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Song Cong II Industrial Park - Thai Nguyen

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Information
Operating time: 2017 - 2067
Total Area: 250 Ha
Infrastructure investors: Thái Nguyên Province Industrial Park Infrastructure Development Company
Price: 15 USD/m²
Building density: 70
Occupancy: 40
Address: Bach Quang Ward, Thai Nguyen Province, Vietnam
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Song Cong II Industrial Park – Thai Nguyen:

The Prime Minister of the Government approved, through Decision No. 1107/QD-TTg on August 21, 2006, the Song Cong II Industrial Park (also known as Sông Công 2 Industrial Park) in the planned establishment of industrial parks by 2015. The estimated planned area for the park is 250 hectares.

In March 2017, Prime Minister Nguyen Xuan Phuc endorsed the investment policy for the infrastructure development of Song Cong II Industrial Park in Sông Công City, Thai Nguyen Province. The investor responsible for constructing the industrial park’s infrastructure is the Thai Nguyen Province Industrial Park Infrastructure Development Company. The infrastructure construction of Song Cong 2 Industrial Park is closely connected to a resettlement project and the building of a 36-meter road linking the park to the former National Highway 3 and Song Cong intersection. The industrial park covers a total area of 250 hectares. This project holds significant importance for the province as it aims to progressively enhance and upgrade the quality of investment attraction, ultimately transforming Thái Nguyên into a modern industrial province.

On January 29, 2021, the Prime Minister approved an additional 300 hectares for the second phase of Song Cong II Industrial Park, incorporating it into the industrial park planning of Thai Nguyen Province. Currently, detailed planning for Song Cong II Industrial Park – phase 2 is underway to align with the prevailing social conditions in the area.

Attracting investment

Song Cong II Industrial Park has attracted over $1.2 billion in investment for its 250-hectare industrial land area. Various operational projects, including factories, drive industrial development and economic growth in Song Cong City and Thai Nguyen Province.
The projects primarily focus on manufacturing sectors such as machinery, mechanical engineering, automobile assembly, and electronics. Annually, these projects generate over $2 billion in export revenue and over $1.6 billion in import revenue, create 30,000 new jobs, and contribute approximately 1 trillion Vietnamese dong to the budget.

Currently investing in Song Cong II Industrial Park

Song Cong II Industrial Park has completed its industrial infrastructure and leased approximately 90% of its land area. Notable projects, such as DONGWHA Vietnam’s wood production and Korea Electric Terminal’s electronic component manufacturing, have been established within the park. Kim Tin – Song Cong Joint Stock Company has also constructed warehouses and workshops for rent. The operational phase includes DONGWHA Vietnam’s factory. Currently, the authorities in Thai Nguyen Province are finalizing the necessary documentation for the detailed planning and approval of the remaining area in Song Cong II Industrial Park’s phase 2.

Master plan map of Song Cong II Industrial Park - Thai Nguyen - TTTFIC Group
Master plan map of Song Cong II Industrial Park – Thai Nguyen – TTTFIC Group

Geographical location:

The address of the industrial park is located in Tan Quang, Tan My 1, Tan My 2, Song Cong Town, Thai Nguyen Province.
  • To the North of the industrial park is Tich Luong Commune, Thai Nguyen City.
  • To the East of the industrial park is the Hanoi – Thai Nguyen Expressway (100m away).
  • To the South of the industrial park are fields and the residential area of Bai Lai Hamlet, Tan Quang Commune.
  • To the West of the industrial park are fields and the residential area of Tan My Hamlet, Tan Quang Commune.
Currently, the industrial park is considered a strategically located area, convenient for transportation and the delivery of raw materials to airports, seaports, and vice versa. Thanks to its prime location, it enjoys significant coverage and attracts numerous domestic and international businesses.
From Song Cong 2 Industrial Park, it is convenient to travel to both Thai Nguyen City and Hanoi. Specifically:
  • Approximately 18 km from Thai Nguyen City.
  • Approximately 60 km from the capital city, Hanoi.
  • Approximately 35 km from Noi Bai Airport.
  • Approximately 25 km from Da Phuc River Port.
  • Approximately 120 km from Cai Lan Port.
  • Approximately 110 km from Hai Phong Port.

