Danang ramps up efforts to attract Japanese investors Danang ramps up efforts to attract Japanese investors

The online seminar “Is Vietnam a high-tech manufacturing go-to destination?” for Japanese investors looking to set up shop in Danang Hi-tech Park will be organised on August 26 by Long Hau JSC in tandem with Danang Investment Promotion Agency.

Centering on topical issues like whether Vietnam has the potential to become a go-to high-tech manufacturing destination, or should businesses join the general market trend to affirm position, high on the agenda will be investors’ prime concerns such as the existing ecosystem for high-tech industries; the procedures on establishment and support for high-tech production; latest updates about accounting and tax incentive policies, particularly supporting businesses in high-tech production at Danang Hi-tech Park.

The seminar, held online following COVID-19 prevention regulations, will feature leading industry experts including Huynh Lien Phuong, director of Danang Industrial Park Authority (IPA); Vu Thi Minh Duc, head of the Japan Desk at Danang IPA; Ishi Daisuke, senior manager at Fair Consulting Vietnam; Fujiwara Hiromi, manager at Fair Consulting Vietnam; and Toshio Okukura, Investment Promotion director at Long Hau Corporation, a leading industrial real estate developer which owns Long Hau Industrial Park based in the southern province of Long An, home to a large number of Japanese businesses.

Toshio Okukura said the growing number of tech firms setting up manufacturing plants in Vietnam present vibrant development opportunities for Vietnam’s industrial real estate market, particularly regarding Danang Hi-tech Park.

Accordingly, Danang enjoys a favourable position for transport by air, waterways, roads, and railway. The complete transport system from Danang Hi-tech Park to seaport and airport venues helps investors save costs.

In addition, Danang is part of many arterial routes with great connection to other industrial parks and urban centres, promoting regional linkages.

Danang Hi-tech Park has set aside vast land funds for projects in manufacturing and precision engineering, electrical and electronics, and offers clear advantages in fairly low land rental as well as abundant skilled workforce.

Danang Hi-tech Park also offers numerous incentives to investors like corporate income tax and import tariff reduction and exemption, supporting multiple entry visa applications for foreign employees in the park, and more.

Until now, Danang Hi-tech Park is home to 24 projects, including 12 foreign direct investment (FDI) projects valued at a total $545.1 million. In the year to date, the park, the Software City, and city-based industrial parks (IPs) have attracted 16 projects, including four foreign investment and 12 domestic projects, with a total registered capital of $145.33 million (equal 99.13 per cent of total committed FDI volume in the first half) and VND481.4 billion ($20.9 million), respectively.

Lately, Danang Hi-tech Park and Industrial Zones Authority unveiled that they have recommended the A13 land plot in the space earmarked for high-tech production to US investor AREVO Inc. to implement a project to manufacture 3D printers as well as design and manufacture 3D-printed carbon fibre composite materials and 3D printing software. The US investors has proposed a $135 million project over 10.68 hectares in the park.

Besides, despite adverse impacts of COVID-19, Inaba Rubber Vietnam, an active high-tech auxiliary equipment manufacturer also based in Danang Hi-tech Park, exported three batches of water-proof rubber for cars to Japanese market last month alone.

By Anh Thuy, VIR