Hiep Phuoc Industrial Park - HCMC

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Operating time: 1996 - 2058
Total Area: 1.686 ha
Infrastructure investors: Hiep Phuoc Industrial Park Joint stock company
Price: 150 USD/m2
Building density: 70%
Occupancy: Updating
Address: Area B, Road No. 1, Hiep Phuoc Industrial Park, Hiep Phuoc Commune, Nha Be District, City. Ho Chi Minh, Vietnam

Hiep Phuoc Industrial Park: Sustaining Appeal After Nearly 30 Years

Established in 1996, Hiep Phuoc Industrial Park (Hiep Phuoc IP) stands as one of the oldest industrial parks in Ho Chi Minh City. With its strategic geographical location, extensive planning area, and well-developed infrastructure system, the industrial park has maintained its allure for investors over almost three decades. Explore more about this enduring industrial hub in the following article from TTTFIC.

I. Overview of Hiep Phuoc Industrial Park – Ho Chi Minh

Established in 1996, Hiep Phuoc IP is the brainchild of the project investor, Hiep Phuoc IP Joint Stock Company—a company dedicated to the development of modern, green, clean, and model industrial parks.

1. Scale of the industrial park

The project spans a total planned area of 1686 hectares and is being developed in three distinct phases:

  • Phase 1: Encompassing approximately 311,4 hectares with a lease term until 2048. As of now, 109 investors have leased land and constructed factories, resulting in a 100% occupancy rate.
  • Phase 2: Encompassing 597 hectares with a lease term until 2058. This phase is currently in the leasing stage, with ongoing negotiations covering about 30-50 hectares for potential land lease contracts.
  • Phase 3: Spanning over 392,89 hectares, this phase is in the compensation and clearance stage to facilitate the construction of a feasible project.
  • The port area covers more than 384,71 hectares and is currently in the compensation and clearance stage for the construction of various projects.

2. Operational objectives and current investment status

Hiep Phuoc IP is strategically focused on attracting industries such as:

  • Industry-port services.
  • Industries prioritizing the use of high technology and clean practices to avoid environmental pollution.

With its expansive scale, Hiep Phuoc has garnered the trust of over 200 domestic and foreign investors who have chosen to be sustainable development partners across various industries and fields. Some notable investors include:

  • Hiep Phuoc IP Joint Stock Company.
  • Hong Anh Educational Equipment Company Limited.
  • Nhan Hoa Construction, Production, and Trading Company Limited.
  • Long Binh Joint Stock Company, Long An province – Representative Office.
  • Toan Thang Company Limited, Cam Sinh Plating Private Enterprise.
  • Samsung Polymer Vietnam Co., Ltd.
  • Steel Peak Container Company Limited, and many more.
Hiep Phuoc Industrial Park - Ho Chi Minh City - TTTFIC Group

Hiep Phuoc Industrial Park: Sustaining Appeal After Nearly 30 Years

II. Geographical Location of Hiep Phuoc Industrial Park

The distinguishing feature of Hiep Phuoc IP, setting it apart from others, is its strategic location along the national highway and road traffic axis. Additionally, the park boasts a national water transportation system, facilitating seamless regional connections.

1. Traffic System

Hiep Phuoc stands out as the sole industrial park with an international deep-water seaport within its boundaries. Serving as an economic traffic hub not only for Ho Chi Minh City but also for the Southern key economic region (SKER) and the Mekong Delta, it offers:

  • Connectivity to the national transportation system via Ring Road 3 and the national highway system in Ben Luc, Long An.
  • Linkage with the inland and international waterway system through Long Tau and Soai Rap channels, connecting to international seaports and the Mekong River system into the Mekong Delta provinces and Cambodia.
  • Transport of goods by barges or ships to other industrial parks or dry container ports in the region, such as Phuoc Long Port and Song Than Port.

Furthermore, Hiep Phuoc IP location facilitates easy contact and material trade with other businesses in Ho Chi Minh City, including Tan Thuan Export Processing Zone, Tan Tao Industrial Park, Tan Binh Industrial Park, and more.

The industrial park is situated on land meeting national standards (1.633 m to 1.800 m above sea level), ensuring protection against flooding and high tides.

