VSIP – An Ideal Destination for Investors in Vietnam

Originating from the VSIP Binh Duong project in 1996, the joint venture model between Sembcorp Industries (Singapore) and Becamex IDC (Vietnam) has expanded strongly to many provinces such as Bac Ninh, Hai Phong,… By 2025, the joint venture has developed 20 VSIP projects.

Highlights on the Northern Industrial Map

Established in 2008, VSIP Hai Phong spans 1,600 hectares, of which 500 hectares are designated for industrial parks and more than 1,000 hectares for urban, commercial, and service areas. VSIP Hai Phong is a pioneer project adopting a new model that harmoniously integrates green industrial development with urban expansion. Strategically located in the Hanoi – Hai Phong – Quang Ninh economic triangle, only 14 km from Hai Phong Port and 15 km from Cat Bi International Airport, with its favorable geographical location and synchronized infrastructure, VSIP Hai Phong boasts the best advantages, enabling businesses to quickly access maritime transportation networks, logistics, and international aviation services.

According to a report by Cushman & Wakefield, in 1Q2025, the absorption rate of industrial land in Northern Vietnam reached 180,000 m², in which Hai Phong alone recorded a 49.17% occupancy rate of the leasable area, reflecting a rising demand for industrial land, warehouses, and factories. The synchronized infrastructure system, including the Hanoi – Hai Phong Expressway, National Highway 5, and the North-South railway, has shortened goods transportation times. In addition, with modern infrastructure meeting Industry 4.0 standards and a commitment to sustainable development, VSIP Hai Phong Industrial Park has attracted many large enterprises around the world, especially in electronics, mechanical engineering, and logistics sectors.

Established in 2015 with an area of 150 hectares, VSIP Hai Duong quickly became a focal point for both domestic and international investors. The project boasts synchronized infrastructure for electricity supply, water supply, and standard-compliant wastewater treatment, along with administrative and service areas supporting businesses throughout their operations. To date, the entire industrial land fund of the project has been fully occupied, contributing to job creation and economic-social stability for the locality. Following this success, on March 26, 2025, the VSIP Group and local authorities signed a Memorandum of Understanding to study the expansion of VSIP Hai Duong to provide additional land bank for attracting both domestic and foreign investors.

Replicating the Success Model to VSIP Thai Binh, VSIP Nam Dinh

Building on the success of VSIP Hai Phong and VSIP Hai Duong, VSIP Group has expanded its projects to Hung Yen and Ninh Binh provinces. With available land and infrastructure being urgently developed, these industrial parks are ready to welcome investors from both within and outside Vietnam.

Located in the heart of the Red River Delta, VSIP Thai Binh enjoys a prime location along the coastal highway and at the gateway of the Hanoi – Hai Phong – Quang Ninh triangle. In March 2025, the VSIP Thai Binh Industrial Park infrastructure development project officially commenced, promising to transform this locality into one of new logistics hubs of Norther Vietnam.

Upon completion of the coastal highway, Ninh Binh – Hai Phong expressway, and Lao Cai – Hanoi – Hai Phong railway connections, VSIP Thai Binh will optimize supply chains for the electronics components, mechanical engineering, and renewable energy industries. VSIP Thai Binh also leads in adopting green technologies, reducing CO₂ emissions, and saving energy to meet global ESG (Environmental, Social, and Governance) standards.

On March 12, 2025, in Singapore, witnessed by General Secretary To Lam and Singaporean Prime Minister Lawrence Wong, VSIP Nam Dinh Phase 1 was awarded the Investment Registration Certificate. The project covers an area of 180 hectares with a total investment capital over VND 2,200 billion. Strategically located along the coastal highway and near the Ninh Binh – Hai Phong expressway, investors will have easy access to Lach Huyen Port and Cat Bi Airport.

Upon completion, VSIP Nam Dinh will generate employment for 18,000 young workers in the locality and neighboring regions. Oriented towards low-carbon emission development, VSIP Nam Dinh Industrial Park prioritizes attracting light industries such as pharmaceuticals, electronics, mechanical engineering, and food processing. With modern, synchronized infrastructure, dedicated and professional customer care services, and supportive local authorities, the VSIP Nam Dinh project promises to become an important link in VSIP Group’s industrial supply chain, creating greater development space to attract investors.

Overall, the robust growth of VSIP is not only due to its strategic locations and modern infrastructure. The key factor is a combination of preferential tax policies, “one-stop” services, and a green, clean, and sustainable living and working environment. According to Savills’ report, during the period when the entire industrial real estate sector witnessed stable growth, VSIP maintained its leading position in land lease rates thanks to its large, clean land bank and reputable brand. It is forecasted that in 2025, with continued FDI inflows into Vietnam, new VSIP projects will be the preferred choice for enterprises wishing to diversify their supply chains and reduce logistics costs.

Furthermore, VSIP’s development journey reflects the long-term strategy of both the Vietnamese and Singaporean governments. Investing in VSIP is not simply stepping onto a solid infrastructure foundation, but also an opportunity to connect with a smart, green, and sustainable industrial ecosystem, benefit from the global value chain, and access high-quality human resources.