SOUTHERN INDUSTRIAL PARK
The southern region of Vietnam includes 17 provinces and cities, of which, the Ho Chi Minh City area. HCM and neighboring provinces are the most economically vibrant areas in the country.
The supply of industrial land in five key provinces in the South including Ho Chi Minh City HCM, Binh Duong, Dong Nai, Long An, Ba Ria-Vung Tau reached more than 25,000 hectares. Fake land lease averages about 135 USD/m2/lease period. In particular, TP. HCM leads compared to the rest of the provinces with 198 USD/m2/period, twice as high as Binh Duong and Ba Ria Vung Tau.
The occupancy rate of industrial land reaches 89%. Despite being affected by social distancing in 2021, the demand for industrial space is still strong, typically Coca-Cola's lease in Phu An Thanh Industrial Park and LEGO's lease in VSIP Industrial Park.
The southern region has a transport infrastructure network developed synchronously with: sea, rail, road and air, favorable for trade with other regions in the country and around the world. There is strong demand for high-quality ready-built factories and warehouses with related services from newly established small and medium enterprises in this area.
TP. HCM and neighboring provinces should be the most vibrant economic region in the country, contributing to promoting the Southern region to become a preferred destination for new manufacturers to join Vietnam. As the center of long-standing and early industrial development, the South concentrated a large number of traditional trades such as rubber and plastics or textile industries.
The south has more road and waterway distances from China than other regions, making the distance of factory shipping time an obstacle for manufacturers. This poses an urgent need to develop high-quality infrastructure in the South in order to increase competitiveness with other economic regions in the country and in the region.
Contact: 0946 522 847 (Ms. Michelle) for more information about industrial real estate in the South.
Source: Vietnam Industrial Park Forum 2022