Phu My 3 Specialized Industrial Park - Ba Ria Vung Tau Province

Phu My 3 Specialized Industrial Park, also known as Phu My III Specialized Industrial Park is one of the largest and most modern industrial parks in Vietnam, with a scale of up to 1,050 hectares. Not only that, this Industrial Park is also a key project of Ba Ria-Vung Tau Province, under the program “Economic Development Initiatives Based on the Potential and Advantages of Ba Ria-Vung Tau Province – PBEG” proposed by the Agency. This program was initiated by the Japan International Cooperation (JICA) and is a model industrial park selected by the Vietnamese and Japanese governments. This fact partly demonstrates the strengths and values that Phu My III Specialized Industrial Park brings to the country’s economy.

I. Overview of Phu My III Specialized Industrial Park – Ba Ria Vung Tau Province

Phu My III Industrial Park was established on October 22, 2009, according to Decision No. 3565/QD.UBND of the People’s Committee of Ba Ria – Vung Tau province, and the investor of this project is Thanh Joint Stock Company Binh Phu My.

According to Decision No. 109/VPCP-QHQT dated January 7, 2014, of the Government Office on selecting a location to develop a specialized industrial park in Ba Ria – Vung Tau province, Phu My 3 specialized industrial park is chosen to develop into a specialized industrial park. The operating period is 70 years from December 21, 2007.

Overview of Phu My III specialized industrial park

1. Nature and Goals of Industrial Parks

Phu My III Specialized Industrial Park is designed with a master plan by the professional international consulting unit Nikken Civil Engineering and Nippon Koei with the goal of developing a complete, synchronous industrial park with infrastructure and amenities that meet international standards.

The total planning of Phu My III specialized industrial park is 1.050 hectares, designed to meet all types of industries such as heavy industry, multi-industry industry, ports, logistics, with other production scales together.

In addition, Phu My III Specialized Industrial Park also plans a large subdivision to develop into a utility service area, including villas, apartments, hotels, shopping centers, post offices, restaurants. A variety of services will be deployed to serve personnel in the Specialized Industrial Park such as schools, vocational schools, general support centers, meeting rooms, and conference rooms.

2. Scale of Industrial Park

The scale of land use in Phu My III specialized industrial park is specifically as follows:

• Land area for the construction of Phu My III industrial park: 999 hectares, including:
  • Concentrated industrial park land: 802,52 hectares.
  • Warehouse land, port area, utility services, sports, golf course, trees, and water surface land: 196,48 hectares.
• Other types of land are 51,81 hectares (existing structures, green land isolated from liquefied gas pipelines, other water surface land).

Of which, the total area of industrial land for lease is 491,47 hectares (accounting for 61,24% of the planned area).

Phu My 3 Specialized Industrial Park is invested and built in 2 phases:

• Phase 1 has a scale of 506 hectares, including 361 hectares of industrial land for rent and technical infrastructure.
• Phase 2 has a scale of 544,86 hectares, including an inland waterway wharf system, logistic warehouses, industrial infrastructure, and 130,47 hectares of industrial land for rent.

Currently, the industrial park has completed the construction of all technical infrastructure items of the industrial park, including power supply systems, water supply systems, wastewater treatment, drainage, and is continuing to complete other items. Leveling and internal roads for phase 2 of the project.

II. Location of Phu My III Specialized Industrial Park

Phu My III Specialized Industrial Park is situated in Phuoc Hoa Ward, Phu My Town, Ba Ria – Vung Tau Province, within the Southern Corridor Economic Zone of Southeast Asia and the Southern Key Economic Region in the south of Vietnam.

1. Regional Connection Characteristics of Industrial Parks

This industrial park boasts a convenient location, well-connected to national highways, expressways, and ports, facilitating import-export traffic and the transportation of goods. Specifically, the connections are as follows:

• From National Highway 51: 500 m.
• From National Highway 1A: 56 km.
• Distance from Thi Vai – Cai Mep deep-sea port system: 4 km (80.000-120.000 DWT).
• Distance from Phu My 3 port: located in the Industrial Park (1.000-5.000 DWT).
• From Vung Tau City: 35 km.
• From Ho Chi Minh – Long Thanh – Dau Giay Highway: 30 km.
• From Tan Son Nhat Airport: 65 km.
• From Long Thanh International Airport: 30 km.
• From Ho Chi Minh City: 60 km.
• Distance from Bien Hoa City: 50 km.
• From Binh Duong City: 60 km.

Not only does this location allow convenient access to national transportation routes, but it also facilitates easy connections with other industrial parks in Phu My Ward (Phu My I Industrial Park, Phu My II Industrial Park, etc.) and other industrial parks in Nhon Trach and Long Thanh districts. The synergy with other industrial parks in Ba Ria Vung Tau province will have a positive impact on the development efficiency of Phu My III in the future.

III. Infrastructure System of Phu My III Specialized Industrial Park

With the goal of becoming an internationally recognized industrial park, the entire infrastructure system of Phu My III Specialized Industrial Park is designed by professional consulting units Nikken Civil Engineering and Nippon Koei to best meet the production needs of investors and ensure the long-term stable operation of projects.

Modern and comfortable infrastructure system in Phu My III specialized industrial park

1. Internal Road System

The total length of traffic routes throughout the industrial park is 37,19 km, ensuring convenient circulation within the area and smooth connection with traffic infrastructure outside the area. Key features include:

• The main road of Phu My III specialized industrial park has a road width of 43 m and 41 m respectively, constructed with a reinforced concrete structure capable of bearing large loads suitable for heavy industries.
• Internal roads and branch roads in the industrial park have widths ranging from 20m to 29m.

