Activities

Billion-Dollar Projects Launched in Quang Nam at the Start of the Year

Published

1 month ago

February 4, 2025

Several large-scale investment projects by THACO, worth thousands of billions of VND, have been completed and put into operation in early 2025. These projects are expected to drive economic development in Quang Nam province and the Central region.

Major Projects Officially Launched

On February 3, 2025, Truong Hai Group Joint Stock Company (THACO) held an inauguration ceremony for multiple projects, introduced new products, and marked the export of the first shipments of the year.

THACO inaugurates a 50,000-ton berth at Chu Lai International Port.

Among the key highlights, THACO officially inaugurated a 50,000-ton berth at Chu Lai International Port in Quang Nam. This port is classified as a Category 1 seaport under Vietnam’s Master Plan for Port Development 2021-2030, with a vision toward 2050, approved by the Prime Minister.

The expansion and upgrade of Chu Lai Port, part of the Tam Hiep Port Cluster, involved a total investment of VND 1.59 trillion and was approved on March 7, 2024. The port aims to become a key trade hub and logistics center for the Central Highlands, connecting Southern Laos and Northern Cambodia.

Chu Lai Port holds a strategic location, seamlessly linking with major transportation routes in Quang Nam and the broader Central region. It serves as a crucial gateway connecting Vietnam via the North-South corridor and as a key node in the East-West Economic Corridor. Additionally, the port integrates multimodal transport, combining road, maritime, rail, and air transport via Chu Lai Airport.

Over 300 containers of goods from THACO’s member companies are exported through Chu Lai Port to international markets.

The completion and operation of the 50,000-ton berth reaffirm THACO’s commitment to expanding its multi-industry industrial group, as well as strengthening THILOGI and Chu Lai Port’s role in Vietnam’s logistics sector.

Additional Industrial Developments

THACO also inaugurated auto parts manufacturing plants and the R&D Industries Center with an investment of over VND 2.5 trillion. On this occasion, more than 300 containers of goods from THACO’s member corporations were exported from Chu Lai Port to international markets.

Additionally, THACO introduced a new production line for Thaco Bus and unveiled the latest models from the Thaco Truck and Thaco Bus brands. To meet increasing domestic and international demand, THACO AUTO has developed a next-generation bus lineup, upgrading both interior and exterior components, incorporating new technologies and eco-friendly materials.

The THACO Bus factory has also undergone modernization, automation, and smart manufacturing upgrades, ensuring seamless green integration between indoor and outdoor production spaces.

Driving Quang Nam’s Industrial Vision

THACO’s projects at Chu Lai align with Quang Nam’s 2021-2030 Master Plan, fostering the development of the automobile, mechanical, electrical, and electronics industries. These investments contribute to the formation of Vietnam’s national auto and mechanical hub, support the growth of auxiliary industries, and enhance port, airport, and rail logistics services. The projects are expected to boost the Central region’s economy, driving Vietnam’s industrialization and modernization efforts.

Mr. Trần Bá Dương delivers a speech at the 2025 New Year kickoff event.

These milestones also commemorate the 50th Anniversary of Quang Nam’s Liberation (March 24, 1975 – March 24, 2025) and the 23rd Provincial Party Congress for the 2025-2030 term. THACO has pledged to continue investing, expanding production, and enhancing its global competitiveness.

Seizing Investment Opportunities in Quang Nam

Mr. Tran Ba Duong, Chairman of THACO, stated that 2025 marks the third year of THACO’s new investment cycle, establishing a next-generation multi-industry industrial ecosystem based on green, smart, modern, and sustainable development. THACO Chu Lai plays a vital role in realizing Quang Nam’s master plan.

Mr. Tran Ba Duong also emphasized that in 2025, THACO will focus on developing infrastructure in transportation, maritime logistics, industrial zones, and urban areas while ensuring strict legal compliance.

Quang Nam provincial leaders visit THACO’s factory.

Investment and Growth Projections

Total investment in Chu Lai (2025): VND 3.594 trillion
Total tax contributions in Quang Nam: VND 22 trillion
New job creation: 1,668 new employees (bringing total THACO workforce in Chu Lai to 15,520 employees)
THACO AUTO sales target: Over 100,000 vehicles, revenue of VND 80.847 trillion, exports exceeding 4,000 units
THACO AGRI (Agriculture Division) revenue target: VND 8.3 trillion, investment disbursement of VND 8.34 trillion
THACO INDUSTRIES (Mechanical & Supporting Industries) revenue target: VND 14.4 trillion, export revenue of USD 225 million

Mr. Luong Nguyen Minh Triet, Secretary of the Quang Nam Provincial Party Committee, praised THACO’s strategic vision and clear investment roadmap.

Mr. Lương Nguyễn Minh Triết, Secretary of the Quang Nam Provincial Party Committee, speaks at THACO’s 2025 New Year kickoff event.

THACO’s Vision for ASEAN Leadership

2025 is a pivotal year for THACO as it pursues its five-year plan (2023-2027) to become “Southeast Asia’s leading multi-industry corporation, fostering sustainable development amid regional and global integration.”

