Factors that encourage investors to locate factories in Hai Duong

With its inherent advantages, Hai Duong always tries to create all favorable conditions and build the best environment to support and accompany businesses.

Why should Hai Duong be chosen for factory building projects?

Geographical location

Hai Duong has a favorable economic and geographical position when located on two international economic corridors Kunming – Hanoi – Hai Phong and Hanoi – Nanning – Guangzhou. Besides, Hai Duong is also located in the northern key economic region, about 57 km west of Hanoi capital, 45 km east of Hai Phong city, convenient for goods circulation among vicinity provinces.

Bản đồ hành chính tỉnh Hải Dương

The East of Hai Duong borders Quang Ninh and Hai Phong city, so Hai Duong can gain support for trade promotion, expanding the consumption market of goods to China through Mong Cai international border gate, exporting agricultural products to Singapore, Japan, and Korea through Cai Lan ports, Hai Phong port cluster, etc.

The West of Hai Duong borders Bac Ninh and Hung Yen provinces (where there are important routes connecting economic and commercial zones of the North of Vietnam) creating good opportunities for economic exchanges and freight transport between the provinces.

Its South borders Thai Binh province (which is the province with the fourth largest population out of 10 provinces and cities in the Red River Delta) contributing a large amount of labor to industrial zones in the province.

The North of Hai Duong borders Bac Giang province, cooperation and learning in the fields of agriculture, industry, transport infrastructure connection, …

Natural geological conditions

With low mountainous terrain accounting for 11% of the natural land area, Hai Duong province contains many types of minerals, with great potential for the production of building materials.

  • Cement limestone in Kinh Mon, with the reservation of 200 million tons, is enough to produce 4 to 5 million tons of cement per year for 50-70 years.
  • Kaolin in Kinh Mon, Chi Linh has the reservation of 400,000 tons to supply raw materials for porcelain production.
  • Refractory clay in Chi Linh, with the reservation of 8 million tons provides raw materials for the production of refractory bricks.
  • Bauxite in Kinh Mon reserves 200,000 tons.

Transportation network

The transportation system includes roads, waterways, and railways, which are reasonably distributed and convenient for traffic among provinces.

Bản đồ quy hoạch giao thông tỉnh Hải Dương

  • Roadway

Hai Duong has many national highways crossed such as National Highway 5, National Highway 18 (the road section through Chi Linh is 20 km long), National Highway 37, National Highway 38, National Highway 38B (connecting Hai Duong – Ninh Binh), National Highway 10, Expressway Hanoi – Hai Phong (National Highway 5B). There are also provincial roads with 14 routes of 347.36 km long (asphalt road meets grade III delta standard) and district roads of 392,589 km and 1,386.15 km of communal roads to ensure that cars can reach all regions in all seasons.

  • Railway

Hai Duong has the Hanoi – Hai Phong railway line parallel to National Highway 5 for transporting goods and passengers through 7 stations in the province. There is also the Yen Vien – Cai Lan railway line running through Chi Linh, specializing in transporting agricultural, forestry and indigenous products from the northern mountainous provinces through Cai Lan Port (Quang Ninh) to foreign countries. as imports and coal for these provinces.

  • Waterway

Hai Duong has 400 km of waterways that ships and boats with 500 tons can travel easily. The capacity of Cong Cau port is 300,000 tons/year and the system of wharves and yards makes cargo transportation convenient.

Currently, Hai Duong province has 12 river routes managed by the central government, including the Thai Binh river, Thuong river, Luoc river, Kinh Thay river, Kinh Mon river, etc. The total length is 274.5 km, of which Thai Binh river and Luoc river are important waterways of the Red River Delta region.

Transport infrastructure development & Regional linkages promotion

Hai Duong is located in the center of the Red River Delta, in the economic triangle of Hanoi – Hai Phong – Quang Ninh, so the province has invested heavily in the development of transport infrastructure. The Hanoi – Hai Phong Expressway section through the province is 40 km long, 82 km of high-speed ways, 7 national highways with a total length of 189 km; 21 provincial roads with a total length of 354 km, etc.
In addition, Hai Duong province has coordinated with Quang Ninh and Hai Phong to build a series of traffic works. With Hai Phong, there is Quang Thanh bridge connecting Thanh Ha district with An Lao district on Van Uc river; Dinh Bridge crosses Kinh Thay River connecting Kinh Mon city with Thuy Nguyen district. With Quang Ninh, there is the Trieu Bridge project across the Kinh Thay River connecting Dong Trieu City with National Highway 389, Kinh Mon City.

Industrial park infrastructure in the province

Power system: Taken from the National grid supplied by Hai Duong Electricity through 2 lines of 22 kV and 35 kV connected to each facility.
Clean water supply system: Taken from Hai Duong Hydropower Plant with a capacity of 20,000 m3/day.
Wastewater treatment system: According to the design of the industrial park, a wastewater treatment system with a treatment capacity of 2,000 m3/day and night will be built to ensure that the wastewater is discharged to a grade A standard according to Vietnam’s Environmental Standards.
Internal road system: The main roads in the industrial park are 30-33m wide and the secondary roads are 13.5-17.5m wide.
Lighting system: High-pressure light system is designed to operate on both sides of the road with an average distance of 30m.
Fire protection and prevention system: Arranged along the roads in the industrial park with the distance between the ends is 150m, timely responding to the fire fighting water supply in case of emergency.
Communication system: Connected by telecommunications infrastructure providers according to investors’ demands.

