Noi Bai Industrial Park - Ha Noi

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Information
Operating time: 1994 - 2044
Total Area: 114,1 Ha
Infrastructure investors: Noi Bai Development Corporation Limited
Price: 100 USD/m2
Building density: 60%
Occupancy: 100%
Address: Quang Tien and Mai Dinh communes, Soc Son district, Ha Noi City

With its ideal location, NBIZ has attracted 40 foreign investors primarily from Japan, Thailand, the United States, Saudi Arabia, Malaysia, Singapore, Taiwan, and most recently, France.

The Noi Bai Industrial Park is strategically positioned with convenient access to residential areas and proximity to national highways. Specifically, to the west and south of the industrial zone lies Noi Bai International Airport, while in front of the industrial zone, there is Provincial Road 131 connecting National Highway 3 to National Highway 2 and the Thang Long – Noi Bai Expressway.

I. Overview of Noi Bai Industrial Park – Ha Noi

The Ministry of Planning & Investment of Vietnam issued Investment License No. 839/GP on April 12, 1994, establishing Noi Bai Industrial Park, and the Prime Minister created it through Decision No. 545/TTg dated October 5, 1994. The industrial park is located in the Quang Tien and Mai Dinh Communes, Soc Son District, Ha Noi City.

It covers a total area of 114,1 hectares and is divided into two phases: Phase 1 with an area of 100 hectares, and Phase 2 with 14,1 hectares, strategically allocated for various factories within the industrial park.

Noi Bai Industrial Park is managed and operated by NOi BAi Development Company Limited (NBD), a joint venture between Vista Spectrum (M) Sdn. Bhd. (Malaysia) and Urban Infrastructure Development Investment Corporation – UDC (Vietnam). The operational period of the industrial park is until October 5, 2044, with a total infrastructure investment of 29.950.000 USD.

Stages

  • In 1996, it completed Phase 1, and in 1997, it commenced operations, equipped with its power station, clean water system, wastewater treatment plant, and an international standard road network.
  • Phase 2 was completed in 2006 and commenced operations in 2007. Due to its ideal location, Noi Bai Industrial Park attracts 40 foreign investors, mainly from Japan, Thailand, the United States, Saudi Arabia, Malaysia, Singapore, Taiwan, and recently France.

The authorities approved Noi Bai Industrial Park as a multi-sector industrial park with a well-synchronized technical infrastructure system. It is one of the long-established and extensive industrial parks, developed in proximity to Noi Bai International Airport, and strategically situated at the intersection of several highways, making it a vital transportation hub in the Northern region.

Despite its favorable geographical location, the relatively high rental prices and average infrastructure have made Noi Bai Industrial Park less attractive compared to other industrial parks in Ha Noi. While it boasts a 100% occupancy rate, only around 40 to 50 enterprises (mostly from Japan) are currently operational.

Information about the Investor of the Industrial Park

The investor of the Noi Bai Industrial Park is Noi Bai Development Corporation Limited (NBD).

Headquarters address: Noi Bai Industrial Park, Quang Tien Commune, Soc Son District, Ha Noi City, Vietnam.

The company was established as a joint venture between Renon (Malaysia) and Ha Noi Industrial Construction Company.

Master plan map of Noi Bai Industrial Park - Ha Noi Province - TTTFIC Group

Master plan map of Noi Bai Industrial Park – Ha Noi Province – TTTFIC Group

II. Geographical location of Noi Bai Industrial Park – Ha Noi

The industrial park is located in Quang Tien Commune and Mai Dinh Commune, belonging to Soc Son District, Ha Noi City, Vietnam.

Noi Bai Industrial Park is conveniently located with easy access to residential areas and close to national highways. To the West-South, Noi Bai International Airport borders it, and it connects to Provincial Road 131, which links National Highway 3 with National Highway 2 and Thang Long – Noi Bai Expressway.

Goods can be easily transported to and from the industrial park by road, sea, and air:

  • 28 km from the center of Ha Noi;
  • 5 km from Noi Bai International Airport;
  • 13 km from Trung Gia – Soc Son Railway Station;
  • 14 km from Dong Anh Railway Station;
  • 145 km from Hai Phong Port;
  • 175 km from Quang Ninh – Cai Lan Deep Water Port;
  • 5 km from National Highway 3.

