Industrial Parks in Vinh Phuc Province Attract Investments

Khu công nghiệp (KCN) Vĩnh Phúc cập nhật danh sách mới 2022

Industrial Parks in Vinh Phuc Province Attract Investments

Overview

Vinh Phuc, located in the Red River Delta, occupies a strategic position in northern Vietnam, forming part of the Hanoi Capital Region and the Northern Key Economic Region. Its proximity to Hanoi and Noi Bai International Airport makes it an essential gateway for regional trade and commerce, connecting the Northwest provinces to Hanoi and the wider Red River Delta. Since its re-establishment in 1997, the province has been focused on leveraging industrial development as a key engine of economic growth. With a focus on improving services, boosting tourism, and creating a favorable investment environment, Vinh Phuc aims to become an industrial hub by 2025, enhancing its position as a regional leader in industry, services, and tourism.

Geographical Location

Re-establishment and Area: Vinh Phuc was re-established on January 1, 1997. Following the administrative expansion of Hanoi in 2008, Me Linh district was transferred to Hanoi, leaving Vinh Phuc with an area of 1,235.87 km².
Geographical Boundaries:
- North: Borders Thai Nguyen and Tuyen Quang provinces, separated by the Tam Dao mountain range.
- West: Borders Phu Tho province, with the Lo River forming a natural boundary.
- South and East: Borders Hanoi, separated by the Red River.

Administrative Units

Vinh Phuc comprises 9 administrative divisions: 2 cities and 7 districts, with 136 communal-level units, including 15 wards, 16 townships, and 105 communes:

Cities: Phuc Yen, Vinh Yen.
Districts: Binh Xuyen, Lap Thach, Song Lo, Tam Dao, Tam Duong, Vinh Tuong, An Lac.

Demographics

Population: The population of Vinh Phuc was approximately 1.26 million in 2023, reflecting steady growth.
Workforce: The workforce stood at about 670,000 people in 2023, continuing to grow with the development of new industrial zones.
Employment Creation: Approximately 18,000 jobs were created in 2023, contributing significantly to the province’s employment goals.

Healthcare Infrastructure

Vinh Phuc has significantly expanded its healthcare system:

17 hospitals with a total of 3,500 beds.
40 polyclinics and over 140 commune health stations.
Ongoing projects, including a major healthcare facility supported by a Singaporean investor.
New general and obstetrics hospitals aiming to meet regional standards.

Transportation Infrastructure Development

Vinh Phuc benefits from its proximity to major transportation hubs, bolstered by continuous investments:

Roads: The Hanoi–Lao Cai Expressway and National Highway 2 are key routes passing through the province.
Rail: The Hanoi–Lao Cai railway is being modernized with double tracks and electrification, enhancing travel speeds.
Air: Noi Bai International Airport is a major asset for air logistics.
Waterways: The Red River and several other rivers provide vital inland waterway transport.

By the end of 2023, nearly 96% of rural roads in Vinh Phuc had been solidified, boosting rural connectivity.

Economic Achievements

Vinh Phuc’s economy has shown remarkable growth:

Economic Growth: From 1997 to 2023, the economy grew at an average annual rate of 13.2%. In 2023, GDP reached VND 160 trillion, continuing to rise as industrialization accelerates.
Sectoral Transformation: Industrial and construction sectors accounted for 65% of the GDP in 2023.
Per Capita Income: By 2023, average per capita GDP was VND 120 million (around USD 5,000).
State Budget Revenue: Total revenue reached VND 35 trillion in 2023, despite the challenges posed by the global pandemic.

Industrial Development

Vinh Phuc is part of the Northern Key Economic Region and has developed a robust industrial base:

Operational Parks: The province is home to several industrial parks, including Kim Hoa, Khai Quang, Binh Xuyen, Ba Thien, and others.
Industrial Clusters: Development of 41 industrial clusters is underway, with Huong Canh, Thanh Lang, and Ly Nhan being notable clusters.
Goals for 2025: Vinh Phuc aims to have over 50 tier-1 and tier-2 suppliers for major industries such as automotive and electronics, and integrate 10 local companies into the supply chains of international corporations.

Key Objectives for 2025

Vinh Phuc is set to achieve the following by 2025:

Maintain an annual economic growth rate of 8.5–9.0%.
Achieve a per capita GDP of VND 130–135 million.
Ensure state budget revenue grows by 6–8% annually.

With continuous investments in infrastructure and industrial development, Vinh Phuc is well on its way to becoming a key player in Vietnam’s industrial landscape.