With well-invested logistics infrastructure, convenient geographical location for trade with major economic regions such as Cambodia, Ho Chi Minh City, etc. Building factories in Long An is attracting significant investment capital with 1200 FDI projects from investors all over the world.
Economic development potential in Long An
Special geographical location
Long An has an important strategic position:
North: adjacent to the Kingdom of Cambodia
South: adjacent to Tien Giang province
East: adjacent to Ho Chi Minh City and Tay Ninh province
West: adjacent to Dong Thap province
Long An shares a national border with Cambodia of 137.7km long, which is a favorable condition for investors in connecting trade with the Kingdom of Cambodia through Binh Hiep International Border Gate and developing industrial sectors, coastal economy, port services, logistics, import-export services through Soai Rap River estuary leading to the East Sea – where Long An International Port operates.
This is also one of the leading areas in the country attracting FDI investments with strong economic growth, suitable for investors who intend to build factories in industrial parks in Long An province. Due to its important strategic location with well-invested logistics infrastructure, convenient for trade, Long An is attracting FDI investors across various sectors such as industry, urban development, commerce and services, tourism, and technology-driven agriculture. Many large FDI enterprises have chosen to invest in building factories in Long An, such as Lotte, Coca-Cola, Kyouwa, etc.
The economic development of Long An province in the first 6 month of 2023
In the first 6 months of 2023, the economic development potential of Long An province is very positive: The province continues to lead the Mekong Delta in attracting investment and establishing new businesses, with 801 newly registered businesses (an increase of 5.8% compared to the same period), with a total registered capital of 9,391 billion VND.
Currently, Long An province has received nearly 1,200 FDI projects with a total registered capital of about 10.5 billion USD. Investors building factories in Long An come from 40 countries and territories around the world, such as Singapore, Korea, Japan, the United States, Thailand, etc. Among these, Japanese investors have 138 projects with a total registered capital of over 767 million USD, accounting for 7.3% of the total FDI capital invested in the province.
In terms of economic scale, Long An province ranks first in the Mekong Delta region, accounting for more than 13% of the total regional economy; The economic structure is rapidly shifting, with fast growth in the industrial sector. The Gross Regional Domestic Product (GRDP) in the first 6 months is estimated to increase by 3.43%.
Building factories in Long An is attracting a significant amount of FDI capital, with 1200 FDI projects from investors in Singapore, Korea, Japan, the United States, Thailand, etc.
By 2030, Long An Province aims to achieve an average GDP per capita of 172 million VND/year (approximately 8,000 USD); the proportion of agriculture, industry and service sectors in the GDP structure accounts for 7%, 48%, 45% respectively; state budget revenue within the province accounts for 10.8% of GDP; the ability to mobilize investment capital from state budget revenue accounts for 29.6%, the growth rate is about 9.0-9.5%/year.
The economic structure shifts towards industrialization. The scale of the economy by 2030 will be 2-2.5 times larger than in 2021; Aiming to become a dynamic, efficient and sustainable economic development center of the southern region in order to attract investment in building factories in industrial parks and clusters in Long An.
Developed transportation infrastructure, convenient for trade
The transport infrastructure of the province is quite complete, connecting industrial zones and clusters with ports; inter-regional connection with localities in the Mekong Delta, with Ho Chi Minh City and the Southeast region. These are favorable conditions for efficient transportation and reduced time and costs for investors building factories in Long An:
Roadways
National highways such as National Highway 1A with 30 km in length, National Highway 62, National Highway 50, N2 Road, Provincial Road 10, Ho Chi Minh City – Trung Luong Expressway; Provincial roads: DT830, DT823, DT824, DT825, DT826, DT826B, etc connecting districts: Duc Hoa, Ben Luc, Can Duoc, Can Giuoc.
The road networks connecting industrial parks in Long An to Ho Chi Minh City are regularly maintained and upgraded to ensure the capacity for cargo via large-capacity container to ports and various areas. This facilitates efficient movement and goods transportation, contributes to lowering transportation costs, and attracts investors to build factories in Long An province.
Waterway routes
Transportation routes such as the Vam Co Dong River, Vam Co Tay River, and Rach Cat River (Can Giuoc River) conveniently connect important waterway routes such as Ho Chi Minh City – Kien Luong, Ho Chi Minh City – Ca Mau, and Ho Chi Minh City – Tay Ninh.
Waterborne vehicles weighing over 100 tons can follow various canals such as Phuoc Xuyen, Duong Van Duong, Tra Cu, Kinh Xang, Ben Luc River, Rach Cat River,..from the west to Ho Chi Minh City. Major river ports include Long An International Port, Bourbon Port, Hoang Tuan Port, and others.
