Mai Trung Industrial Park- Binh Duong

I. Overview of Mai Trung Industrial Park – Binh Duong:

Information about the Industrial Park:

Mai Trung Industrial Park is located in An Tay – An Dien commune, Ben Cat district, Binh Duong province , Viet Nam – a strategic location in the southern economic region. The investor of the industrial park is the private enterprise Investment and Construction Services Mai Trung.

The decision to establish Mai Trung Industrial Park was issued in Official Letter No. 1475/CP-CN dated October 6, 2004, by the Prime Minister allowing the establishment of Mai Trung IP with a total area of 50,55 hectares.

The detailed planning of the industrial park was approved in Decision No. 1836/QD-BXD dated November 26, 2004, by the Ministry of Construction for the detailed planning of Mai Trung Industrial Park, Binh Duong province; Decision No. 1857/QD-UBND dated May 3, 2007, by the Binh Duong People’s Committee approving the adjusted detailed planning of Mai Trung Industrial Park.

The Mai Trung Industrial Park project provides high-quality production and business spaces outside the expensive city centers, designed according to the Prime Minister’s planning regulations, offering many benefits for partners.

Moreover, Mai Trung Industrial Park – Binh Duong is one of the prominent industrial zones in Binh Duong province, Vietnam. Established and managed by the local government, this industrial park is considered a successful model in attracting investment and local economic development.

Industrial Park Scale:

• Total land area: 50,55 hectares
• Industrial factory land: 34,61 hectares
• Construction land for operation and service facilities: 1,49 hectares
• Green space: 5,17 hectares
• Technical infrastructure headworks land: 1,04 hectares
• Transportation land: 7,59 hectares
• Other land: 0,65 hectares

Investment and Capital Status in the Industrial Park:

• Total investment capital: 84 billion VND
• Total investment capital implemented: 41.112 billion VND
• Occupancy rate: 100%
• Year of operation: 2005

II. Geographical Location of Mai Trung Industrial Park – Binh Duong:

Mai Trung Industrial Park – Binh Duong is strategically located with advantages in position and connectivity to major transportation routes. Below is a description of the geographical location of this industrial park:

Mai Trung Industrial Park is located in Binh Duong province, one of the rapidly developing areas in Vietnam for economy and industry. Binh Duong is situated in the Southeast region, adjacent to the capital, Ho Chi Minh City, approximately 30 km to the north.

The geographic location of Mai Trung Industrial Park is very favorable as it is adjacent to some important transportation routes in the region, including:

• 51,3 km from Ho Chi Minh City.
• 18 km from Thu Dau Mot City.
• 49,9 km from Tan Son Nhat International Airport.
• 39,8 km from Song Than Station.
• 55,8 km from Tan Cang – Cat Lai Teminal.
• 102 km from Tan Cang – Cai Mep Teminal.

III. Infrastructure of Mai Trung Industrial Park – Binh Duong:

Internal Transportation System:

• Main roads: Width of 30 – 35m, with 2 lanes.
• Internal transportation system: Meeting industrial park standards.

Electricity System:

• The power supply runs along the land plots and along the factory fences.
• The power source is directly taken from the 110 KV national power line through the 110KV-22 MVA transformer substation, ensuring a stable power source for the factories’ operations.
• Medium-voltage power lines run along the roads, providing stable electricity for all factories.

Water System:

• The clean water system has a capacity of up to 5.000 m3/day and night.

Wastewater Treatment System:

• The centralized wastewater treatment plant has a capacity of 2.000 m3/24 hours, meeting the Class A discharge standard according to the regulations of the Government of Vietnam.

Waste Treatment System:

• Waste is collected and treated at the industrial park’s waste treatment plant.

IV. Key Investment Attraction Industries in Mai Trung Industrial Park – Binh Duong:

• Fine art and interior decoration wood processing industry;
• Mechanical assembly industry;
• Agricultural and food processing industry;
• Electric and electronic industry;
• Garment and leather footwear industry;
• Light industry and packaging;
• Assembling and maintaining machinery used in agriculture, forestry, and transportation.

V. Investment Costs in Mai Trung Industrial Park – Binh Duong:

• Land rental price with infrastructure: 200 USD/m2/50 years (minimum land area for rent is 1 ha, lease term is 50 years).
• Factory rental price: 3 USD/m2/month.
• Clean water price: As regulated by the People’s Committee of Binh Duong province. Reference price: 0,4 USD/m3.
• Electricity price: As regulated by the People’s Committee of Binh Duong province. Reference price: 0,05 USD/kWh.
• Wastewater and solid waste treatment fee: As regulated by the People’s Committee of Binh Duong province. Reference price: 0,28 USD/m3.
• Management fee: 0,4 USD/m2/month.

VI. Investment Incentive Policies in Mai Trung Industrial Park – Binh Duong:

Land and Water Lease Fees:

• Exempt land and water lease fees for projects constructing shared infrastructure within the industrial park or industrial clusters approved in the master plan.
• Exempt land and water lease fees for the first 3 years after project completion and commencement for projects listed in the preferential investment sectors under the Government’s Decree No. 118/2015/NĐ-CP dated November 12, 2015; for new production and business establishments relocated according to planning or relocation due to environmental pollution.
• Exempt land and water lease fees for 11 years for projects investing in special preferential sectors under the Government’s Decree No. 118/2015/NĐ-CP dated November 12, 2015.

Corporate Income Tax:

Preferential tax rate of 10% for 15 years and tax exemption for the first 4 years, and a 50% reduction in the tax payable for the next 9 years for newly invested projects in sectors such as scientific research and technology development, software production, composite materials production, lightweight building materials, rare materials, renewable energy, clean energy, energy recovery from waste, and biotechnology development.

Import Tax:

Exempted from import tax for goods used to create fixed assets of entities eligible for incentives under the investment regulations, including:

• Machinery, equipment; components, parts, detachable parts, spare parts used to assemble or synchronize with machinery, equipment; materials used to manufacture machinery, equipment or components, parts, detachable parts, spare parts of machinery, equipment.
• Specialized transport vehicles used directly in the production line of the project.
• Construction materials not yet produced domestically.