Tan Dong Hiep A Industrial Park - Binh Duong

I. Overview of Tan Dong Hiep A Industrial Park – Binh Duong:

Tan Dong Hiep A Industrial Park is one of the renowned industrial zones in Binh Duong Province, Vietnam. Tan Dong Hiep A Industrial Park was established on December 19, 2000, by the Prime Minister’s Decision No. 1282/QD-TTg, to attract both domestic and foreign investors. The project is implemented by Dapark Real Estate Business and Construction Joint Stock Company, with a total investment capital of up to 73,23 billion VND.

Planning and Area:

Tan Dong Hiep A Industrial Park has a detailed approved plan through Decision No. 396/BXD/KTQH dated September 3, 1997, by the Minister of Construction, and has been adjusted through Decision No. 4770/QD-UBND dated October 24, 2006, by the Binh Duong Provincial People’s Committee. The total area of the industrial zone is 52.8630 hectares.

Land Use Structure:

• Land for factory construction occupies 37,4160 hectares, facilitating the establishment of manufacturing plants and industrial workshops.
• Land for operational and service facilities covers an area of 1,7250 hectares, serving management activities and providing support services to businesses within the industrial zone.
• Land for technical infrastructure headworks is 0,3280 hectares, ensuring the stable operation of technical infrastructure within the industrial zone.
• Greenery occupies 7,8660 hectares, creating a pleasant green space and improving the working environment for laborers in the industrial zone.
• Transport land is planned over an area of 5,5513 hectares, ensuring a convenient transportation system for goods and labor movement.

Occupancy Status:

Currently, Tan Dong Hiep A Industrial Park has reached 100% occupancy status, demonstrating the attractiveness and success of this industrial zone in attracting numerous investing and production activities in the region. It has significantly contributed to the economic development of Binh Duong province and remains an appealing destination for industrial investors. With excellent infrastructure, ample space, and a rational land-use structure, Tan Dong Hiep A Industrial Park continues to attract interest from both domestic and foreign investors and businesses.

II. Geographical Location of Tan Dong Hiep A Industrial Park – Binh Duong:

Tan Dong Hiep A Industrial Park is situated in Tan Dong Hiep commune and adjacent areas such as Tan Binh and Dong Hoa, Di An town, Binh Duong province.

With a strategic geographic location, this industrial zone is near important transportation routes, providing favorable conditions for business operations.

Specifically, the transportation hubs from Tan Dong Hiep A Industrial Park include:

Airports:

• Distance to Tan Son Nhat International Airport: 20,6 km.
• Distance to Long Thanh International Airport: 39,4 km.

Seaports:

• Distance to Tan Cang – Cat Lai Terminal: 25,3 km.
• Distance to Tan Cang – Cai Mep Terminal: 60 km.

Economic and Cultural Centers:

• Distance to Ho Chi Minh City: 21,8 km.
• Distance to Bien Hoa City: 10 km.
• Distance to Thu Dau Mot City: 19,6 km.
• Distance to Vung Tau City: 84 km.

With its strategic geographical location and efficient connectivity to major economic centers and seaports in the region, Tan Dong Hiep A Industrial Park is an ideal destination for businesses seeking investment and expansion of production activities in Binh Duong province, Vietnam.

III. Infrastructure at Tan Dong Hiep A Industrial Park – Binh Duong:

Tan Dong Hiep A Industrial Park has invested significantly in infrastructure to meet the production and development needs of businesses here. Below is some information about the infrastructure in this industrial park:

Power Supply System:

The 110/22KV transformer station within the industrial zone supplies electricity to Tan Dong Hiep A Industrial Park, with a capacity of up to 80 MVA. Additionally, to ensure stability and backup, the area will benefit from a 650MVA power plant in South Binh Duong.

Water Supply System:

Clean water for production within the industrial park is provided by the Di An Water Plant. The water treatment process ensures quality standards, with each plant receiving 20.000 m3 of water per day and night.

Wastewater Treatment System:

Tan Dong Hiep A Industrial Park owns a centralized wastewater treatment plant designed with American technology, capable of treating 7.000 m3 per year. To ensure effective and environmentally friendly treatment, the factories and plants connect the wastewater discharge system close to their perimeter.

Communication System:

Continuous communication is essential in the industrial park. Therefore, businesses can rely on telephone, fax, and ADSL systems provided by leading networks such as Viettel and VNPT.

