Hanaka High-Tech Park - Bac Ninh

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Information
Operating time: 2017 - 2067
Total Area: 55,289 ha
Infrastructure investors: HANAKA Group Joint Stock Company
Price: 90 USD/m2
Building density: 60%
Occupancy: 100%
Address: Trang Ha and Dong Nguyen wards, in Tu Son Town, Bac Ninh Province, Vietnam

In 2008, the Prime Minister’s Office included Hanaka High-Tech Park in Vietnam’s development plan for industrial parks, initially allotting 74 hectares. Bac Ninh Province granted approval for a master plan covering 74,22 hectares in 2009. However, due to subsequent adjustments in 2017, the park’s area was reduced to 55,289 hectares. Hanaka Corporation has been the park’s owner and operator since 2017.

I. Overview of Hanaka High-Tech Park – Bac Ninh:

According to the Official Letter No. 1546/TTg-KTN dated September 18, 2008, issued by the Prime Minister’s Office, the inclusion of Hanaka High-Tech Park in the development plan for industrial parks in Vietnam took place. The initial plan allocated an estimated area of 74 hectares for the industrial park.

Bac Ninh Province approved the detailed master plan at a scale of 1/500 for Hanaka High-Tech Park on October 12, 2009, through Decision No. 1607/QD-UBND.

The planned area was determined to be 74,22 hectares, located in Trang Ha and Dong Nguyen wards, Tu Son Town, Bac Ninh Province, Vietnam.

Following that, Hanaka High-Tech Park experienced a decrease in its designated area as a result of Official Letter No. 1511/TTg-KTN dated August 20, 2014, Decision No. 574/QD-UBND dated May 15, 2017, issued by the Provincial People’s Committee. After the adjustment, the planned area of Hanaka High-Tech Park decreased from 74,22 hectares to 55,289 hectares.

Hanaka Corporation is the investor and owner of Hanaka High-Tech Park. In 2017, the industrial park officially commenced operations and exploitation.

Bac Ninh Province’s industrial development plan until 2030 states that they will convert the current location of Hanaka High-Tech Park into urban land use. Additionally, Hanaka High-Tech Park will undergo a planning adjustment and relocation due to its proximity to densely populated residential areas.

Hanaka High-Tech Park is becoming an essential destination for investors and businesses. With its potential for development and continuous efforts to provide modern facilities, this industrial park promises to be a significant driving force for Vietnam’s economic growth in the near future.

Master plan map of Hanaka Industrial Park - Bac Ninh - TTTFIC Group

Master plan map of Hanaka High-Tech Park – Bac Ninh – TTTFIC Group

II. Geographical Location of Hanaka High-Tech Park – Bac Ninh:

Located in Trang Ha and Dong Nguyen wards, Tu Son Town, Bac Ninh Province, Vietnam.

Hanaka Industrial Park is located in close proximity to National Highway 1A and Tu Son City, within Bac Ninh Province. Its convenient proximity to Cai Lan deep-water port, Hai Phong port, and the center of Hanoi has created a competitive advantage for the industrial park. The transportation infrastructure is modern and convenient.

  • Approximately 19 km from the capital city of Hanoi.
  • Approximately 27 km from Noi Bai International Airport.
  • Approximately 130 km from Cai Lan deep-water port (Halong City).
  • Approximately 128 km from Hai Phong port.
  • Approximately 140 km from the Lang Son border gate.
  • Approximately 151 km from the Huu Nghi international border gate.
  • Approximately 1 km from Tu Son Railway Station.
  • Approximately 19 km from Bac Ninh City.

With such favorable locations, Hanaka High-Tech Park offers significant advantages for investment. It provides cost savings in transportation and access to a large labor force.

III. Infrastructure at Hanaka High-Tech Park – Bac Ninh:

Internal Transportation:

  • The park features modern and well-planned internal transportation infrastructure.
  • It includes main roads with widths ranging from 34m to 35m, secondary internal roads ranging from 20,5m to 22,5m, and sidewalks with greenery on both sides.

Power Supply System:

  • The distribution of electricity is achieved by connecting 35kV underground cables in parallel along the sidewalks of each plot within the industrial park.
  • Power is supplied via transformer stations with a total capacity of approximately 11.000 KVA.

Public Lighting System:

A separate electrical lighting network is designed along the road network for public lighting purposes.

Water Supply System:

  • A water treatment plant with a capacity of around 3.000m3/day and night is built.
  • The water supply system in the industrial park follows a closed-loop grid design.

Wastewater and Stormwater Management System:

  • The roads are designed to facilitate the natural flow of the stormwater drainage system, directing it to channels surrounding the industrial park, and subsequently to nearby canals and rivers.
  • The wastewater drainage system runs along the roads and converges at the park’s wastewater treatment plant.

Waste Management:

  • Waste generated within the industrial park is sorted at each factory.
  • Hazardous and non-hazardous waste are categorized and transported to centralized waste treatment facilities according to regulations.

