Long Khanh Industrial Park

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Information
Operating time: 2008 - 2058
Total Area: 264,47 Ha
Infrastructure investors: LOKIZ
Price: 160 USD/m2
Building density: 60 %
Occupancy: 100 %
Address: Suoi Tre and Binh Loc Communes, Long Khanh City, Dong Nai Province, Vietnam

Long Khanh Industrial Park (IP), situated in Long Khanh City, Dong Nai, covers a total area of 264,47 hectares. This industrial park project plays a crucial role in the economic development of Dong Nai province due to its strategic location and robust infrastructure. With 15 years of establishment and development, Long Khanh IP has achieved several significant milestones, most notably a 100% occupancy rate and attracting the interest of both domestic and foreign investors.

I. Overview

Long Khanh Industrial Park – Dong Nai was established in June 2008, following Decision No. 1783/QD-UBND issued by the Dong Nai Provincial People’s Committee. It is part of a series of industrial park projects in Dong Nai aimed at meeting the production and business needs of both domestic and foreign investors and businesses.

The Long Khanh IP project is owned by Long Khanh IP Joint Stock Company, a subsidiary of the Vietnam Rubber Group.

  • Project Scale: 246 hectares
  • Total Investment Capital: 621 billion VND
Master Planning Map of Long Khanh Industrial Park - Dong Nai Province - TTTFIC Group

Long Khanh Industrial Park is methodically planned

Investment Status

Currently, Long Khanh Industrial Park has successfully attracted 44 investors. Among these investors, 41 have commenced production operations, and 3 are currently in the construction phase. Notable foreign businesses within Long Khanh IP include Dong Myung Vina Company Limited, Exact Wood Company Limited, and Pro Ken Company Limited.

The establishment of Long Khanh IP has created 13.500 job opportunities for the local labor force from Dong Nai Province and neighboring areas.

Investor

The project investor is Long Khanh Industrial Park Joint Stock Company, with its address at Binh Loc Commune, Long Khanh City, Dong Nai, Vietnam. This company is known as a subsidiary of the Vietnam Rubber Group. Over the past 15 years since its inception, Long Khanh IP Joint Stock Company has delivered high-value products and services to both domestic and international customers. Through continuous enhancements in service quality, this investor has provided substantial benefits to other investors and customers. The primary business activities of this investor encompass real estate, construction, and the operation of industrial park infrastructure.

II. Location of Long Khanh Industrial Park – Dong Nai

Long Khanh Industrial Park is situated in two communes: Suoi Tre and Binh Loc, within Long Khanh City, Dong Nai. This prime location offers convenience for trade and creates an ideal environment for production and goods transportation. Along with Suoi Tre Industrial Park, Long Khanh IP represents two exceptional industrial park projects in Suoi Tre commune, significantly contributing to the robust economic growth of this region.

From Long Khanh IP, residents and workers can easily access the following locations:

  • Bien Hoa City, Dong Nai: 50 km
  • Ho Chi Minh City: 70 km
  • National Highway 1A: 2 km
  • Ho Chi Minh City – Long Thanh – Dau Giay Expressway: 6 km
  • Dong Nai Port: 50 km
  • Go Dau Port: 60 km
  • Phuoc An port cluster: 50 km
  • Phu Huu port cluster: 50 km
  • Phu My Port: 65 km
  • Thi Vai – Cai Mep international port cluster: 70 km

Long Khanh Industrial Park enjoys a strategic location, benefiting from the exceptional regional transportation infrastructure. This favorable positioning facilitates the production and transportation of goods, and with its significant connectivity potential, Long Khanh IP is poised to become a vital industrial hub within the regional production and trade network.

III. Infrastructure

In addition to its strategic location, Long Khanh Industrial Park boasts a modern and well-invested industrial park infrastructure, designed to enhance the convenience of businesses in their production and business activities. Some key features of the infrastructure include:

Traffic System

  • Internal roads within Long Khanh IP have a width ranging from 20 to 41,5 meters.
  • The main road features four lanes and is 40 meters wide, meeting the standard vehicle load capacity of 30 tons.
Long Khanh Industrial Park - Dong Nai Province - tttfic.com

Long Khanh Industrial Park – Dong Nai Province – tttfic.com

Electric Supplying System

The electrical system at Long Khanh Industrial Park is provided by Long Khanh Electricity Company. All roads within the Industrial Park are connected to the national power grid, ensuring a sufficient power supply for investors and businesses. The power source for the Industrial Park is provided by the 110/22kV – 120MVA Long Khanh 2 transformer station with a first-phase capacity of 80 MVA.

Water Supply System

To ensure a clean water source for production and daily life within the Industrial Park, the project investor has invested in a clean water supply system with a capacity of 4.000 m3 per day and night.

