An industrial factory in Viet Nam is a purpose-built structure for production, assembly or processing, different from a warehouse used mainly for storage.
Manufacturers in electronics, garments, machinery and FMCG lease these buildings, with leasable areas ranging from under 1,000 sq m for light manufacturing to over 30,000 sq m for heavy industry. Leases usually run 3 to 5 years with renewal options, sitting within the industrial park’s longer land use right term.
Supply concentrates most in Bac Ninh, Hai Phong, and the former Binh Duong area, now part of HCMC.
National factory supply keeps expanding as FDI favours manufacturing hubs near ports and expressways. Rents for ready-built factories generally span USD 4 to 7 per sq m per month (Savills Industrial Insider 2025), moving towards the upper end in the industrial corridors north of Ha Noi and in HCMC’s established industrial areas.
Demand comes largely from electronics assemblers and supply chain diversification.
We advise occupiers and developers on factory leasing, valuation and site selection nationwide. See our industrial real estate services or the full types of industrial properties in Viet Nam for how factories compare with other asset classes.
A few core variables decide factory fit:
- Ceiling height: 6-9 m standard, 10-13+ m high-tech
- Floor loading: 2.0-2.5 for standard, 3.0-5.0+ tonnes for high-tech, depending on machinery weight
- Power supply: 3-phase power with backup capacity for continuous operations
- Fire safety and environmental compliance suited to the specific industry
- Column spacing and clear span, which determine production line layout and forklift and equipment circulation
Factory supply concentrates in a handful of established industrial corridors:
- Bac Ninh and Hai Phong lead the north, close to Ha Noi and deep-sea ports
- HCMC, including the former Binh Duong and Ba Ria-Vung Tau areas, and Tay Ninh province, including the former Long An area, anchor the south
- The central region, centred on Da Nang, Quang Ngai and the Chu Lai-Dung Quat corridor, offers noticeably lower rents and suits occupiers prioritising operating cost over proximity to the main port clusters
Rents run higher in tight-vacancy corridors near Ha Noi and in HCMC's established industrial areas, and lower in emerging provinces with newer, less constrained supply.
Read our latest Viet Nam industrial market research for current supply and rental data.
Electronics, garment and FMCG manufacturers remain the largest tenant groups for factory space.
Over the past 12 to 24 months, supply chain diversification away from China has led more new occupiers to choose ready-built units, shortening the time between site visit and signed lease.
A factory suits production and assembly. When the need is mainly storage and distribution, a warehouse for lease in Viet Nam fits better.
Developers planning a custom facility from the ground up should start with industrial land in Viet Nam, while freight and cross-docking operators are better served by logistics land in Viet Nam.
Looking at a specific city instead? See our guides to industrial properties in Ho Chi Minh City and industrial properties in Ha Noi.
Ready-built factory supply in the main corridors stays limited. New projects built to modern technical standards take 8 to 12 months from permitting to operation, so occupiers with fixed production dates usually work from available ready-built stock rather than waiting for new supply.
For advice on site selection, specification benchmarking, valuation and lease negotiation for factory space across Viet Nam, the Savills Industrial team can advise based on your sector, power requirements and specific technical needs.
Contact Mr. John Campbell, Director, Industrial Services at Savills Vietnam, on +84 986 718 337.
An industrial factory in Viet Nam is a purpose-built structure for production or assembly, typically leased by manufacturers in electronics, garments and machinery. Sizes range from under 1,000 sq m for light manufacturing to over 30,000 sq m for heavy industry.
Rents for ready-built factories typically range from USD 4 to 7 per sq m per month (Savills Industrial Insider 2025). Corridors near Ha Noi and HCMC’s established industrial areas sit at the higher end, while emerging provinces offer more competitive rates.
Supply concentrates in Bac Ninh and Hai Phong in the north, and in the south across HCMC (including the former Binh Duong and Ba Ria-Vung Tau areas) and Tay Ninh province (including the former Long An area). All offer strong links to ports and expressways.
Factory leases usually run 3 to 5 years with renewal options. Under Article 172 of the Land Law 2024, the underlying land use right runs up to 50 years as standard, and up to 70 years for projects with large capital investment but slow capital recovery, counted from the industrial park’s establishment date. Deposits generally equal 1 to 3 months of rent.
Electronics, garment and FMCG manufacturers are the most common tenants. Heavy machinery and automotive suppliers also lease larger factory space, particularly near port access.
A ready-built factory is existing stock an occupier can move into within weeks, built to a standard specification. Build-to-suit is constructed to the occupier’s requirements by the park developer, typically taking 8 to 12 months from agreement to handover. Design and scheme approval account for roughly 2 to 3 months, construction permitting 1 to 2 months, construction 4 to 6 months for a standard steel-frame building, and handover testing plus utility connections a further 1 to 2 months.
Standard leasing runs about 30 to 60 days from proposal to signing, covering negotiation, deposit and investment documentation. Fit-out follows, with duration depending on machinery installation and utility connections. Occupiers with urgent timelines should confirm handover condition and any outstanding developer works early, as these are the most common sources of delay.
Multi-storey factories are concentrated in HCMC, where land in the established industrial parks is close to exhausted. In the north they remain less common, as Bac Ninh, Hai Phong and Hung Yen still offer single-storey land at competitive cost. Technically, multi-storey only suits lines with moderate floor loading and no crane dependency, so heavy manufacturers generally still prioritise single-storey space in the satellite provinces.