Wastewater Treatment:

  • The centralized wastewater treatment plant collects and treats industrial wastewater using microbiological methods.
  • The reservoirs settle the treated wastewater, facilitating further sedimentation of sludge and harmful impurities.
  • The wastewater discharge flow rate is Qth=2.250m3/day and night.

Communication System:

  • The central information center is located in the park’s operational center area, providing synchronized and comprehensive communication services to meet the industrial park’s operational needs.
  • The park also has a fiber optic cable network laid along the main transportation routes.
  • In addition, the industrial park has parking lots, street lighting systems, and firefighting water pipe systems installed along the transportation routes.
  • The park’s ground level is elevated from +5,5m to +6,125m.
A perspective on Hanaka Industrial Park - Bac Ninh - TTTFIC Group

A perspective on Hanaka Industrial Park – Bac Ninh – TTTFIC Group

IV. Key Investment-attractive Industries:

The developers have designed Hanaka High-Tech Park to function as a concentrated and modern industrial park that efficiently utilizes local resources, including raw materials and labor.It attracts industries with low levels of harmful pollution, such as:

  • Garment and textile industry
  • Handicrafts
  • Mechanical assembly and component manufacturing
  • Electronics and refrigeration
  • Other light industries with low pollution and hazardous impact.

V. Investment Costs:

Land rental price with completed infrastructure: $90 USD/m2
Factory rental price: $5 USD/m2
Management fee: $0,5 USD/m2
Clean water usage fee: According to the current regulations of the Provincial People’s Committee. The calculation of clean water consumption is based on the meter reading. Reference price: $0,40 USD/m3.
Electricity usage fee: According to the electricity tariff rates set by EVN (ranging from $0,043 USD to $0,12 USD/KWh)
Wastewater treatment fee: $0,37 USD/m3
Infrastructure management and maintenance fee: $0,5 USD/m2/year (excluding VAT)

VI. Labor Source and Costs at Hanaka High-Tech Park:

Human resources:

  • Bac Ninh province has 14 universities, colleges, and vocational schools offering training in various fields.
  • The average population of Bac Ninh province as of 2018 was approximately 1.247,5 thousand people.
  • The proportion of trained labor aged 15 and above with diplomas or certificates is 27,5%.
  • Among the total employed labor force, leaders account for 1,32%, highly skilled technical workers account for 8,4%, intermediate skilled technical workers account for 4,01%, simple skilled workers account for 47,32%, general workers account for 38,8%, and other job types account for 0,05%.

Labor Costs:

  • Hanaka High-Tech Park in Bac Ninh is located within the administrative boundaries of Tu Son City, belonging to Zone II.
  • The minimum wage in Zone II currently stands at 3.920.000 VND per month.
A perspective on Hanaka Industrial Park - Bac Ninh - TTTFIC Group

A perspective on Hanaka Industrial Park – Bac Ninh – TTTFIC Group

VII. Investment Incentives:

Non-preferential corporate income tax is applicable at a rate of 25%.

The incentives for corporate income tax are as follows:

  • Newly established businesses from investment projects in high-tech fields, scientific research and technological development, investment in water plants and water supply systems, and software production enjoy a preferential tax rate of 10% for 15 years. Businesses are exempt from taxes for the first 4 years and enjoy a 50% reduction in taxes for the next 9 years.
  • Newly established businesses in socialized fields such as education and training, vocational training, healthcare, culture, sports, and the environment enjoy a preferential tax rate of 10% throughout their operating period. Businesses are exempt from taxes for the first 4 years and enjoy a 50% reduction in taxes for the next 5 years.
  • Businesses in the manufacturing, construction, and transportation sectors that employ female labor proactively reduce taxes based on the additional expenses they incur for female workers, such as vocational training, health check-ups, postnatal training, and salaries and allowances during maternity leave and breastfeeding breaks.
  • Businesses in the manufacturing, construction, and transportation sectors that employ female labor can benefit from tax reduction based on the additional expenses they incur for female workers, including vocational training, health check-ups, postnatal training, and salaries and allowances during maternity leave and breastfeeding breaks.
  •  Profit repatriation tax has a rate of 0%.
  • Goods such as equipment, machinery, specialized vehicles in the production line, construction materials not yet produced domestically, imported raw materials, components, and materials for export production are eligible for import tax exemption.

VAT:

  • Imported equipment, machinery, and specialized vehicles in the production line that have not been domestically produced yet receive VAT exemption from the authorities.
  • Land rent reduction or exemption is applicable in certain cases, including a 7-year land rent exemption for service business projects in the industrial park and an 11-year land rent exemption for infrastructure development projects or production and business projects in the industrial park.

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The land for lease that belong to Industrial Park has run out of stock. Only the land and warehouse has been re-invested by individual investor that still available

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Hanaka High-Tech Park - Bac Ninh

Hanaka High-Tech Park - Bac Ninh

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  • Area: 55,289 ha

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