Key strategic projects in Quang Nam include:

Non-Tariff Zone Development
Tam Hoa Port Expansion
Cua Lo Channel Investment
451-hectare Agro-Forestry Industrial Park
Expansion of the Automotive & Mechanical Industrial Park
Port, Logistics, and Non-Tariff Area Development
Dredging of Ky Ha Channel to -9.3m Depth
Chu Lai Urban Area (Phase 1)

“I am confident that THACO will continue leveraging its strengths, driving innovation, and developing strategic initiatives to adapt to the evolving economic landscape. The company’s leadership in fostering business ecosystems and supporting SMEs will ensure a sustainable and prosperous Quang Nam, attracting both domestic and international investment,” emphasized the Quang Nam Party Secretary.

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Activities

Vietnam’s leading developer Becamex IDC targets $825 mln from ‘historic’ share offering

Published

4 weeks ago

February 11, 2025

Industrialzone.net

Becamex IDC Corp, a leading eco-industrial and urban real estate developer in Vietnam, plans to raise nearly VND20.88 trillion ($825 million) from a public offering of 300 million shares on the Ho Chi Minh Stock Exchange (HoSE), equivalent to its current equity.

An industrial park developed by Becamex IDC. Photo courtesy of the company.

The corporation has approved the starting price of VND69,593 ($2.75) for the public auction of its BCM shares on the HoSE, aiming for VND20.88 trillion, nearly 40% higher than the initial expected value.

This offering is considered the largest since the state-owned capital divestment boom from 2016 to 2018.

The offering price is almost five times the book value of the stock at the consolidated financial statement for Q4/2024 and the average of the last 30 trading sessions prior to February 6, 2025 on the HoSE.

At the end of 2024, the company’s charter capital was VND10.35 trillion ($408.93 million), and equity was VND20.48 trillion ($809.2 million). If the capital raising is successful, its charter capital will increase to VND13.35 trillion, and equity will double to over VND41 trillion.

Becamex IDC, a giant in the industrial real estate sector in the southern province of Binh Duong, seeks to raise funds to invest in projects such as the Cay Truong Industrial Park and the expanded Bau Bang Industrial Park, as well as to contribute capital to existing companies, including Vietnam-Singapore Industrial Park J.V. Co. Ltd. (VSIP), Becamex Binh Phuoc Infrastructure Development JSC, Becamex VSIP Power Investment and Development JSC (BVP), Vietnam-Singapore Smart Energy Solutions JSC (VSSES), and Becamex Binh Dinh JSC. It also plans to restructure its finances.

Currently, the largest shareholder of the company is the People’s Committee of Binh Duong province, with a 95.44% stake. If the auction is successful, the state’s ownership will drop to 74%.

In the stock market, BCM moved counter to the VN-Index, steadily declining from VND87,000 ($3.44) per share at the end of 2022 to VND51,000 per share in April 2024. However, while the VN-Index stagnated, the ticker rebounded and closed at VND70,000 per share on Friday, up 37.2%.

The stock’s growth momentum slowed in the last quarter of the previous year due to a decline in business results. Specifically, in Q4/2024, Becamex IDC reported a sharp 60% decrease in revenue to VND2 trillion ($79 million).

Despite joint venture activities doubling profits to VND1.19 trillion, its after-tax profit still decreased by 33% to VND1.37 trillion ($54.13 million). For the whole year, its net revenue fell by 35% to VND5.2 trillion, and net profit dropped 12.5% to VND2.1 trillion.

Expansion ambition from 2024 to 2028

The corporation mainly operates in the fields of industrial park infrastructure investment, urban development, services, and trade. It is the developer of six industrial parks in Binh Duong province, covering a total land area of 2,931 hectares with an occupancy rate of 88%. The firm is also finalizing legal procedures to put the 700-hectare Cay Truong Industrial Park into operation in 2025.

In addition, Becamex IDC has expanded its reach to other localities outside Binh Duong, such as Binh Phuoc, Tay Ninh, Khanh Hoa, Quang Ngai, Thua Thien-Hue, Thanh Hoa, Nam Dinh, Ninh Binh and Hai Duong provinces, and Hai Phong city. The firm has also received in-principle approvals for four more industrial parks in Lang Son, Thai Binh, Binh Thuan, and Ha Tinh provinces.

Besides industrial parks, Becamex IDC has also developed urban and service areas such as the My Phuoc Residential Area, Thoi Hoa Residential Area, and Bau Bang Residential Area. The corporation plans to allocate resources for high-impact commercial projects like the WTC Exhibition Center, WTC Tower, and WTC Gateway cultural-central station complex in New Binh Duong town.

Moreover, the company, together with Singapore’s Sembcorp Industries, has developed the Vietnam-Singapore Industrial Park (VSIP) model, featuring an innovation center in an industrial-urban-service complex including a business incubator, advanced manufacturing center, and renewable energy research center.

These strategies will be implemented from 2024 to 2028, with a vision towards 2030. To achieve these goals, the company plans to increase its charter capital if necessary, borrow from credit institutions, and issue bonds.