2. Electric Supplying System

The electricity system is provided by Ba Ria – Vung Tau Electricity (under the Southern Electricity Corporation) with the following capacity:

• Phase 1: 2 22 KV voltage supply lines.
• Phase 2 (2017~): 4 transformers with a total capacity of 63 MVA for 2 110 KV transformer stations. There are 3 underground cable systems, and power outages occur 3 times a year for system maintenance.

3. Clean Water Supply System

The clean water system is provided by Phu My Water Supply Joint Stock Company, with a capacity of 90.000 – 100.000 m³/day. Specific capacity includes:

• First phase: 34.000 m³/day.
• Phase 1: 50.000 m³/day.
• Phase 2: 100.000 m³/day. This can be upgraded based on business requirements.

4. Wastewater Treatment System

The centralized wastewater treatment plant of Phu My 3 Specialized Industrial Park was designed and built by Kobelco Eco-Solutions, capable of treating wastewater to meet the stringent column A standards in Ba Ria Vung Tau province. The capacity is 45.000 m³/day and night.

5. Gasoline Supply System

Phu My III features a gas station system provided by Sojitz Vietnam with a capacity of 10 – 15 million m³ NG/month.

6. Fire Protection System

Fire hydrants are strategically placed along traffic routes in Phu My III specialized industrial park, with a distance of 2 hydrants from 100-150 m, ensuring easy access in case of fire or explosion.

7. Gas Supply System

Phu My III is planned to build 02 natural gas pipelines: Nam Con Son pipeline and Bach Ho pipeline. This ensures the ability to supply gas to the industrial park with a gas supply capacity of 34,5 MJ/Nm3 = 8238,6 kcal/Nm3. Additionally, there is a natural gas pressurization plant with a capacity of 15 million m³/month invested and built by Sojitz Osaka Gas Energy.

8. Inland Port System

Investment in port construction includes: 1 liquid cargo port and 2 drop cargo ports with a designed cargo handling capacity of 5,000 tons, supplying factories in the area. Phu My III Industrial adds a barge transportation solution from inland ports to domestic or international port systems such as Cai Mep – Thi Vai, Cat Lai.

9. Port System Outside the Industrial Park

Phu My III can conveniently use the Cai Mep Thi Vai international deep-water port system, which can receive ships up to 200.000 DWT for cargo handling.

10. Other Infrastructure Facilities

Phu My III includes utility areas such as vocational schools, residential areas, banks, post offices, hospitals, parks, etc.

IV. Industry Groups Attracting Investment in Phu My III Specialized Industrial Park

Here is a summary of industries that attract investment in the industrial park:

1. Energy Industries:
   • Metallurgy
   • Energy
   • Mechanical Engineering
   • Chemical Products
   • Mineral Processing
   • Solid Waste Treatment, etc.
2. Goods Production Industries:
   • Packaging Paper
   • Drilling Materials
   • Construction Materials
3. Supporting Industries:
   • Machinery Manufacturing
   • Communication Equipment
   • Electronics
   • Component Assembly
   • Garment Industry
   • Pharmaceutical Production
   • Port Services
   • Logistics
   • Agricultural and Aquatic Product Processing, etc.
4. Industrial and Port Logistics Services
5. Investment in Construction and Development of Utility Areas:
   • Villas
   • Common Areas
   • Restaurants
   • Hotels
   • Hospitals
   • Schools, etc.

V. Incentives When Investing in Phu My III Specialized Industrial Park

Businesses and investors will enjoy the following incentives:

1. Corporate Income Tax

• 17% incentive on taxable income for the first 10 years from the year of revenue.
• Tax exemption for the first 2 years from the year of taxable income, and a 50% reduction for the next 4 years.

2. Import Tax Incentives

• Tax exemption on machinery and goods in the petroleum and gas industry.
• Tax exemption on machinery and goods used to create fixed assets to implement investment projects.
• Tax exemption for machinery and equipment that cannot be produced domestically.

3. Incentives on Land Lease Term:

• Phu My 3 Specialized Industrial Park applies a special land lease policy with a term of 70 years (until 2077). This is the industrial park with the longest operating term in the country today and 20 years longer than other conventional industrial parks.

4. Incentives on Land Rental:

• Businesses will be exempt from land rent up to 2042.

5. Support for Investment Licensing Procedures:

• Investment projects in Phu My III specialized industrial park receive free support from the investor in procedures for applying for investment project licenses and establishing businesses.
• Direct support for the preparation of other necessary documents on environment, construction, labor, experts, technicians, etc.

VI. Investment Costs of Phu My III Specialized Industrial Park Project

Note: The above prices do not include VAT and are subject to change without prior notice.

VII. Labor Sources and Labor Costs in Phu My III

Currently, the population increase in Ba Ria Vung Tau province has contributed to the availability of a large quantity and quality of labor in the Industrial Park, meeting production and business needs.

Moreover, Phu My III Specialized Industrial Park benefits from its favorable geographical location, making it easier to attract human resources from other key areas.

This concludes the latest information about Phu My III specialized industrial park that TTTFIC shares with you. With these advantages and investment incentives, Phu My III Specialized Industrial Park is poised to become an industrial hub with outstanding development speed, bringing forth substantial economic value.