Lots of foreign firms have recently shown their interest in land lots for lease in DEEP C Industrial Zones in the Northern city of Hai Phong, according to Hans Kerstens, Head of International Business Development at the cluster. In 2018, the number of firms that want to lease land at the cluster doubled the figure recorded in the previous year.
Kerstens added that local industrial land is attractive to enterprieses from Japan, China, South Korea, US and European countries.
Foreign investors are seeking for industrial land in Vietnam. (Photo: cafef)
Overseas businesses tend to invest in Southeast Asia region when they have plans to expand operations. Among regional countries, Vietnam is one of the most popular choices. Their demand for Vietnam’s industrial land has grown even stronger after the US-China trade war, Kerstens noted.
Sharing the same view, Henry Chin, Head of Asia Pacific Research at CBRE, expects in addition to industrial land in clusters, commercial centers and offices for lease will see high demand.
He added Vietnam is an ideal destination for foreign investors thanks to free trade agreements that the country is a party to, including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPATPP) and the European Union-Vietnam Free Trade Agreement (EU-Vietnam FTA).
Statistics of the Ministry of Planning and Investment shows the country is now home to 325 industrial parks, covering a total area of around 95,000 hectares, and 53 percent of them already occupied. At efficient industrial parks, the rate even hit 73 percent, according to Troy Griffiths, Savills Vietnam’s Deputy Managing Director.
Recently, BW Industrial Development JSC has developed ready-built and built-to-suit factories on 209 hectares of land across 8 industrial parks, said Savills. Besides, Boustead Singapore Limited has also built facilities on 18 hectares of land in Dong Nai province’s Nhon Trach district.
Additionally, China Fortune Land Development Limited is now seeking opportunities to invest in industrial land in Southern province of Long An.
