 hectares and the attraction of new industries such as renewable energy, high technology, and supporting industries, Phu Vinh I.P creates great opportunities for businesses to participate in the global supply chain, especially in the field of export. This is where businesses can take advantage of preferential tax policies, import cost exemptions, along with the international seaport system at Vung Ang, helping to optimize logistics costs and increase competitiveness in the international market.

In addition, with a high-quality workforce, mostly well-trained from universities and training centers in Ha Tinh, this industrial park not only provides an abundant labor force but also ensures that businesses here can easily recruit highly skilled personnel to serve complex manufacturing and processing industries.

Phu Vinh Industrial Park, with its strategic vision and modern infrastructure, is an important factor promoting economic development not only for Ha Tinh but also for the entire Central region of Vietnam. This will be a solid foundation for businesses to develop in the long term, taking advantage of opportunities in a potential market with export opportunities.

FAQ – Phu Vinh Industrial Park

1. Where is Phu Vinh Industrial Park located?

Phu Vinh Industrial Park is located in Ky Lien Ward, Ky Anh Town, Ha Tinh Province, adjacent to National Highway 1A and within Vung Ang Economic Zone. This location helps the industrial park easily connect to Vung Ang seaport and important traffic routes, facilitating the import and export of goods.

2. What industries attract investment in Phu Vinh Industrial Park?

Phu Vinh Industrial Park attracts investment in industries such as steel processing and manufacturing, mechanical engineering, construction materials industry, renewable energy, high technology, and chemical industries. These are areas with strong development potential in the industrial park.

3. What are the tax incentive policies in Phu Vinh Industrial Park?

Phu Vinh Industrial Park applies attractive tax incentive policies such as corporate income tax reduction in the first 15 years (reduced to 10%), import tax exemption for raw materials for production, and many other incentives on import and export taxes, especially from Vung Ang port.

4. What are the utilities in the urban area next to the industrial park?

The 25ha urban area next to Phu Vinh Industrial Park provides amenities such as dormitories, convenience stores, food services, banks, and entertainment areas. These amenities serve the living needs of employees and businesses, creating a comfortable and convenient living and working environment.

5. What are the infrastructure conditions in Phu Vinh Industrial Park?

Phu Vinh Industrial Park possesses a modern infrastructure system, including internal traffic, 110kV power supply system, clean water supply, and wastewater treatment system meeting international standards. This infrastructure helps optimize production activities and protect the environment.

6. Does Phu Vinh Industrial Park have a quality labor source?

Phu Vinh Industrial Park is located in an area with a high rate of trained labor, especially in Ha Tinh province. The industrial park also connects with universities and training centers, helping businesses easily recruit highly skilled personnel to meet production and technology requirements.

For more information, please contact us immediately VINASCREAL