Phu Thai Industrial Park - Hai Phong

Phu Thai Industrial Park in Hai Phong Province covers an area of 56,7 hectares and is invested in by Nam Tai International Co., Ltd. Thanks to the comprehensive implementation of many practical solutions, Phu Thai Industrial Park has consistently been an ideal destination for investors. This, in turn, contributes to the promotion of socio-economic development in the area and the region.

I. Overview of Phu Thai Industrial Park – Hai Phong

Information about the industrial park

Phu Thai Industrial Park – Hai Phong is approved as part of the Development Plan for Industrial Parks in Vietnam, according to Decision No. 1107/QD-TTg dated August 21, 2006, by the Prime Minister of the Government, with a planned area of 72 hectares.

On July 14, 2014, the Prime Minister agreed to reduce the area of Phu Thai Industrial Park from 72 hectares to 56,7 hectares, divided into two phases:

• Phase 1 covers an area of 13,7 hectares and was built with infrastructure and workshops from 2006 to 2008. The lease period is until 2050.
• Phase 2 covers an area of 35,5 hectares. The lease period is until 2065.

As of 2015, Phu Thai Industrial Park had attracted 13 projects with a total capital of 31 million USD, employing 6.700 workers.
Phu Thai Industrial Park operates on a model of leasing workshops. This model has become a typical example in attracting clean industries such as electronics, export garment manufacturing, and non-dyed textile production.

Phu Thai Industrial Park has achieved full occupancy with notable projects including:

• Electronic component production project by EM Vina Limited Liability Company.
• Specialized machinery production project by Ducar Technology Limited Liability Company.
• Sports equipment production project by Bigfun Leisure Toys & Sport Vietnam Limited Liability Company.
• Electronic cable production project by Yura Vietnam Limited Liability Company.
• Garment manufacturing project by Dong Tai Vietnam International Limited Liability Company.

Information about the investor of Phu Thai Industrial Park – Hai Phong

The project’s investor is Nam Tai International Co., Ltd.

Address: Phu Thai Industrial Park, Phu Thai Town, Kim Thanh District, Hai Phong Province, Vietnam.

In 2008, the Phu Thai Industrial Park (Kim Thanh) officially commenced operations, with Nam Tai International Co., Ltd (a subsidiary of the New World Fashion Group, UK) as the primary investor. Since then, this industrial zone has consistently been an attractive destination for foreign investors from countries such as the United Kingdom, the United States, Japan, Taiwan, and Hong Kong (China).

II. Geographical Location of Phu Thai Industrial Park – Hai Phong

The industrial park is located in:

• Phu Thai Town, Kim Thanh District, Hai Phong Province, Vietnam. (Western subzone).
• Kim Luong Commune, Kim Thanh District,Hai Phong Province, Vietnam. (Eastern subzone).

Regarding transportation and regional connectivity:

• The distance from Noi Bai International Airport is 75 kilometers.
• 83 km from the city center of Hanoi.
• 25 km from the city center of Hai Duong.
• 57 km from Hai Phong Port.
• 68 km from Cai Lan International Container Terminal.

Phu Thai Industrial Park enjoys a highly favorable location. The transportation system is well-invested and carefully planned. The industrial park is situated near major airports and busy seaports such as Quang Ninh and Hai Phong. This advantageous position helps Phu Thai Industrial Park to have high development potential and attract economic investments.

III. Infrastructure of Phu Thai Industrial Park – Hai Phong

• The width of the central area’s road system is 21m-27m.
• The width of branch roads and gathering roads is 13m-18m.

Power System

• Continuous and stable power supply is provided from two 35KV transmission lines connected to the 110KV/220KV transformer station.
• The high-voltage 22KV power grid is supplied along the internal transportation routes within the industrial park.
• Enterprises invest and construct low-voltage substations according to their power consumption requirements.

Water System

• Adequate clean water is ensured to meet the production and living needs of the industrial park.

Wastewater and Rainwater Drainage System

• Wastewater (industrial wastewater and domestic wastewater) is separately constructed and collected for treatment at the wastewater treatment plant of the industrial park.

Waste Treatment

• Solid waste from factories within the industrial zone is classified, collected, and treated by specialized units.

Wastewater Treatment

• A wastewater treatment plant with a capacity of 1.000 m3/day and night.

Communication System

• Investors have invested in a modern, broadband communication system for the industrial park.
• Services are provided by telecommunication networks such as Vietel, VNPT, etc.

IV. Investment-attractive Industries of Phu Thai Industrial Park – Hai Phong

Western Park

• Construction of workshops and warehouses to develop the textile industry (excluding dyeing).
• Industrial production to serve the textile industry.
• Electronic assembly industry.
• Warehousing services.
• Light industries that meet environmental protection requirements.

Eastern Park

• Textile industry (excluding dyeing).
• Factories engaged in the production of goods for the textile industry.
• Electronic assembly, woodworking, warehousing, and service industries.
• Advanced light industries that meet environmental protection requirements.

V. Costs and Investment Incentives of Phu Thai Industrial Park – Hai Phong

Costs

• Infrastructure usage fee: 80 USD/m2/lease term.
• Infrastructure management and maintenance fee: 0,5 USD/m2/year.
• Wastewater treatment fee: 0,4 USD/m3
• Electricity tariff: According to EVN’s electricity tariff schedule. Reference price: 0,05 USD/kWh.
• Water supply price: 13.700 VND/m3 ~ 0,57 USD/m3 (Applied according to the regulations of Hai Phong Provincial People’s Committee)

Investment incentives

• 100% exemption from corporate income tax for the first 2 years and a 50% reduction in tax payment for the following 4 years.

VI. Labor Source and Costs of Phu Thai Industrial Park – Hai Phong

Labor source

• Hai Phong has an abundant labor force with a high proportion of young workers. Nearly 1 million people are of working age.
• The education system around the industrial zone provides favorable conditions for the children of workers to study.
• The educational level and technical expertise of the workforce are continuously improving. Currently, there are 4 universities in the province, including 3 centrally managed universities and 1 university under the Provincial People’s Committee.

Costs

• Phu Thai Industrial Park is located in Kim Thanh District, which is in Zone III.
• The current minimum wage in Zone III is 3.430.000 VND/month.