2. Regional Links of Industrial Parks

Located in Hiep Phuoc Commune, Nha Be District, Ho Chi Minh City, the industrial park is conveniently positioned in relation to key points:

  • 15 km from Ho Chi Minh City center.
  • 10 km from Phu My Hung Urban Area.
  • 21 km from Tan Son Nhat Airport.
  • 1 km from Hiep Phuoc Port.
  • 40 minutes from Cat Lai Port, District 2.

The advantageous traffic location and seamless external connections make Hiep Phuoc IP an attractive choice for investors.

III. Infrastructure System of Hiep Phuoc Industrial Park

In line with the objective of meeting business needs and attracting more investment, Hiep Phuoc IP Joint Stock Company consistently invests in the park’s infrastructure.

1. Road System

The park’s road network is fully paved, offering substantial weight capacity, and features lighting systems. Notably:

  • Main road system: 8 lanes, 60 m wide.
  • Internal road system: Varies in width from 13 m to 43 m.
  • Connections to external traffic networks, including Ring Road 1, Ring Road 2, Ring Road 4, Nguyen Huu Tho Street, and Vo Van Kiet Avenue.

2. Electric Supplying System

Hiep Phuoc is linked to the 500KV national power grid from the Nha Be transformer station, with a 22KV source voltage. Within the park, two 110KV/22KV high voltage transformer stations ensure a stable 24/24 electricity supply for production and business activities.

3. Water Supply System

Clean water is provided by Ho Chi Minh City Water Supply Company (Sawaco) and Nha Be Water Supply Joint Stock Company. The water capacity ranges from 40.000 to 45.000 m3/day and night, meeting the water quality standards specified in QCVN 01:2009/BYT.

4. Centralized Wastewater Treatment System

Hiep Phuoc IP features a modern wastewater treatment system, capable of receiving and treating up to 18.000 m3/day and night. The treated wastewater quality is stable, meeting the standards of column B, QCVN 40:2011/BTNMT for industrial wastewater.

5. Gas Supply System

The park is equipped with an industrial gas supply system, offering clean and environmentally friendly raw materials. The low-pressure gas supply system from PetroVietnam has been operational since 2015, with a network distributing gas to each business within Hiep Phuoc.

6. Communication Systems

Hiep Phuoc IP prioritizes modern telecommunication services. The phone number system adheres to Ho Chi Minh City’s prefixes and provides two transmission solutions: copper wire cables and fiber optic cables, ensuring communication stability. VNPT and other telecommunications companies ensure comprehensive services based on investor requirements.

7. Security and Fire Protection System

The park maintains a strict security patrol, complemented by a highly professional fire prevention team. Equipped with professional support equipment, the park adheres to rigorous fire prevention and fighting standards.

Hiep Phuoc Industrial Park - Ho Chi Minh City - TTTFIC Group

The infrastructure system is invested in a modern and synchronous manner to serve production activities in Hiep Phuoc Industrial Park – Ho Chi Minh City.

IV. Industries that Attract Investment

In recent years, Hiep Phuoc IP has consistently focused on industries related to port services, emphasizing the utilization of high technology and clean practices to minimize environmental impact. This strategic approach has successfully attracted substantial investments in the following sectors:

  • Electronics, Optoelectronics, Information Technology, Telecommunications Industries:
    • These technology-driven sectors are at the forefront, leveraging advancements in electronics, optoelectronics, information technology, and telecommunications.
  • Precision Mechanical and Automation Industries, Robot Production:
    • Hiep Phuoc IP has become a hub for precision mechanical and automation industries, including the production of robots, showcasing the park’s commitment to cutting-edge manufacturing.
  • Biotechnology Applied in Agriculture, Health, and Environment:
    • Investments in biotechnology applications have contributed to advancements in agriculture, healthcare, and environmental sustainability.
  • Industry Groups Producing New Materials, Nanotechnology, New Energy:
    • The park has attracted investments in the development and production of new materials, nanotechnology, and new energy solutions, reflecting a commitment to innovation and sustainable practices.

V. Investment Incentive Policies in Hiep Phuoc Industrial Park

Businesses and investors choosing Hiep Phuoc IP benefit from a range of preferential policies aimed at fostering a conducive investment environment:

Corporate Income Tax Incentives:

  • Tax exemption for the initial two years, followed by a 50% reduction in corporate income tax for the subsequent four years.
  • For high-tech investments, a reduced corporate income tax rate of 10% is applied for 15 years from the issuance of the Investment Certificate or business registration.
  • Starting from the 16th year, corporate income tax will follow standard regulations, with a 100% exemption for four years.
  • A 50% reduction in corporate income tax for the subsequent nine years from the taxable income date.