In 2023, Long An International Port officially inaugurated 7 berths and commenced container cargo operations. This is a favorable condition for businesses engaged in trading and transporting cargo via large-capacity containers when investing in building factories in Long An.
Continuing to invest in comprehensive and well-invest transportation infrastructure
In 2023, the province will continue to invest in comprehensive and systematic transportation infrastructure to promote industrial-urban development and cater to investors interested in building factories in Long An:
Long An Province continues to implement several transportation projects that connect with Ho Chi Minh City: the Ring Road No.3 project passing through the provinces of Binh Duong, Dong Nai, Long An, and Ho Chi Minh City; 3 key transportation projects during the 2020-2025 period, which include Ring Road of Tan An City and the bridge crossing the Vam Co Tay River; DT830E; QL50B.
The connected transportation projects are being implemented along the route of Ring Road No.3 of Ho Chi Minh City
Long An province will upgrade, expand and renovate a number of works: transportation roads connecting with Dong Thap and Tien Giang provinces; Ben Luc – Long Thanh Expressway connecting with Ho Chi Minh City – Trung Luong Expressway, HCMC – Long Thanh – Dau Giay; the development orientation of Ho Chi Minh City – Can Tho high-speed railway, coastal corridor traffic axis, Long An International Port, etc.
Roadways: Upgrading 53 existing provincial roads and building 29 provincial roads to connect and trade goods with regions and localities in the region to meet the needs of development, movement, transporting goods for investors when building factories in industrial parks in Long An province.
Urban railways: building 2 new urban railways connecting Hung Nhon – Tan An and the new Can Giuoc – Can Duoc bus station.
Dedicated railways: Building a dedicated railway line connecting from the Ho Chi Minh City – Can Tho railway line to Hiep Phuoc Port, passing through the districts of Ben Luc, Thu Thua, Tan Tru, Can Duoc, Can Giuoc and continue through Nha Be district, Ho Chi Minh City.
The system of ring roads, expressways, and national highways connecting Ho Chi Minh City passes through Long An province and connects to Tien Giang province (via National Highway 50B route)
Policies and advantages for FDI investors in Long An in the period of 2021-2030, vision to 2050
Aiming to become the industrial development province of the southern region
Currently, industrial parks and clusters operating in Long An have been well-invested, ready to serve investors coming to build factories in Long An.
With the goal of becoming the industrial development province of the southern region, Long An province will implement a number of policies on planning and developing industrial infrastructure as follows:
Investing in 34 industrial parks: total area of over 9,200ha to create a clean land fund for investors to build factories in Long An.
New development planning of 28 industrial clusters: total area of more than 1,800 ha, increasing the total area of industrial clusters in the area to nearly 4,000 ha. Long An is expected to increase the land fund for industrial, urban and service development by 4 times by 2030
In addition, Long An province will enhance the quality and development orientation of green industry groups, high-tech application industries; promote the sustainable and high-quality development of agricultural sectors.
Incentive policies for investors
There are the incentive policies for businesses when investing in building factories in Long An:
Incentives when investing in building factories in industrial parks in Long An province
+ Tax exemption for 2 years, 50% reduction of tax for 4 years when investing in industrial parks (applicable to all industrial parks) in Long An province.
+ Tax exemption for 4 years, 50% reduction of payable tax for the next 9 years when implementing new investment projects in specific industries with investment incentives as regulated in Decree No. 31/2021/NĐ-CP dated March 26, 2021.
Import-export tax
Import tax exemption for imported goods as regulated in Decree No. 134/2016/ND-CP dated September 1, 2016 and Decree No. 18/2021/ND-CP dated March 11, 2021.
Corporate income tax (CIT)
+ Preferential CIT of 17% applied for a period of 10 years to projects implemented in difficult economic areas of Long An province, including Kien Tuong town; Tan Thanh, Duc Hoa and Thanh Hoa districts.
+ 10% preferential CIT applied for a period of 15 years to projects implemented in areas with especially difficult socio-economic conditions including Duc Hue, Moc Hoa, Vinh Hung, and Tan districts Hung and Long An Province Border Gate Economic Zone.
Land rent of the State
+ Land rent exemption for 11 years after 03 years of land rent exemption the fundamental construction period.
+ Exemption of the entire land rent for projects on the list of sectors of special investment incentives invested in areas with especially difficult socio-economic conditions.
