On March 12, construction started on VSIP II Quang Ngai Industrial Park in the central province of Quang Ngai. The park is located in Dung Quat Economic Zone, covering a total area of ​​498 hectares. It has a total investment approximating $152 million and an operational period of 50 years.

Speaking at the groundbreaking ceremony, Deputy Prime Minister Nguyen Hoa Binh requested the project’s developers Sembcorp and Becamex to continue promoting the effectiveness of the industrial park, urban, and service model, while orienting the development of VSIP II Quang Ngai towards a smart, modern, and sustainable facility.

This should form a compelling industrial-innovation-urban-services-high-tech ecosystem, while ensuring that the industrialisation process is in line with the harmonious development of the community, forming an infrastructure and knowledge-based economy for the locality.

In addition, Sembcorp and Becamex have been awarded two new VSIP projects, bringing the total to 20.The new projects, VSIP Nam Dinh and VSIP Nghe An III, were awarded during the state visit of Party General Secretary To Lam to Singapore from March 11 to 13. At a ceremony held at Parliament House on March 12, Party General Secretary To Lam was joined by Lawrence Wong, Prime Minister of Singapore, as well as ministers and provincial leaders from Singapore and Vietnam.

VSIP Nam Dinh is a new 180-ha development in the fast-growing northern part of the country that is home to several large electronics, machinery, and automotive companies, as well as their supply chains.

VSIP Nghe An III will also cover 180ha. The two previous VSIP Nghe An projects have attracted top global manufacturers in electronics, precision engineering, and garments and textiles, helping Nghe An secure its place in the country’s top 10 destinations for foreign investment a third time.

Both VSIPs will be developed according to the principles of low-carbon industrial parks. In addition, Sembcorp and Becamex will explore the development of a first VSIP in Ha Nam province.

VSIP Nam Dinh and VSIP Nghe An III will complement the current 18 VSIPs, which have assisted more than 1,000 manufacturers in establishing their operations in strategic locations across the country. In the past year, demand for land in VSIPs has risen, driven by high value-added electronics components manufacturers and precision engineering companies.

Pacifico Energy Group (PE) specialises in renewable energy and fossil fuel projects in the US, including multiple grid-connected sources of renewable energy and gas. In Vietnam, PE is one of the leading renewable energy investors from the US with a 40MW solar project in Binh Thuan province (completed in 2019), and a 30MW wind project in Ben Tre province (expected to be operational this year).

Pacifico Energy would like to pour billions of US dollars into wind energy in Vietnam. Source: VGP

PM Chinh highly appreciated and thanked PE for its practical and effective contributions to Vietnam’s socioeconomic development.

The Vietnamese government welcomes PE’s commitment and plans to invest in Vietnam’s energy sector, including an offshore wind farm in Binh Thuan and other investments in Vietnam, the PM said.

“To achieve rapid and sustainable development, the Vietnamese government has identified the development of renewable energy and new energy as a key task, along with promoting and further strengthening cooperation with foreign investors, contributing to the Vietnam – US Comprehensive Strategic Partnership,” PM Chinh said.

Vietnam has set a target of GDP growth at 8 per cent this year, and double digits in the coming years, meaning high demand for electricity. It also plans to export clean electricity. The PM suggested PE should boost its investment and cooperate with Vietnamese partners in green transformation, clean energy, renewable energy, and developing the power grid and power transmission in Vietnam to ensure energy security.

The PM also asked PE to petition the US government to support cooperation with Vietnam, while removing Vietnam from the list of countries with limited high-tech exports and recognising its as a market-oriented economy.

He pledged to ensure an open and favourable environment for investors to operate in accordance with the law, in a healthy, stable, sustainable, effective and profitable manner; as well as ensure the legitimate and legal rights and interests of investors.

The Government Office, the Ministry of Industry and Trade, and localities will urgently check, respond to, and resolve issues related to the implementation of PE’s projects. The government will soon issue decrees on wind power as a legal corridor with many incentives for investors.

Franklin highly appreciated the directions being taken to improve the investment and business environment, as well as the active and effective support of ministries, agencies, and localities for businesses. “Vietnam is a promising land, and this is being carried out with very positive future prospects,” he said.

“Among all Asian countries, Vietnam has unique advantages in wind power resources with a long coastline, high wind speed, favourable seabed terrain for the construction of wind power projects, and geographical location,” Franklin emphasised.

He is committed to continue expanding PE’s investment in Vietnam’s energy industry, including a billion-dollar investment plan for offshore wind power, along with advanced solutions to ensure energy security for data centres and AI training centres that will support Vietnam’s rapid and sustainable economic growth.

The SBV is expected to receive support to strengthen climate risk management, expand green finance, attract investment, adopt global best practices, and develop sustainable finance policies.

Financed by the German Ministry for Economic Affairs and Climate Action, the GFS programme aims to help central banks and financial institutions to integrate climate risk into regulatory frameworks and promote private sector engagement in sustainable finance.

Through this partnership, the SBV will be empowered to strengthen the Vietnamese financial sector’s ability to support climate investments, in line with the country’s Just Energy Transition Partnership (JETP).

EIB vice-president Nicola Beer said, “This partnership with the SBV will help unlock green financing, equip Vietnam’s financial sector with the tools to integrate climate risks, and accelerate funding for renewable energy, clean transport and resilient infrastructure. By strengthening green finance, the EIB is supporting Vietnam to draw investment, create economic opportunities, and build a future-proof economy that benefits both individuals and businesses.”

EU Ambassador to Vietnam Julien Guerrier said, “It is very encouraging that the EIB and the SBV are ready to join forces to strengthen the standards for managing climate risks and green financing in Vietnam. In turn, this should allow for public and commercial banks to accelerate financing for JETP actions.”

Deputy Governor of the SBV Nguyen Ngoc Canh said, “We highly value our partnership with the EIB in advancing green finance cooperation. The EIB’s GFS technical assistance programme will help strengthen our capacity in climate finance policy development, risk management, and private sector mobilisation, thereby unlocking new opportunities for climate investments. This collaboration supports Vietnam’s JETP and aligns with the European Union’s Global Gateway priorities for sustainable finance and climate action. We are confident that our combined efforts will fortify the resilience of our financial system and expedite Vietnam’s transition towards a low-carbon, sustainable economy.”

EIB Global has been a trusted partner of Vietnam since 1997, providing over €561 million ($611.3 million) in financing for sustainable transport, renewable energy, and climate action.

As part of its deepening engagement, the EIB is committed to establishing a €500 million ($544.8 million) framework loan with the Ministry of Finance to support JETP implementation. This financing will prioritise investments in renewable energy and sustainable transport, reinforcing the EIB’s role as a key Global Gateway partner in Vietnam’s green transition and sustainable economic growth.