Internal Transport System:

The internal road network in Tan Dong Hiep A Industrial Park is designed with H30 asphalt concrete, with main roads 31 meters wide, connecting to the DT 743 arterial road. The lighting and lush greenery are thoughtfully arranged, ensuring convenient traffic flow and creating a clean, beautiful environment throughout the industrial zone.

With modern and convenient infrastructure, Tan Dong Hiep A Industrial Park is an attractive choice for businesses looking to expand and develop production activities in the Binh Duong area.

IV. Investment-Attractive Industries at Tan Dong Hiep A Industrial Park – Binh Duong:

Tan Dong Hiep A Industrial Park attracts diverse investments in various key sectors, offering opportunities for strong development. Here are some notable industries in this industrial park:

• Electrical appliances, machinery, industrial and household electrical equipment manufacturing.
• Electronics, information technology, and telecommunications.
• Light industries produce diverse products like toys, imitation jewelry, textiles, leather goods, ceramics, glass, and crystal.
• Warehousing and logistics.
• Consumer goods processing and export, including food products and instant noodles.
• Mechanical processing, including watchmaking, optical equipment, and tools.
• Mechanical fabrication and equipment repair, construction machinery.
• Export-oriented fine art wood production, office equipment, hotels, and interior decoration.
• Manufacturing products from plastic, metal, and household utensils.

With a diverse range of industries and a favorable investment environment, Tan Dong Hiep A Industrial Park is an attractive destination for businesses seeking expansion or new investment opportunities in the region.

V. Investment Costs at Tan Dong Hiep A Industrial Park – Binh Duong:

Tan Dong Hiep A Industrial Park offers attractive business opportunities. Below is some information about investment costs in this area:

Land Rental Price:

• The land rental price at Tan Dong Hiep A Industrial Park is 200 USD/m2 for the entire 50-year lease term.
• A 30% deposit is required to secure the land, and the minimum rental area is 1 hectare.

Management Fee:

• The monthly management fee is 0,5 USD/m2/month, supporting the operation of the industrial park.

Electricity Supply Price:

Electricity supply prices are based on three different rates:

– Peak hours: 0,12 USD/KWh

– Normal hours: 0,05 USD/KWh

– Off-peak hours: 0,02 USD/KWh

Clean Water Price:

• The clean water service costs 0,4 USD/m3, ensuring a reliable water supply for production activities.

Wastewater Treatment Fee:

• If wastewater is generated, the treatment fee is 0,28 USD/m3.
• The volume of wastewater is calculated based on 80% of the supplied water flow.

Note that the prices mentioned above do not include VAT. Tan Dong Hiep A Industrial Park offers a developed economy and favorable conditions for businesses to invest and grow in Binh Duong.

VI. Investment Incentive Policy at Tan Dong Hiep A Industrial Park – Binh Duong:

Tan Dong Hiep A Industrial Park offers attractive investment incentives as follows:

Corporate Income Tax:

The legal framework ensures investment incentives at Tan Dong Hiep A Industrial Park through the Corporate Income Tax Law No. 14/2008/QH12 dated June 3, 2008, and Decree No. 12/2015/NĐ-CP dated February 12, 2015. Specifically, businesses in this industrial park will enjoy the following benefits:

• The corporate income tax rate is 20% (twenty percent).
• Exemption from corporate income tax for the first 2 (two) years and a 50% (fifty percent) reduction in the payable tax amount for the following 4 (four) years.

Import-Export Tax:

The Export Tax Law, Import Tax Law No. 45/2005/QH11 dated June 14, 2005, governs the legal basis for import-export incentives in this industrial park. The following incentives are provided:

• Exemption from import tax for imported goods used to create fixed assets; raw materials, supplies, and components for investment projects.

Value Added Tax (VAT):

According to the current legal documents, VAT incentives at Tan Dong Hiep A Industrial Park are applied as follows:

• Goods exempted from import tax as mentioned in Section 2 will also be exempt from VAT.
• A 0% tax rate applies to goods exported abroad, construction activities, and installation of works by manufacturing enterprises, except for export products that are unprocessed mineral resources.
• Tax rates of 5% and 10% apply to specific industries as specified in Circular No. 129/2008/TT-BTC dated December 26, 2008, by the Ministry of Finance.

With such attractive tax incentive policies, Tan Dong Hiep A Industrial Park is a compelling choice for businesses seeking investment and development opportunities.