Communication Systems

The communication system at Long Khanh Industrial Park was built by the Dong Nai Post and Telecommunications Center. This system is integrated into the communication network of Long Khanh Commune to meet diverse communication needs, such as landline phones, mobile phones, fax, internet, and ADSL service. The system has provided approximately 1.962 phone numbers for the industrial park.

Wastewater Treatment System

At Long Khanh Industrial Park, the wastewater treatment plant has been completed and is in operation with a capacity of 3.200 m3 per day and night. The scale of the wastewater treatment plant covers up to 1,6 hectares and is located in the southeast of the Industrial Park. Enterprises leasing land within the industrial park must treat their wastewater according to QCVN 40:2011 standards before discharging it into the general wastewater treatment system of the industrial park. After treatment, the wastewater meets QCVN 40:2011 column A standards and is then discharged into the receiving source.

IV. Industries Attracting Investment

With its comprehensive and modern industrial park infrastructure, Long Khanh Industrial Park has attracted a large number of businesses and investors from diverse industries and fields. Some of the attractive industries for investment in Long Khanh IP include:

  • Processing agricultural products, grains, and food
  • Manufacturing textiles, footwear, and toys
  • Wood processing and interior decoration
  • Packaging manufacturing
  • Electronics and microelectronics
  • Motorcycle assembly and production of spare parts
  • Assembling sports equipment
  • Pharmaceutical production
  • Stationery production
  • Handicrafts, glass, construction materials, and interior decoration
  • And more…

V. Investment Incentives

In addition to incentives related to land rental costs and flexible payment policies, investors in Long Khanh Industrial Park also enjoy several tax incentives, including:

  • Corporate income tax exemption for 2 years and a 50% reduction for the following 4 years
  • Exemption from remittance tax for businesses within Long Khanh IP
  • Import and export tax exemption for goods, machinery, equipment, and specialized vehicles for production. (in the list of fixed assets, raw materials for the production of export goods, and construction materials not produced domestically)
  • Value-added tax rates applicable to businesses are 0%, 5%, and 10%

Furthermore, investors in Long Khanh IP receive support from the Industrial Park management board, the People’s Committee of Dong Nai Province, and Long Khanh Town to participate in trade promotion programs and enhance their competitiveness in the market.

VI. Investment Costs

Compared to many other industrial parks in Dong Nai, such as Amata Bien Hoa Industrial Park and Suoi Tre Industrial Park, the investment costs in Long Khanh Industrial Park are lower. This provides a favorable opportunity for investors to choose this Industrial Park. Below is a detailed table outlining the investment costs at Long Khanh IP:

Land rents160 USD/m(Land with infrastructure – Lease period 50 years)

Divided into 3 payments:

  • Stage 1: Deposit 10% of contract value after signing the Land Retention Minutes
  • Phase 2: 50% of contract value after issuance of Investment Certificate and signing of land lease contract
  • Stage 3: 40% of the contract value after receiving the land use right certificate
Infrastructure management fee0.4 USD/m2/year
Electricity costsAverage electricity price: 1.720,65 VND/kWh ~ 0,072 USD/kWh

  • Normal hours: 1.572 VND/kWh ~ 0,066 USD/kWh
  • Off-peak hours: 1.004 VND/kWh ~ 0,042 USD/kWh
  • Peak hour: 2.862 VND/kWh ~ 0,12 USD/kWh
Water costs0,4 USD/m3/month
Wastewater treatment costs0,35 USD/m3/month
Labor costs
  • The regional minimum wage is: 4.180.000 VND/person/month
  • Skilled workers: 5.000.000 – 6.000.000 VND/person/month
  • Office staff: 6.000.000 – 8.500.000 VND/person/month
  • Management personnel: 10.000.000 VND – 15.000.000 VND/person/month

VII. Labor Resources and Labor Costs

The issue of human resources is always of interest to investors in industrial parks who seek effective solutions. Fortunately, this is not a significant obstacle at Long Khanh Industrial Park due to its attractive labor costs. Moreover, there are supportive policies in place, both from the Industrial Park and the provincial government, to attract a considerable workforce from other regions to work within Long Khanh IP.

As a result, businesses operating in Long Khanh IP need not be concerned about labor-related challenges during peak production periods. The combination of cost-effective labor and an abundant labor pool are significant advantages that position Long Khanh IP as an ideal investment location.

VIII. Summary

Long Khanh Industrial Park boasts numerous advantages, including its strategic location, comprehensive infrastructure, ample labor resources, and competitive land rental costs. These attributes make it an appealing solution for businesses looking to minimize early-stage challenges. Combined with favorable investment policies, Long Khanh IP holds great potential for the future development of businesses.

The information presented here about Long Khanh Industrial Park by TTTFIC aims to assist investors in making informed decisions about whether to choose this industrial park for their production and business activities.

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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