Bac Chu Lai Industrial Park

I. Overview of Bac Chu Lai Industrial Park:

Bac Chu Lai Industrial Park is part of the Chu Lai Open Economic Zone and received approval from the Prime Minister through Decision No. 43/2004/QD-TTg on March 23, 2004.

Chu Lai Industrial Zone Infrastructure Development Limited Company (CIZIDCO) is the investor responsible for the construction, operation, and infrastructure development of Bac Chu Lai Industrial Park.

Bac Chu Lai Industrial Park – Quang Nam Province – TTTFIC Group

II. Geographical location:

Bac Chu Lai Industrial Park is located in Tam Hiep Commune, Nui Thanh District, Quang Nam Province.

Boundaries and scope:

• Northeast: Adjacent to National Highway 1A and the North-South Railway.
• Southeast: Adjacent to worker housing area.
• Northwest: Adjacent to Chu Lai – Truong Hai Automobile Industrial Park.
• Southwest: Adjacent to the Danang – Dung Quat expressway.

Total area of the industrial park is 361.4 hectares:

• Phase 1: 176.9 hectares with complete infrastructure, including 143.8 hectares of industrial land for lease, with approximately 90% already leased and occupied.
• Phase 2: 184.5 hectares with 50% of infrastructure completed, including 140.1 hectares of industrial land for lease, with 27.5% already leased. The remaining infrastructure is currently being developed.

Bac Chu Lai Industrial Park offers the following advantages to domestic and foreign investors:

• Strategic location, well-developed infrastructure, and reasonable land and service rental costs.
• Abundant local labor resources with supported training funding.
• Streamlined investment procedures managed by CIZIDCO.
• Superior incentives and a sustainable development environment for investors.

Master plan map of Bac Chu Lai Industrial Park – Quang Nam – TTTFIC Group

III. Infrastructure of Bac Chu Lai Industrial Park:

• Electricity supply: Power is provided from the national grid through the 110KV Ky Hoa substation, equipped with two 40 MVA transformers, ensuring stable electricity supply to the industrial park.
• Water supply: Clean water is supplied by the Tam Hiep Water Plant, with a total capacity of 20,000 m3/day and night, guaranteeing round-the-clock water supply. The water supply system is connected to the enterprises within the industrial park.
• Drainage: Separate systems for rainwater and wastewater have been constructed.
• Wastewater treatment: Each factory treats wastewater locally before directing it to a centralized treatment facility. The wastewater collection and treatment system for Phase 1 of The Industrial Park has a capacity of 1,900 m3/day and night and is already operational.
• Telecommunications/Internet: The telecommunications system meets international standards, providing full communication and high-speed data transmission capabilities, as well as domestic and international postal services.
• Other services: Banking services, postal services, bus transportation, industrial park security, hospitals, worker housing, etc.

IV. Investment Incentives of Bac Chu Lai Industrial Park:

Investment Status:

• As of December 31, 2022, Bac Chu Lai Industrial Park has attracted 29 projects (including 9 FDI projects with a total registered capital of approximately $122.3 million and 20 domestic projects with a total registered capital of VND 4,232.56 billion).
• Branded products under the name Chu Lai have gained popularity in domestic and international markets. These products include construction glass from Chu Lai Float Glass JSC (Indevco). They also include electronic components from CCI Vietnam Co., Ltd. Minh Duong Chu Lai Wood Joint Stock Company’s exported wood products have received positive feedback. Water tanks produced by Son Ha Group have also achieved success in the market.

Bac Chu Lai Industrial Park – Quang Nam Province – TTTFIC Group

V. Investment-attracting Industries:

• Manufacturing of mechanical, electrical, and electronic products.
• Construction materials.
• Processing and manufacturing of wood products.
• Handicrafts and textile industries.
• Consumer goods and export-oriented industries.
• Agro-forestry-fishery processing industry.
• Medical product manufacturing.
• Automotive and motorcycle spare parts manufacturing.

VI. Investment Incentives:

– Land-related:

• Lease duration: 50 years.
• Factories of enterprises are built on land with synchronized infrastructure, and services such as electricity, water, and postal and telecommunications are provided up to the factory premises.

– Tax-related:

• Corporate income tax rate: 10% for 15 years; exemption for the first 4 years from the year of taxable income, and a 50% reduction for the following 9 years.
• 50% reduction in personal income tax for individuals with taxable income.
• Import tax: Exemption from import tax for fixed assets; import tax exemption for the first 5 years for raw materials, supplies, and components imported for production of goods not yet domestically produced.

– Other support:

• In addition to the aforementioned incentives, investors are eligible for land lease and complete exemption of land rental fees for building worker housing.
• Support for vocational training as regulated by the Quang Nam Provincial People’s Committee and the Management Board of Chu Lai Open Economic Zone.