Binh Duong Industrial Park - Ho Chi Minh City

I. Overview of Binh Duong Industrial Park – Ho Chi Minh City

Information about the industrial Park

Legal documents of Binh Duong Industrial Park – Ho Chi Minh City: Establishment Decision: No. 196/TTg dated April 26, 1993, by the Prime Minister regarding the allocation of land to Thanh Le Import-Export Trading Company – Song Be Province to build the industrial and service Park; Official Letter No. 204/BQL dated September 3, 1997, by the Head of the Management Board of Vietnamese Industrial Parks. Investment certificate: Decision approving the detailed plan of the industrial Park: No. 498/QD-CT dated February 17, 2003, by the Chairman of Binh Duong People’s Committee regarding the adjustment of the detailed plan of Binh Duong Industrial and Service Park, Di An District, Ho Chi Minh City. Binh Duong Industrial Park is planned on a total area of 16,5 hectares. This is not an overly large area for an industrial Park; however, it still meets the demands for leasing land for the construction of factories, workshops, and plants of numerous domestic and foreign investment projects, big and small. Land usage structure: The total area of the industrial Park is 16,5 hectares. Industrial land for lease: 14,08 hectares. The smallest leasing area is 1 hectare. Details are shown in the following table:

The total investment capital of the industrial Park is 16,562 billion VND, and it started operating in 1994.

Information about the investor

The project’s investor is Thanh Le Import-Export Trading Company Limited, a member of the General Trading Company. The company’s address is 63 Yersin, Hiep Thanh Ward, Ho Chi Minh City, Vietnam. Investment/Business registration certificate: Business registration certificate and tax registration certificate No. 3700146458 issued for the first time by the Binh Duong Department of Planning and Investment on July 1, 2010 (transferred from the Formerly Named Thanh Le Import-Export Trading Company, tax code 4606000006, dated October 23, 1992).

II. Geographical location of Binh Duong Industrial Park – Ho Chi Minh City

Binh Duong Industrial Park is located at Di An Ward, Ho Chi Minh City, Viet Nam.  This location benefits from a convenient transportation system, well-invested infrastructure, and a developed society. Therefore, it presents advantageous opportunities for expansion, development, and business operations for enterprises in The Industrial Park. Information about the adjacent locations is as follows:

• East: Adjacent to Ho Chi Minh City, Thu Duc City.
• West: Adjacent to Thuan An City.
• North: Facing Bien Hoa City and Tan Uyen Town.

Information about easily accessible locations from The Industrial Park is as follows: Administrative centers:

• Ho Chi Minh City: 20,9 km
• Thu Dau Mot City – Ho Chi Minh City: 20 km
• Bien Hoa City – Dong Nai: 10,6 km

Airports:

• Tan Son Nhat International Airport: 19,7 km
• Long Thanh International Airport: 39,1 km

Seaports:

• Cat Lai Port: 24,1 km
• Cai Mep Port: 29,5 km

Railway stations:

• Saigon Railway Station: 21,8 km
• Song Than Station: 7,2 km

Additionally, from the location of Binh Duong Industrial Park, there are also many other large and small industrial Park and export processing Park projects nearby, such as Song Than 1, Song Than 2, Tan Dong Hiep A, Tan Dong Hiep B, Binh An Garment Industrial Park, etc.

III. Infrastructure at Binh Duong Industrial Park – Ho Chi Minh City

Transportation System

The Industrial Park aims to have a comprehensive and convenient transportation system. The main axis is heavily invested with 4 lanes, a 20-meter wide asphalt concrete surface, and meets the standard load capacity as regulated for industrial parks. This facilitates efficient and swift transportation of goods and movement within the industrial park. Furthermore, the internal traffic axis is 15 meters wide and stable, providing favorable conditions for production and business activities within the industrial establishments. The overall harmonious design ensures the park’s aesthetic appeal, contributing to a comfortable and efficient working environment.

Electricity System

The Industrial Park has made substantial investments in the electricity system, ensuring a power supply of 110/22kV with a capacity of 2×63 MVA. The electricity is tightly connected and stable, reaching every lot’s boundary within the industrial park, meeting 100% of the electricity demand for businesses operating in the area. This guarantees uninterrupted production and business operations, minimizing downtime caused by power failures and maximizing production efficiency.

Water Supply System

The Industrial Park is committed to providing an ample supply of clean water, with a capacity of up to 5.000 m3/day, meeting the water quality standards set by the World Health Organization (WHO). The water supply system is ensured to reach every corner of the industrial park, ensuring sufficient and stable water resources for businesses while also ensuring sanitary and safe conditions for production and daily activities.

Wastewater Treatment System

Environmental preservation and resource conservation are top priorities at Binh Duong Industrial Park. A modern wastewater treatment plant with a capacity of 1.200 m3/day has been invested and constructed. This system ensures that wastewater is treated and discharged in compliance with the regulations of the Ministry of Natural Resources & Environment.

IV. Industries Attracting Investment

• Leather shoes, apparel, packaging production, and non-dyed textiles
• Processing and assembling electronic components, machinery and equipment parts, leasing land, and warehouses for goods storage.

V. Investment Costs at Binh Duong Industrial Park – Ho Chi Minh City

The latest rental rates for land and warehouses at Binh Duong Industrial Park are as follows, announced by Thanh Le Import-Export Trading Company:

• Industrial land rental price: approximately 200 USD/m2, with a 10% deposit, a minimum area of 1 hectare, and a lease term until 2044.
• Warehouse rental price (10.000 m2): 2 – 3 USD/m2/month.
• Management fee: 0,4 USD/m2/year.
• Clean water price: 0,4 USD/m3.
• Electricity price: From 0,1 USD during peak hours, 0,05 USD during normal hours, and 0,03 USD during off-peak hours.
• Wastewater treatment fee: 0,28 USD/m3.

Additionally, according to Decree 218/2013/ND-CP, investors renting land and warehouses at The Industrial Park are exempt from taxes for the first 2 years and enjoy a 50% tax reduction for the following 4 years.