The infrastructure of Song Cong II Industrial Park:

The infrastructure construction project of Sông Công 2 Industrial Park is closely linked to the resettlement project and the construction of a 36-meter road connecting the industrial park to the old National Highway 3 and Song Cong intersection, with a total area of 282 hectares. The industrial park itself covers 250 hectares and includes various components such as land compensation, site clearance, land leveling, road system construction, ports, drainage systems, wastewater collection systems, clean water supply, firefighting systems, power supply systems, greenery, wastewater treatment plants, and automated environmental monitoring systems, with a total investment capital of over 1,757 billion Vietnamese dong.
The internal transportation system, including the 36-meter road, has been completed, connecting National Highway 3 to Song Cong 2 Industrial Park.
The electricity supply system is supported by 220kV, 110kV, and 35kV power lines running near the industrial park.
The clean water supply system is connected to the Tich Luong Water Plant along National Highway 3, with a distance of 2,000 to 2,500 meters.
The communication system ensures easy domestic and international communication with complete facilities including telephone, mobile phone, fax, and internet.
The construction of a waste treatment plant within the industrial park is developing the wastewater treatment system.
In terms of financial services, there are several bank branches near the industrial park.
Master plan map of Song Cong II Industrial Park - Thai Nguyen - TTTFIC Group
Master plan map of Song Cong II Industrial Park – Thai Nguyen – TTTFIC Group

Investment-Attractive Industries:

The Sông Công II Industrial Zone primarily attracts industries such as:

  • Mechanical engineering and machine fabrication
  • Automobile manufacturing and assembly
  • Electronic goods production and distribution

Investment Costs:

  • The infrastructure usage fee is $15 per square meter for the entire project’s operational duration. The rental price can be adjusted by the Provincial Industrial Zone Management Board of Thai Nguyen.
  • The management and maintenance fee for infrastructure is $0.4 per square meter per year.
  • Thai Nguyen Province determines the land rental fee based on the pricing set at each specific period.
  • The electricity tariff follows the pricing provided by EVN (Electricity of Vietnam).
  • The water tariff is $0.55 per cubic meter and may be subject to changes decided by the Provincial People’s Committee of Thai Nguyen.
    Note: The above prices do not include VAT and are subject to change without prior notice.

Investment incentives:

Thai Nguyen Province specifically encourages and offers incentives to investors in the Song Cong Industrial Zone. In addition to the state’s incentives, Thai Nguyen province provides additional benefits to investors in the Song Cong Industrial Zone, according to Decision No. 3296/2000/QD-UB issued by the Provincial People’s Committee. The investment incentives include the following conditions:
1. Filling the first 30 hectares of industrial land.
2. Exporting more than 50% of the products.
3. Manufacturing goods using local raw materials.
4. Prepaying more than 90% of the land rental and infrastructure usage fees.
5. Employing over 100 local workers.
If a project meets all five investment incentive conditions, it will receive the following benefits:
  • Enjoy a maximum of 50% discount on land rental for four years and free infrastructure usage for seven years.
  • Receive financial support for training when employing local workers, with an amount of 1,750,000 VND per worker.
  • Receive financial support for relocation and delayed tax payments for businesses moving into the industrial zone.
  • Receive commissions for attracting investment into the industrial zone.
The state management within the industrial zone follows a one-stop mechanism through the Provincial Industrial Zone Management Board of Thai Nguyen. Central ministries and agencies delegate the process of project evaluation, investment license issuance, business management, labor, and import-export activities. Inspection and auditing procedures within the industrial zone are simplified to avoid causing inconvenience and obstacles to the operations of businesses within the industrial zone.
Contact to TTTFIC Group
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Industrial Land & Factory Availability in Vietnam | TTTFIC Group

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TTTFIC Group provides industrial investment intelligence, industrial real estate advisory, site selection, factory and warehouse solutions, and business advisory services for foreign investors seeking to establish, expand, relocate, acquire, lease, or invest in manufacturing operations in Vietnam.

Industrial land, ready-built factories, warehouses, industrial parks, economic zones, high-tech parks, export processing zones, and other investment opportunities displayed on TTTFIC.com are provided for preliminary investor reference. Availability, pricing, infrastructure readiness, legal status, investment incentives, industry acceptance, and transaction conditions may change over time and should be independently verified before any investment decision is made.

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