List of industrial parks and industrial clusters for investors to build factories in Long An
Long An’s goal is to become the industrial development province of the southern region. The total area planned for industrial development is 15,000ha with 37 approved industrial parks and 59 industrial clusters. Currently, the province has 18 industrial parks and 23 industrial clusters operating with a total area of nearly 4,000 hectares. Industrial parks and clusters are concentrated mainly in districts adjacent to Ho Chi Minh City and have been well-invested in infrastructure, convenient for investors, businesses to build factories in Long An.
Industrial parks
- Duc Hoa 1 Industrial Park
Location: Duc Hoa Dong Commune
Area: 257 hectares
Fill rate: 69.80%
- Xuyen A Industrial Park
Location: My Hanh Bac Commune
Area: 483.01 ha
Fill rate: 73.96%
Industries that are allowed to invest: Processing industry; Light industry; Electrical industry, manufacturing machinery and spare parts; High-tech industry; Pharmaceutical industry, medical equipment; Chemical industry.
- Tan Duc Industrial Park
Location: Duc Hoa Ha Commune and Huu Thanh Commune
Area: 543.35 ha
Fill rate: 77.34%
- Duc Hoa Industrial Park 3
Location: Duc Lap Ha and My Bac Hanh communes
Area: 1,291.93 hectares
Industries that are allowed to invest: Electrical and electronic industry; Producing products for agriculture, forestry and fishery; Domestic production of consumer goods and export; mechanical engineering, machine building and construction materials production; Light industry.
- The Ky Industrial Park
Location: Huu Thanh Commune
Area: 119 hectares
- Hoa Binh Industrial Park
Location: Nhi Thanh Commune
Area: 117.67 hectares
Fill rate: 85.53%
Industries that are allowed to invest: electronics and telecommunications projects; Mechanical engineering, metallurgy; Manufacture, assemble and repair motorcycles; Food Processing; Manufacture of cosmetics and pharmaceutical products; Processing garment products; Construction material production industry; Industry produces consumer goods domestically and for export.
- Nam Thuan Industrial Park
Location: Duc Hoa Dong Commune
Area: 308.39 ha
- Huu Thanh Industrial Park
Location: Huu Thanh Commune
Area: 524.14 ha
Fill rate: 12.63%
Industries that are allowed to invest: Electrical and electronic industry; manufacturing motorcycles and cars; Mechanics, precision mechanics, medical instruments; Producing wooden furniture, interior decoration, building materials; Industrial ceramics, glass, crystal; Plastic and rubber industry; Garment and textile industry; Processing food, animal feed; Manufacture of pharmaceuticals and cosmetics.
- Tan Do Industrial Park
Location: Duc Hoa Ha Commune
Area: 208 hectares
Fill rate: 100%
The industries allowed to invest: Group of projects on pharmaceuticals and cosmetics: Mechanical engineering, metallurgy; Projects on manufacturing, assembling and repairing motorcycles; Seafood processing; Textile and garment; Production of building materials; Food Processing; Processing and raising livestock, poultry and aquatic products.
- Hai Son Industrial Park
Location: Duc Hoa Ha Commune
Area: 366.49 ha
Fill rate: 100%
The industries allowed to invest: Mechanical engineering, metallurgy; textile dyeing, garment; food and beverage processing; production of chemicals, pharmaceuticals and cosmetics; wood processing, glass and ceramic production; electronics and telecommunications production; Group of projects on electronics and telecommunications; Mechanical engineering.
- Hoang Loc Industrial Park
Location: Huu Thanh Commune
Area: 152.21 ha
- Hong Industrial Park 2
Location: Hiep Hoa town
Area: 131.19 ha
- Loc Giang Industrial Park
Location: Loc Giang Commune, An Ninh Dong Commune, Tan My Commune
Area: 466 ha
- Vinh Loc Industrial Park 2
Location: Long Hiep commune
Area: 225.99 ha
Fill rate: 93.50%
Industries that are allowed to invest: Food processing industry; Producing fertilizers and pesticides; pharmaceuticals, chemical cosmetics; paints; biofuels, coal; plastic; Construction material production industry; Manufacturing and assembling electrical machinery, equipment, components and accessories; Mechanical engineering of machinery and equipment; Production of consumer goods; Other industries cause less environmental pollution.
- Nhut Chanh Industrial Park
Location: Nhut Chanh commune
Area: 125.27
Fill rate: 97.70%
The industries allowed to invest: Food processing industry, agricultural products, seafood; processing animal feed; Precision mechanics, mechanical processing, machine building, machinery and equipment repair; Electrical industry; Electronic industry; Pharmaceutical industry, medical equipment. Producing chemical raw materials, pharmaceutical raw materials, cosmetic raw materials.
