According to data from the Ministry of Planning and Investment, by the end of 2023, the country had 416 industrial parks established, including four export processing zones, with a total natural land area of ​​about 129,900 hectares and a total industrial land area of ​​about 89,200 hectares.

Up to now, the system of industrial parks has been present in 61 out of 63 provinces and cities nationwide, becoming a key area attracting domestic and foreign investment projects and a destination for many leading world corporations.

In the new development trend, economic organisation models by territory are changing in development goals, and Vietnam is no exception.

At the same time, towards sustainable development, the requirement to build green industrial parks and convert existing industrial parks into ecological industrial parks is becoming an urgent need to adapt to development requirements.

An assessment report by the Ministry of Planning and Investment shows that in over 30 years of forming and developing industrial zones in Vietnam, up to now, the development of industrial zones in width is facing difficulties due to the limited resources of labour, land, and resources. Labour productivity and resource exploitation efficiency are low, not ensuring harmony between economic development, environmental protection and social security.

This process also faces difficulties as tax and land incentives are gradually decreasing. The linkage and cooperation in industrial production in industrial zones and economic zones are still limited.

According to the plan, by 2030, 40-50 per cent of localities will have plans to convert existing industrial parks into eco-industrial parks, while 8-10 per cent of localities are determined to build new eco-industrial parks to attract investment.

A survey by the Institute for International Investment Studies (ISC) shows that the demand for attracting investment capital to fill the remaining area of ​​Vietnam’s planned industrial parks is about 600-650 billion USD. The total investment capital for infrastructure development and filling industrial parks is about 650-700 billion USD.

In addition, the demand for investment capital for technological innovation in enterprises in industrial parks and restructuring and converting 293 existing industrial parks into ecological industrial parks, to realise the green growth target according to the commitment of the Vietnamese Government to the international community, is also very great.

According to the Vietnam Industrial Park Finance Association, the implementation time of an industrial park infrastructure investment project can last more than three years, even five years, because of many difficulties and obstacles in the legal framework and site clearance, especially investment in the model of new industrial parks and ecological industrial parks.

Dr Ngo Cong Thanh, Vice Chairman of the Vietnam Industrial Park Finance Association, said that attracting investment to develop economic zones and industrial parks is showing limitations that must be overcome.

The planning and development orientation of industrial parks and economic zones still lacks a comprehensive vision and long-term perspective. They are still spread out across administrative boundaries, lack industry and regional linkages, and the quality and efficiency of investment attraction have not met the requirements for in-depth development.

In addition, localities and investors developing infrastructure for domestic industrial parks still prioritise attracting investment to fill in, not paying attention to the industry structure, technology, and environmental and social factors of investment projects, so the efficiency of investment in developing industrial parks has not met the requirements.

On the other hand, due to limited financial capacity, investors in industrial park infrastructure still have the mentality of waiting to find secondary investors before investing in shared infrastructure in the industrial park while foreign investors want to have land and technical infrastructure immediately before deciding to invest. This is one of the reasons why many industrial parks have low occupancy rates.

To mobilise large capital sources for investment in industrial parks and economic zones in the coming time, Dr Ngo Cong Thanh said there should be fundamental changes in attracting capital flows, creating conditions for investors to easily access production factors and innovate investment promotion activities.

In addition, legal issues regarding the formation and development of ecological industrial parks, and converting existing industrial parks into ecological industrial parks, need to be legalised or specifically guided, encouraging investors to participate in developing industrial park infrastructure.

There is an international airport system, a seaport system and convenient traffic connections by road and waterway with localities in the region, with the key economic zone in the South and neighbouring areas as well as internationally. Can Tho also has an abundant source of trained labour from the universities, colleges and vocational schools in the region.

Seeing the advantages, in recent years the city has been focused on “cleaning the nest, welcoming eagles” to develop industry. In October 2024, VSIP Can Tho Industrial Park (Vinh Thanh Industrial Park Phase 1) officially cleared the land synchronously with a total area of 293.7 hectares in less than 10 months.

This promises to become a new production centre of the Mekong Delta. It is expected that by the end of 2025, if the occupancy rate reaches 60%, VSIP will prepare procedures to apply for investment in VSIP Can Tho Industrial Park Phase 2, with a scale of 519 hectares.

At the end of 2024, the prime minister approved the investment policy for the project to invest in construction and business of infrastructure of Vinh Thanh Industrial Park (Phase 2). The project has an area of 540.58 hectares, with a total investment capital of 7.85 trillion according to the industry cluster model.

Investors are also interested in learning about the O Mon District High-Tech Industrial Park project, spanning about 250 hectares, and the Co Do-Thoi Lai Industrial Park, with an area of 1,070 hectares.

In October 2024, the irradiation plant in the Can Tho port area with a capacity of 19 trillion tonnes/year will officially come into operation, serving businesses exporting tra fish and shrimp to the US and European markets. Thermal power projects at the O Mon Power Centre are being vigorously implemented.

Industrial development in Can Tho has received a lot of attention from the government. Local authorities have also been decisive and resolute, issuing many policies to support attracting investment in industrial parks, creating favourable conditions for businesses to access land funds in industrial parks at reasonable costs and simplified administrative procedures.

However, Can Tho still faces many challenges. Currently, FDI attraction in Can Tho is quite modest. The economic restructuring is still slow with the proportion of economic sectors not changing significantly towards increasing added value. The development of transport infrastructure in recent times has not been commensurate and has not met the development requirements of the city.

The labour force is abundant, but the quality of labour has not met expectations. Many businesses face difficulties in recruiting highly skilled workers for specific industries, leading to increased costs for retraining human resources or having to hire experts from other regions.

The construction of industrial supply chains in Can Tho and connecting with neighbouring provinces faces many challenges due to the shortage of upstream supply sources and infrastructure limitations, reducing connectivity and the ability to develop a complete supply chain in the region.

To take advantage of the potential and opportunities for industrial development and create a solid foundation to enter the new era, Can Tho needs to focus on removing some bottlenecks.

Accordingly, it is necessary to focus on prioritising the development of a number of industries in the direction of meeting the principles of the city’s competitive advantages, with the ability to deeply participate in the global production network and value chain; synchronously invest and complete key projects with regional connectivity; create momentum for regional development; and lead and attract private capital to invest in the city’s strategic areas.

More attention should be paid to innovate and improve the quality of training facilities, focus on investing in developing technical facilities, improving the quality of management and teaching staff to create high-quality industrial resources.

Some experts believed that economic zones and industrial parks in the North and Central regions have successfully taken advantage of the trend towards resonance, support and mutual symbiosis in industrial development. This will also act as a worthy lesson for the Mekong Delta, especially Can Tho.