III. Infrastructure at Noi Bai Industrial Park – Ha Noi

Internal transportation:

Thoughtful design ensures that the internal road system facilitates easy and convenient movement of vehicles to each plot of land.

  • Main road system width: 40m
  • Branch road system width: 35m

Electrical system:

The industrial park has a 110KV/220KV power substation with a capacity of 40MVA.

Public lighting system:

A separately designed street lighting network is in place, with a power supply system provided along the traffic routes.

Water system:

Each enterprise’s perimeter wall is connected to the clean water supply system, which has a capacity of 7.500 m3/day.

Wastewater and rainwater drainage system:

  • Separate systems are built for wastewater and rainwater (industrial and domestic wastewater).
  • Rainwater drainage channels are arranged along the main and inter-block roads.

Waste treatment:

Collection points and storage tanks gather and sort industrial and domestic waste, and then transport it away from the industrial park to prevent environmental pollution.

Wastewater treatment:

They employ a modern wastewater treatment system, utilizing biological treatment methods.

Communication system:

The industrial park’s communication system consists of 2.000 underground lines and fiber-optic telephone cables.

Road of Noi Bai Industrial Park - Ha Noi Province - TTTFIC Group

Road of Noi Bai Industrial Park – Ha Noi Province – TTTFIC Group

IV. Key industries at Noi Bai Industrial Park – Ha Noi

The Industrial Park mainly attracts industries including:

  • Electronic and electrical mechanical assembly
  • Food processing
  • Light industry and consumer goods manufacturing
  • Electronic component production for motorcycles and automobiles
  • Jewelry processing
  • Household electrical appliances.

V. Investment Incentive Costs at Noi Bai Industrial Park – Ha Noi

  • Infrastructure-inclusive rental price: 100 USD/m2
  • Industrial park management fee: 0,5 USD/m2/year. This cost is paid annually in the first month of the year.
  • Electricity usage fee: calculated based on EVN rates. Reference prices are 0,1 USD/kWh for peak hours, 0,05 USD/kWh for normal hours, and 0,03 USD/kWh for off-peak hours. Average electricity price: 0,06 USD per kWh per month.
  • Clean water usage fee: According to current regulations of the Ha Noi People’s Committee. The reference price is 0,49 USD/m3.
  • Wastewater and solid waste treatment fee: According to current regulations of the Ha Noi People’s Committee and the Industrial Park Management Board. The reference price is 0,4 USD/m3.

VI. Labor Source and Costs at Noi Bai Industrial Park – Ha Noi

High-quality labor source:

  • Ha Noi has a comprehensive education system that attracts labor from both the Northern and Central regions for study and work. Therefore, it meets investors’ needs in terms of both quantity and quality.
  • In 2019, there were 4.118,30 thousand people; in 2021, there were 4.145,45 thousand people. Within just 3 years, the labor force increased by 0,027 times, equivalent to an increase of 27,15 thousand people.
  • In 2021, nearly three-quarters (73,2%) of the population aged 15 and above were part of the labor force, a decrease of 0,2% compared to 2020.

Labor costs:

  • Noi Bai IP is located in Soc Son District, falling under Zone I.
  • In Zone I, the present minimum wage amounts to 4.420.000 VND per month.

VII. Investment Incentive Policies at Noi Bai Industrial Park – Ha Noi

Corporate income tax incentives:

  • Applicable corporate income tax rate of 10% (compared to the standard 20%) for 15 years from the first year of generating revenue;
  • Exempt from corporate income tax for a maximum of 4 years and a 50% reduction in the payable tax for a maximum of 9 subsequent years, starting from the first year of taxable income.
  • If the enterprise generates no taxable income in the first 3 years, it will apply the incentives starting from the fourth year.

Land rental incentives:

  • Exempt from land rental during the basic construction period according to the approved project, but not exceeding 3 years from the date of land rental decision;
  • Exempt from land rental for the next 11 years after the end of the basic construction period;
  • Exempt from land rental for 15 years after the end of the basic construction period for projects in priority investment sectors;
  • Exempt from land rental for the entire rental period in cases of investments in sectors with special investment incentives.

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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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