- Phuc Long Industrial Park
Location: Long Hiep Commune
Area: 78.96 ha
Fill rate: 100%
The industries allowed to invest: Group of electronic and telecommunications projects; Mechanical engineering, metallurgy; Food and beverage processing; Group of projects on pharmaceuticals and cosmetics; Stationery; Garment; Manufacture of interior decoration equipment; Group of projects on chemicals, pharmaceuticals, cosmetics; Weaving, dyeing.
- Prodezi Industrial Park
Location: Luong Hoa and Tan Hoa communes
Area: 400 hectares
- Tandoland Industrial Park
Location: Luong Hoa and Tan Hoa communes
Area: 250 hectares
- Viet Phat Industrial Park
Location: Tan Lap Commune
Area: 1,214.00 ha
- Phu An Thanh Industrial Park
Location: An Thanh Commune
Area: 692.23 ha
Fill rate: 94.53%
Industries that are allowed to invest: Group of garment industries; Mechanical; Production of building materials; Producing, processing and processing agricultural, forestry, aquatic products, food; Production of consumer goods; Food and beverage industry group; Components, electronic – telecommunications equipment, equipment and materials, spare parts for the electronics and telecommunications industry.
- Thinh Phat Industrial Park
Location: Luong Binh Commune
Area: 73.37 ha
Fill rate: 100%
Main industries: Food processing industry; production of cakes and confectionery; Agriculture and seafood processing industry; Animal feed processing industry; Light industry; Electrical and electronic industry; manufacturing machinery and spare parts; Electrical industry and household appliances.
- Thuan Dao Industrial Park
Location: Ben Luc Town
Area: 113.95 ha
- Cau Tram Industrial Park
Location: Long Trach Commune
Area: 61.08 ha
Fill rate: 100%
- Thu Thua Industrial Park
Location: Can Giuoc Town
Area: 188.88 ha
Industries allowed to invest: High-tech production projects; Mechanical engineering; Food processing, beverages; Pharmaceutical, cosmetics production; Support for agricultural development; Fertilizer, detergent, dye, paint production.
- Long Hau Industrial Park
Location: Long Hau Commune
Area: 90 ha
Fill rate: 100%
Industries allowed to invest: Food processing, seafood; Group of supporting industries; High-tech products; Mechanical assembly, precise mechanics; Construction materials production; Production, processing of some less harmful chemicals; Production of products from wood, bamboo, rattan; Consumer goods; Garment, fashion.
- Kim Tan Industrial Park
Location: Can Giuoc Town
Area: 104.1 ha
Fill rate: 100%
- Nam Tan Tap Industrial Park
Location: Tan Tap Commune
Area: 244.74 ha
Fill rate: 48.86%
- Dong Nam A Industrial Park
Location: Phuoc Vinh Dong Commune, Tan Tap Commune
Area: 396 ha
Fill rate: 18.85%
- Long Hau 3 Industrial Park
Location: Long Hau Commune
Area: 123.98 ha
Fill rate: 48.54%
- Tan Tap Industrial Park
Location: Tan Tap Commune
Area: 654 ha
- An Nhut Tan Industrial Park
Location: An Nhut Tan Commune
Area: 119.2 ha
- Truong Hai International Industrial Park
Location: My Thanh Bac Commune, My Thanh Tay Commune
Area: 162.19 ha
- Saigon – Mekong Industrial Park
Location: Thanh Loi Commune
Area: 200 ha
- Tran Anh – Tan Phu Industrial Park
Location: Tan Phu Commune
Area: 262 ha
- Phuoc Dong Port Industrial Park
Location: Phuoc Dong Commune
Area: 128.97 ha
Fill rate: 24.89%
- Binh Hiep Border Gate Industrial Park
Location: Binh Hiep Commune, Binh Tan Commune
Area: 168.5 ha
- Dong Song Ro Industrial Park
Location: Binh Hiep Commune
Area: 172 ha
In addition, Long An province also plans to expand and open new industrial parks in Long An province by 2030 as follows:
- Tan An City Industrial Park: 277 ha