Import and Export Tax:

  • Complete exemption of import and export taxes for production lines and equipment installed within the factory.
  • Exemption of import and export taxes on raw materials imported for the production of final products.

Value-Added Tax (VAT) Exemptions:

  • VAT exemption for temporarily imported and re-exported products (raw materials).
  • Tax exemption for investors repatriating to their home country after fulfilling all obligations in Vietnam.

VI. Investment costs

Fee typePayment level
Land rents220 USD/m2/year.Lease term: September 23, 2058.
Infrastructure management fee0,35 USD/m2.Payment method: Payment every 3 months.
Cost of wastewater treatment0,38 USD/m3/month.

  • The volume of wastewater is calculated as 80% of the water supply.
  • The input processing standard is class B.
  • The output processing standard is class A.
Water price0,47 USD/m3/month.(Current water price of water supply company)
Electricity priceCalculated based on the electricity price schedule of Ho Chi Minh City Electricity Company (EVN) as follows:

  • Off-peak hours: 0,04 USD/KWh.
  • Peak hour: 0,12 USD/KWh.

VII. Labor Resources and Labor Costs

Situated in close proximity to the Phu My Hung urban area, the second-largest Commercial and Financial Center in Ho Chi Minh City, Hiep Phuoc IP offers an ideal residence for foreign investors. This area is also home to numerous international schools, ensuring a pool of qualified human resources for the future needs of investors. Moreover, the industrial park’s large scale, robust development, and the presence of major businesses make it an attractive destination, drawing workers from various regions to live and work.

VIII. Economic Values of Hiep Phuoc Industrial Park – Ho Chi Minh City

Covering a sprawling 1,686 hectares and hosting over 200 enterprises, Hiep Phuoc Industrial Park has generated thousands of job opportunities with stable incomes. Its sustainable and robust development significantly contributes to industrial production growth, enhances Nha Be district’s export turnover, and accelerates urbanization. This progress has led to improved infrastructure in the area, with a focus on modernizing the telecommunications infrastructure to support both industrial activities and the local population.

Benefiting from government and investor incentives, along with its strategic advantages in geographical location, transportation networks, and modern infrastructure, Hiep Phuoc Industrial Park stands out as a highly attractive destination for a multitude of investors. As the industrial park continues to evolve, it is poised to contribute substantial economic value to Ho Chi Minh City and, by extension, Vietnam as a whole.

For inquiries and advice, please provide your information to TTTFIC.

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

TTTFIC Group: Guide to Industrial Real Estate in Vietnam

  • Where you gain a comprehensive view of the ideal investment environment for foreign enterprises, we are TTTFIC Group, your reliable partner in the Industrial Real Estate sector.
  • For first-time investors in Vietnam, we assist in surveying suitable locations in Industrial Zones across the entire territory of Vietnam. We support handling investment procedures for projects.
  • Our Design & Build approach means that from the moment the investor completes the land lease location, we take responsibility for all steps, including obtaining IRC/ERC; DTM; Fire prevention and firefighting certificates; legal aspects of the project from the design phase; applying for construction permits; progressing to the construction phase, and completing the factory for handover to the investor in an operational state in a turnkey manner.
  • You don’t waste time searching, don’t incur additional consulting fees, and don’t have to spend money on investment estimates. We offer a complete package from receiving the client’s idea to completing the project, ensuring a smooth start of operations, reducing 2/3 of the time, effort, and money for you.
  • Services include Lease, Purchase, Sale, and M&A (Merger & Acquisition): We provide specialized information and support for your real estate needs in key business areas.
  • Legal Consultation: Our experienced legal team assists with real estate-related issues, ensuring smooth procedures for foreign investors.
  • Foreign Direct Investment (FDI) Establishment: We guide the easy establishment of foreign direct investment businesses, ensuring compliance with regulations.
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  • With over 20 years of experience in Design & Build for FDI projects of all scales. If you’re seeking industrial real estate in Vietnam, give us a call! With a team of experienced experts, engineers, and lawyers, we have assisted thousands in property buy, sell, M&A, and industrial real estate leasing (especially investors from the US, Germany, Denmark, Sweden, the UK, Korea, Japan, Taiwan, China, India, Singapore…).
  • Together, we can build a prosperous and sustainable future for both businesses and communities. We look forward to collaborating with you.

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