Becamex IDC currently has total liabilities of VND38.3 trillion ($1.51 billion), with short-term debt of VND7.9 trillion and long-term debt of VND15.72 trillion. Its debt-to-equity ratio is 1.1 times.

Activities

Japan-invested solar cell maker Vietnam Sunergy to start $30 mln plant from June

Published

4 weeks ago

February 11, 2025

Industrialzone.net

Japan-invested Vietnam Sunergy Wafer, a manufacturer of solar cells, plans to start official production at its $30 million factory in Hung Yen province from June.

The firm aims to complete administrative procedures in May and then install equipment in June, according to a recent project report. The plant covers 2.65 hectares in Minh Quang Industrial Park of the northern province.

A factory of Vietnam Sunergy JSC. Photo courtesy of VSUN Solar Vietnam.

The project has an annual capacity of 600 million silicon wafers, a component of solar cells, equivalent to 9,375 tons. It is set to employ 1,000 people.

Hung Yen recorded registered foreign direct investment (FDI) of $1.5 billion in 71 projects in 2024, the highest-ever figure in terms of capital, according to provincial data.

The province, a neighbor of Hanoi, has so far attracted FDI of $8.5 billion. It now has 17 industrial parks in its masterplan, covering 4,395 hectares. Of these, 10 facilities are now operational.

Activities

Industrial Land Leasing Market in 2025: No Signs of Recovery?

Published

1 month ago

February 9, 2025

Industrialzone.net

A total of 27 industrial park investment projects across Vietnam have been approved, covering an area of 8,886 hectares.

Supply Expected to Expand

In 2024, eight new industrial parks commenced operations, adding a total of 3,029 hectares—an increase of 3.3% compared to the total operational industrial park area, according to a report by the Ministry of Planning and Investment.

Reforming FDI policies is essential to attract foreign capital into targeted industries

Additionally, the Prime Minister has approved investment plans for 27 new industrial park projects nationwide, spanning 8,886 hectares, bringing the country’s total industrial land area to 18,800 hectares (a 9% year-on-year increase). These new industrial parks are expected to become operational by the end of 2025. However, there has been a notable shift from Tier-1 industrial zones to Tier-2 regions, with most new projects located in provinces such as Bac Giang, Ha Nam, Binh Phuoc, Ba Ria-Vung Tau, and Tay Ninh.

The approval process for new industrial parks is expected to accelerate in 2025. In November 2024, the National Assembly passed amendments to four key laws (Planning, Investment, Public-Private Partnerships, and Bidding). Notably, revisions to the Investment Law have delegated approval authority for industrial park investment projects from the Prime Minister to provincial People’s Committees. This change is expected to speed up the establishment of new industrial parks, benefiting companies with large land holdings, such as rubber plantation enterprises.

FDI inflows into Vietnam slowed down in 2024.

According to SSI Research (a division of SSI Securities Corporation), the conversion of rubber plantation land into industrial parks has shown positive initial results. In 2024, three new industrial parks—Hiep Thanh in Tay Ninh, Xuan Que – Song Nhan, and Bau Can – Tan Hiep in Dong Nai—secured investment approvals for conversion from rubber plantation land, covering a total of 2,495 hectares. It is projected that rubber plantation firms such as GVR, TRC, and DPR (with the expansion of Bac Dong Phu and Nam Dong Phu industrial parks) will begin generating revenue from land conversions starting in 2025.

Demand for Industrial Land Leasing May Not Recover in 2025

SSI Research predicts that the industrial land leasing market may contract in 2025 due to several key factors.

Foreign direct investment (FDI) inflows into Vietnam slowed in 2024, with total registered FDI reaching $31.4 billion—only a 1% increase compared to the same period in the previous year.

The firm identified three primary reasons for the slowdown in FDI expansion in 2024, which may extend into 2025:

Exchange Rate Volatility
Fluctuations in exchange rates can significantly impact project performance, creating uncertainties for FDI enterprises operating in Vietnam.
FDI Policy Reforms Needed
To attract foreign capital into targeted industries, Vietnam must enhance its investment policies. The country faces increasing competition from regional neighbors like Indonesia, which has implemented the Omnibus Law, and Thailand, which has launched a competitiveness enhancement fund and set a corporate income tax rate of 10%. Meanwhile, Vietnam has begun implementing the Global Minimum Tax (GMT) in 2024, and a new decree on the Investment Support Fund—designed to address GMT-related concerns—is expected to be issued in December.
Infrastructure Bottlenecks in Southern Vietnam
Infrastructure development in the southern region remains sluggish, leading to higher logistics costs and reducing the attractiveness of industrial investments. However, Vietnam is actively enhancing infrastructure connectivity between key industrial hubs through projects such as the North-South Expressway and the China-Vietnam railway.
Limited Available Land in Key Industrial Zones
The availability of industrial land in prime locations is decreasing, making site selection increasingly difficult for investors. As of Q3 2024, average industrial park occupancy rates stood at 81% in the north and 92% in the south, according to CBRE.