VSIP 3 to be an attractive destination for high quality FDI capital flows

High quality FDI projects are coming one after another at VSIP 3, once again affirming the greener, smarter, more sustainable, and more inclusive development orientation of VSIP 3 has been realized. VSIP 3 infrastructure is gradually being completed, continuing to be an attractive destination for high-tech, modern and environmentally friendly investment capital.

VSIP 3 infrastructure is gradually being completed

Breakthrough from Danish investor

On May 16, the world's largest jewelry company Pandora (Denmark) started the construction of the Pandora Production Vietnam Factory in VSIP 3. This is Pandora's third production facility, and also Pandora's first factory built outside of Thailand, with a total investment of more than US$150 million (about 3,800 billion VND).

According to Alexander Lacik, General Director of Pandora Group, this factory is expected to be operated in 2026 with a production capacity of up to 60 million jewelry products per year and create jobs for more than 7,000 people. This will help Pandora meet growing consumer demand, strengthening its position as the world's largest jewelry manufacturer.

Also according to the representative of Pandora Group, Vietnam is currently an attractive destination for foreign investors, including Denmark. Accordingly, in the past few years, Danish enterprises have invested strongly in Vietnam. With this project, Denmark now has 14 projects with a total investment of US$1.55 billion in Binh Duong.

Sharing about the reason for choosing Vietnam to build a jewelry factory, Mr. Alexander Lacik said that Pandora researched 27 countries around the world before deciding to build a factory in Binh Duong. First of all, Vietnam has a long tradition of handicrafts, with many skilled artisans. The Vietnamese government in general and Binh Duong province in particular always create favorable conditions and good incentives. In addition, Binh Duong province and VSIP 3 have good infrastructure and convenient transportation because most of Pandora's products are exported.

Concentrate on high-tech industries

Binh Duong is the locality with the highest number VSIPs in Vietnam and each project marks a new development step. Especially the VSIP 3 project, since its establishment, the province has identified it as a third-generation industrial park, prioritizing high-tech industries, green economic development, minimizing environmental pollution and prioritizing attract high-tech, less labor-intensive projects.

With the view of taking infrastructure as an advantage for investors, immediately after starting construction of VSIP 3, the Provincial People's Committee upgraded and expanded DT746 road, which is the main road leading to VSIP 3 and connecting the Northern Tan Uyen - Phu Giao - Bau Bang power route and Ring Road 4 of Ho Chi Minh City. Mr. Nguyen Van Danh, Vice Chairman of the Provincial People's Committee, said that VSIP 3 is located on Ring Road 4, with a convenient location to connect with Cai Mep - Thi Vai port (Ba Ria - Vung Tau) and Long Thanh International Airport (Dong Nai), the largest international goods transit points in the Southern region in the future. “The investment in building this route aims to shorten travel time and transport goods to important national traffic hubs such as Long Thanh airport, Thi Vai port, Cai Mep port..., contributing to ensuring traffic safety, socio-economic development, and attracting investment of Binh Duong in particular and of the Southern Key Economic Region in general", Danh added.

Although VSIP 3 Industrial Park has just started construction, there are currently more than 30 companies interested in production development here, equivalent to 176 hectares of industrial land and US$1.8 billion in expected investment capital. Up to now, this industrial park has attracted 8 projects with a total investment capital of over US$1.6 billion. Among them, the highlight is the US$1.3 billion project of the Lego Group and the US$150 million jewelry factory of the fashion brand Pandora. In the near future, Giant Group (Taiwan) will also continue to invest in another production factory in VSIP 3 with a scale of about US$120 million.

Since its commencement, VSIP 3 has created jobs for thousands of construction workers and engineers. According to the report of Vietnam-Singapore Industrial Park Joint Venture Company Limited, the constructors are urgently completing the project, internal roads have been completed. Other items such as the operator's house, power station, water supply system... are gradually taking shape. Up to this point, this factory has completed more than 60% according to the set schedule and is guaranteed to put some main items into operation from August 2024.

VSIP 3 will focus on seven main industries: electronics and electricity; automobile manufacturing and assembly; mechanical engineering; industrial products supporting high technology; textile; food & beverage; logistics and warehousing. According to Associate Professor Tran Dinh Thien, former Director of the Vietnam Institute of Economics, the establishment of VSIP 3 is also a way to declare the determination to build a new industrial ecosystem - a high-tech industrial ecosystem, qualitatively different from the "old industrial ecosystem" that was developed in Binh Duong with generations VSIP 1 and 2. This is also a way to announce a change in the province's FDI attraction strategy, which is to prioritize high-tech FDI capital, high added value, less environmental pollution, and digital economic development.

Reported by Ngoc Thanh - Translated by Ngoc Huynh