FDI attraction policies

Financial support for vocational training

In case an enterprise has its own training needs, the provincial budget will support 50% of the national professional training budget for each local employee, but not more than one million dongs for an employee for the entire course. The money will be provided to vocational training centers in Hai Duong according to the needs of enterprises.

Abundant human resources

Hai Duong province consists of 10 districts, 1 city, and 1 town with a population of about 1.8 million people, of which more than 60% are of working age. The majority of the population (about 84.5%) live in rural areas and is mainly engaged in agriculture. This will be an important and abundant source of labor for investment projects.

Synchronized administrative procedure reformation

The province actively provides email addresses and hotlines to receive information about petitions, difficulties, and problems of enterprises in the process of production and operation.
In addition, Hai Duong is also the leading province in the country in terms of ensuring the best infrastructure to compete with neighboring provinces and cities, and at the same time creating favorable conditions for legal support, legal issues, administrative procedures, and solving management work quickly. Hai Duong supports foreigners, creates attractive conditions, and encourages foreign investors to invest in the province. Provincial leaders are ready to absorb, guide, remove and recommend central ministries and branches to remove difficulties businesses meet.
Up to March 31, 2022, Hai Duong has attracted 490 FDI projects from 26 countries and territories, increasing the number of factories, factories, and companies in the area significantly (According to Hai Duong Newspaper).

Factors affecting the province’s FDI attraction

The economic scale ranks 11th in the country

According to data from the Department of Statistics, the economic growth of Hai Duong province will reach 8.6% in 2021, the 8th highest among 63 in the country and the 4th among 11 provinces in the Red River Delta (after Hai Phong, Quang Ninh, and Ha Nam).
Despite being negatively affected by COVID-19, Hai Duong province had been quickly recovering and had a positive growth rate of over 20% in the second and third quarters of 2021.

See more: FDI attraction and factory constructions in Hai Duong in 2021

Features of regional planning

In 2022, Hai Duong province will focus on clearing the ground to enable the construction of infrastructure for 6 industrial parks. Of which, 4 IPs have just begun to deploy infrastructure construction, including Quoc Tuan – An Binh Industrial Park (now renamed An Phat Industrial Park 1) in Nam Sach district; Expanded Phuc Dien Industrial Park in Kim Thanh district. In addition, the province continues to deploy 2 established IPs, namely Tan Truong’s Expanded Industrial Park and Expanded Dai An Industrial Park (phase 2) in the Cam Giang district.

Accordingly, the total area of detailed planning for industrial park construction is about 1,097 ha. Industrial land for lease is 754 ha.

List of industrial zones in the area

Currently, in Hai Duong province, there are 11 industrial parks with a total area of 1,732 hectares. Dai An industrial park expanded is the largest area in the region (416 ha).

Expanded Dai An Industrial Park

Khu công nghiệp Đại An mở rộng

Investor: Dai An Industrial Park Infrastructure Development One Member Co., Ltd
Scale: 416 hectares
Location: Cam Giang district and Hai Duong city

Tan Truong Industrial Park

Investor: Nam Quang Infrastructure Development and Investment JSC
Scale: 198 hectares
Location: Cam Giang district, Hai Duong

An Phat Hi-Tech Industrial Park

Investor: An Phat High Technology Co., Ltd
Scale: 46 hectares
Location: Km 47, National Highway 5, Hai Duong City

Lai Cach Industrial Park

Investor: Dai Duong Co., Ltd
Scale: 135.4 hectares
Location: Cam Giang district, Hai Duong

Cong Hoa Industrial Park

Investor: Vietnam Rubber Industrial Park and Urban Development JSC
Scale: 201.2 hectares
Location: Chi Linh town, Hai Duong

Nam Sach Industrial Park

KCN Nam Sách Hải Dương

Investor: Nam Quang Infrastructure Development and Investment JSC
Scale: 63 hectares
Location: Hai Duong City

Phuc Dien Industrial Park

Investor: Nam Quang Infrastructure Development and Investment JSC
Scale: 83 hectares
Location: Cam Giang district, Hai Duong

Dai An Industrial Park

Investor: Dai An Joint Stock Company
Scale: 136 hectares
Location: Located on Km 51, Hai Duong City

Lai Vu Industrial Park

Investor: Lai Vu Industrial Park One Member Company Limited
Scale: 213 hectares
Location: Kim Thanh District, Hai Duong

Cam Dien – Luong Dien Industrial Park

Investor: Vietnam Singapore Industrial Park and Urban Development JSC
Scale: 184 ha
Location: Cam Giang district, Hai Duong

Phu Thai Industrial Park

  • Khu công nghiệp Phú TháiInvestor: New World Fashion Group PLC
    Scale: 56.7 hectares
    Location: Kim Thanh District, Hai Duong
    DELCO has experience in consulting, designing, and building factories in Hai Duong such as FIT Vietnam Factory (Japan), MEIKO TOWADA Factory (Phuc Dien Industrial Park),… As a result, DELCO has a lot of knowledge and practical experience in investment procedures, factory construction, investment incentives, regulations of the Management Board of Industrial Parks, etc. to effectively advise and support investors in every phase of the factory construction project in Hai Duong.

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