Developing a series of IZs, Vietnam ready to welcome Japanese investors

Hanoi moi has quoted Chair of the Japan Chamber of Commerce and Industry (JCCI) Toshio Nakamura, who headed a group of 120 businesspeople in a working visit to Vietnam in late September, as saying that Vietnam is one of the most chosen places for Japanese investors to scale up their business. Yasuzumi Hirotaka, director of the Japan External Trade Organisation (Jetro), said on Dau tu that the worries about the heavy floods in Vietnam, the difficulties in China and territory disputes between China and Japan have prompted Japanese investors to head for Vietnam.

However, he said that Vietnam needs to get ready to receive Japanese investors by pushing up the preparation works in the infrastructure system, the labour force. Especially, local authorities have been advised to develop industrial zones with the workshops in small scale of 500-1000 square meters, which would fit mechanical engineering manufacturers.

An official of the HCM City Planning and Investment Department said the agency is considering a new model of industrial zone specifically designed for the enterprises in supporting industries, which would prioritise to attract Japanese investors.

The city also plans to set up new industrial zones including Le Minh Xuan 2 and Le Minh Xuan 3, Vinh Loc 3, the third phase of Xuan Thoi Thuong and Hiep Phuoc projects, expanded Le Minh Xuan, Hoa Phu and Phuoc Hiep. At the same time, the city would push up the development of the industrial zones with the land funds ready, such as Tan Phu Trung, Dong Nam, An Ha industrial zones.

Affirming that the investment capital from Japan would serve as an important resource for the city’s economic development, Hepza, the agency in charge of industrial zone management, said it has been taking all necessary measures to attract the Japanese investment. One of the measures is to establish the Vietnam-Japan industrial zone, expected to cover an area of 100 hectares.

Nguyen Phuong Lan, deputy Chair of the Dong Nai provincial Management Board of Industrial Zones said the province has learned about the requirements of Japanese investors and it would build up a model which can satisfy the requirements.

Elaborating on this, Lan said the industrial zones would be ready with complete infrastructure items, where there are separate workshop premises. The province has also committed to provide package services, so that Japanese investors can have enough information and enjoy convenience when investing in Dong Nai.

The Dong Nai provincial Planning and Investment Department’s director Bo Ngoc Thu has also confirmed that Japan is always the important market for the province in investment promotion projects.

She went on to say that the success of the industrial zones developed by the joint ventures between Vietnamese and foreign partners, like Amata or Long Duc, has prompted the provincial authorities to call for Japanese investment for the industrial zone projects that would serve Japanese manufacturers in the future.

In Long An province, 90 percent of the construction items at the Duc Hoa III – Silico industrial zone has been completed which would be ready for investors from early 2013.

Yoshio Yamamoto, the investor’s representative has said the electricity system, waste water treatment system, internal roads all have been completed, while the remaining items are nearly completing.

It is reported that Japanese Tokyu Group has decided to cooperate with Becamex Binh Duong to develop a Japanese street area in HCM City.