Top 5 Reasons to Build Mechanical Workshop in an Industrial Park in Vietnam

When investing in industrial zones, investors are often interested in infrastructure facilities, locations, tax incentives, etc. How is it possible that after signing the land lease contract, everything is ready for them to build the factory? How to save time and cost to put the factory into operation fastest, effectively and sustainably, etc. A chain of Vietnamese industrial zones can meet all needs of foreign investors due to its following characteristics.

Industrial parks located in all regions of Vietnam

Vietnamese industrial zones are located in three regions of the country and all the central provinces. Each region has its own tax incentive policies and characteristics to attract investors.

In the North

There are 25 provinces having industrial parks. During the China-US trade war, a lot of businesses in China moves to the Northern Region since it is also the most preferred area for businesses to import raw materials and goods from China.

In the central region

There are 5 provinces and the most dynamic province is Da Nang. This region attracts business in light industry (such as food processing activities…). In the future, this area will be the ideal destination for investors because of the strength of the existing transport infrastructure system, seaports and airports.

Mechanical Workshop In Industrial Park In Vietnam
Mechanical Workshop In Industrial Park In Vietnam

In the Sout

Southern Region is known as the industrial park center of Vietnam and the most vibrant economic zone. The key advantage of the southern region is its proximity to Vietnam’s largest commercial ports, major cities, seaports, airports, borders, and main highways.

Stable price policy

Most of Vietnamese industrial parks aim for a clean land fund and pay off the payment obligation of land lease to the government to have a stable land fund within 50 years.

For small and medium investors, in order to reduce costs while building factories, many industrial parks apply the policy of extending payment schedule. Land sublease fees can be divided into multiple payments. In addition, during construction, the investors have not yet paid for the infrastructure maintenance. There are quite a lot of the support and create confidence for investors.

Synchronous and environmentally-friendly infrastructure

When investing in an industrial zone, investors are often interested in infrastructure facilities. How is it possible that after signing the land lease contract, everything is ready for them to build the factory? How to save time and cost to put the factory into operation fastest, effectively and sustainably.

The industrial zones of Vietnam are invested and built with the most synchronous, modern and convenient technical infrastructure. Traffic systems, electricity supply, water supply, waste drainage… were built to connect to the fences of the investors’ factories. These are very important factors for many investors.

Incentive advantages

In recent years, the Vietnamese legal system has recognized many breakthrough new legal provisions that are open to foreign investors. In addition to the administrative procedure reform, investment incentives, especially the preferential tax on foreign investment projects in Vietnam, have also contributed to attracting foreign capital.

There are a lot of incentives in many fields such as preferential corporate income tax, preferential import tax, incentives on land, etc.

Cheap labor

The cost of starting a business in Vietnam can be a matter of concern to most foreign investors. Among key cost-related factors, it is good to know that Vietnam offers a fairly low labor cost!

Cheap but still quality is the characteristic of Vietnamese labor because of the country’s average wage cost. It is a cost-effective resolution for foreign investors who want to shift from China to Vietnam.

Grow Community

As mentioned above, each region / industrial park has its own policies to attract investors. Naturally investors have the same goals and common ground aim to the same industrial parks. Therefore, it is easy to connect with other businesses and industries that are also operating in the industrial parks, helping them to grow their customers and communities.