- Nhon Thanh Trung Industrial Park: Nhon Thanh Trung Commune: 147 ha
- IDTT Industrial Park, My An Commune: 844.5 ha
- Expanded Thu Thua Industrial Park, Tan Thanh Commune, Binh An, My Thanh, Thu Thua Town: 448.43 ha
- Thu Thua Industrial Park expansion phase 2, Tan Thanh commune, Binh An, My Thanh, Thu Thua town: 272.05 ha
- Tan Long Industrial Park, Tan Long Commune: 1,500 ha
- Sai Gon – Huu Thanh Industrial Park, Huu Thanh Commune: 790 ha
- Duc Hoa Dong Industrial Park, Duc Hoa Dong Commune: 360 ha
- Loc Giang 2 Industrial Park, Loc Giang Commune: 520 ha
- Hai Son Duc Hoa Dong Industrial Park, Duc Hoa Dong Commune: 261.2 ha
- An Ninh Dong Industrial Park, An Ninh Dong Commune, An Ninh Tay Commune: 894.5 hectares
- My Quy Tay Industrial Park, My Quy Tay Commune: 200 ha
- Binh Hoa Nam Industrial Park, Binh Hoa Nam Commune: 500 ha
- Tan Tao – Long An Industrial Park, Binh Hoa Nam Commune: 414.7 ha
- Vam Co Dong Industrial Park, Binh Hoa Nam Commune: 311.1 ha
- My Quy Dong Industrial Park, My Quy Dong Commune: 1,500 ha
- My Thanh Bac Industrial Park, My Hanh Bac Commune: 209 ha
- Vam Co Dong Urban Industrial Park, Binh Hoa Nam Commune: 868 ha
- Tra Cu Thuong Industrial Park, Binh Hoa Nam Commune: 849 ha
- Binh Hoa Bac Industrial Park, Binh Hoa Bac Commune, My Thanh Dong Commune: 1,850 ha
- Binh Hoa Nam 2 Industrial Park, Binh Hoa Nam Commune: 400 ha
- Binh Hoa Nam 3 Industrial Park, Binh Hoa Nam Commune: 226 ha
- Becamex VSIP Long An Industrial Park, Luong Hoa Commune, Tan Hoa, Tan Buu: 1,527.4 ha
- Luong Binh Industrial Park, Luong Binh Commune: 395 ha
- Thanh Loi Industrial Park, Thanh Loi Commune: 2,000 hectares
- An Thanh Industrial Park, An Thanh Commune: 510 ha
- Tan Tap 2 Industrial Park, Tan Tap Commune: 800 ha
- Long Hau – Tan Tap Industrial Park, Tan Tap Commune: 400 ha
- Dong Thanh Industrial Park, Dong Thanh Commune: 600 ha
- Phuoc Vinh Dong Industrial Park, Phuoc Vinh Dong Commune: 196 ha
- Tan Hoa Industrial Park, Tan Tap Commune: 72 hectares
- Thuan Dao 2 Industrial Park, Long Dinh Commune, Long Cang: 461 ha
- Tan Lan 1 Industrial Park: 450 ha
- Tan Lan 2 Industrial Park: 640 ha
- Tan Lan 3 Industrial Park: 336 ha
- Binh Trinh Dong Industrial Park, Binh Trinh Dong Commune and Tan Phuoc Tay Commune: 237 ha
- Nhut Ninh Industrial Park, Nhut Ninh Commune: 119 ha
- Tan Phuoc Tay 1 Industrial Park, Tan Phuoc Tay Commune, Nhut Ninh Commune: 349 ha
- Tan Phuoc Tay 2 Industrial Park, Tan Phuoc Tay Commune: 485 ha
- Binh Trinh Dong Hi-tech Industrial Park, Binh Trinh Dong Commune: 72 hectares
- Phu Ngai Tri Industrial Park, Phu Ngai Tri Commune: 240 ha
- Phuoc Tan Hung Industrial Park, Phuoc Tan Hung Commune: 392 ha
- Thuan My Industrial Park, Thuan My Commune: 1,470 ha
- Thanh Hoa Industrial Park, Thuan Nghia Hoa Commune: 2,200 ha
- Binh Hiep 2 Border Gate Industrial Park, Binh Hiep Commune: 637 ha
DELCO is a reputable contractor in building factories, experienced in design – construction, providing smart factory solutions for many FDI projects in Vietnam such as GS Battery Factory (Binh Duong), DAINESE Factory (Thai Nguyen), Power Plus Technology Factory (Bac Ninh), .. Investors can consider selecting DELCO as the design-build contractor to build the factory in Long An, because of our extensive experience working in many localities and diverse understanding of multiple manufacturing sectors.
Source: Long An Newspaper, Agency of the Communist Party of Vietnam Communist Party of Long An province, Economic zone management board of Long An province, Web portal of Long An province.
See more: Projects that have been completed by Delco
