Favourable Geography

Hai Phong is considered a top destination for international investors due to its favourable geographic positioning. Chinese investors like this destination as it is part of the “Two Corridors One Belt” programme. This programme links Nanning (China), Lang Son, Ha Noi, Hai Phong, Quang Ninh, and Lao Cai and fosters economic connectivity between Viet Nam and China. Hai Phong’s positioning means that it is also only an hour from Ha Noi’s CBD. Another one of Hai Phong’s biggest advantages is its 125-km coastline that borders the Gulf of Tonkin. It has over 40 seaports, ideal for the international transportation of goods.

Hai Phong is the most important transportation hub in the Northern Key Economic Zone (NKEZ) as it is the only province in the region to have all five types of transport critical to logistics - road, rail, waterways, air, and sea. Its seaport cluster meets international standards and is the second largest in Viet Nam. Notably, Lach Huyen Deep Sea Port is the first deep-sea port in the NKEZ and the largest in the country; it can dock super-heavy ships, which is crucial for the expansion of import and export industries.

In addition, Cat Bi International Airport connects directly to the city centre, the train station, and Hai Phong Port, creating a complete logistics system for industrial activities.

Hai Phong - An established Industrial Gateway

Industry lies at the heart of Hai Phong's economy. Hai Phong continues to be an attractive investment destination for both international and local investors and developers thanks to its growing industrial environment, support infrastructure and attractive investment policies like reduced taxes. According to our recent Industrial Whitepaper, in 9M/2021, Hai Phong received over US$131 million of newly registered manufacturing FDI, accounting for 12.21% of the national share. The city has 11 industrial parks spanning 4,526 ha, and it has 7.61% of the country’s ready-built warehouses and factories.

Mr John Campbell, Manager of Industrial Services at Savills Viet Nam, commented: “Despite a challenging 2021, areas like Hai Phong are still attractive to investors and developers. As the industrial gateway in the NKEZ, Hai Phong has focused on developing key high-value industries; these include automotive, electronics, and electrical equipment manufacturing and machine building. It is home to well-known companies like Vinfast, Pioneer, Bridgestone, Nakashima, and Chevron.

Industrial Hotspots in Hai Phong

Most of the large industrial parks in Hai Phong are in three districts: Hai An, An Duong, and Thuy Nguyen. These districts share the same borders and have good access to the airport, the seaports, and main roads like National Highway 5A. The Dinh Vu - Cat Hai Economic Zone is home to most of the industrial parks. This key economic zone has efficient infrastructure systems as well as sustainable development models. Enterprises here benefit from preferential incentives and can access Hai Phong’s large, skilled labour pool.

Hai An is popular with international investors from Japan, Germany, Taiwan, the US, and Singapore. The industrial properties here benefit Hai Phong’s well-developed seaport system. Hai An’s industrial parks are home to leading tenants like Pyeong Hwa Automotive, Chevron, Knauf, Bridgestone, and JX Nippon Oil.

An Duong: The first industrial park in Hai Phong was in An Duong, and this area is popular with Japanese investors. It offers good connectivity with major roads such as National Highway 5A, National Highway 10, National Highway 17B and Provincial Road 351. Famous tenants include Fuji Seiko, Getz Pharma, Winel, and Fujita Corporation.

Thuy Nguyen is the gateway to the Bach Dang River. The industrial activities here benefit from the area’s strong economic growth over the last few years. Thuy Nguyen is building a synchronous and modern infrastructure system to meet the district’s growing demands for sustainable development. It is also home to four of Hai Phong’s main industrial parks. There are established companies in Thuy Nguyen such as LG, Vinfast, Kyocera, Vinashin, and Shinec.

Commenting on the industrial scene in Hai Phong Mr Le Huy Dong, Manager of Industrial Services, Savills Hanoi, shared: “Hai Phong has a long-standing history in Viet Nam’s industrial scene. Interestingly, it is one of the pioneering cities in adopting and launching eco-industrial parks with international management standards.”