Fuchs, a leading German lubricants player, has taken on a 20,000 m2 land lease at Phu My 3 Specialized IP (PM3 SIP) in Ba Ria – Vung Tau (BRVT) to build its latest factory. This 55-year lease demonstrates the potential of BRVT, an increasingly popular industrial destination that offers competitive prices and excellent proximity to the Cai Mep port cluster, which currently handles 30% of Viet Nam’s container exports.
Fuchs is the world’s largest independent lubricants manufacturer and has focused exclusively on lubricants and related specialities for more than 90 years.
Mr Mai Son, Director of Fuchs Viet Nam said: “Investing in a new plant in Viet Nam shows our trust and total commitment to our customers. After evaluating many locations with Savills, we selected PM3 SIP as we believe in the potential of BRVT and Cai Mep. We are also happy with the services and support our new partner provides.”
Ruven Ebner, Regional VP of India & Southeast Asia continued: “We believe that our local production footprint, including selective R&D, will offer the most valuable and suitable products and services to our customers throughout the region.”
PM3 SIP is a renowned industrial park in BRVT, known for its excellent infrastructure, full range of services, and proximity to Cai Mep Port. Growing numbers of export companies are choosing BRVT due to HCMC’s rising industrial land prices and lack of vacant land. Competitive pricing, good infrastructure, and an excellent port mean that IPs in BRVT, such as PM3 SIP, have successfully attracted multinational tenants in recent years.
Commenting on the deal, Mr Kazama, Deputy General Director of PM3 SIP said: “It is an honour for us to cooperate with such a well-known enterprise. Our facility provides a great location and high-quality infrastructure, which satisfies the needs of international customers. Fuchs Group is the second European company at PM3 SIP, and no doubt having European tenants will bolster the trust of other Western companies. I appreciate the role that Savills played in this. PM3 SIP constantly aims to execute its vision of becoming a world-class specialized industrial park, fulfilling the expectations of governments while offering optimum quality for our customers.”
John Campbell, Associate Director, Head of Industrial Services at Savills Viet Nam, said: “This lease emphasises the growth of BRVT’s industrial sector and the need for multinational tenants to consider alternative locations. Not only does the area offer competitive rents and infrastructure suited for medium to heavy industry, but it also provides access to a growing seaport cluster. Cai Mep – Thi Vai International Port Cluster is a great alternative to HCMC’s crowded port system. Spanning 20 km and welcoming its 2,000,000th TEU in 2020, this port has full government backing and is set to be a key shipping hub by 2045. PM3 SIP has done a great job attracting international tenants and I am confident the value of the tenant pool will continue to improve as more companies expand to BRVT and Cai Mep.”