Ho Chi Minh City to map out a plan to develop over 50,000 hectares of industrial zones

Ho Chi Minh City is developing a plan to expand its export processing zones (KCX) and industrial parks (KCN) to more than 50,000 hectares, while crafting a selective investment-attraction roadmap to improve the quality and efficiency of industrial land use. This information was provided by the Ho Chi Minh City Management Board of Export Processing Zones and Industrial Parks (HEPZA) at a press conference on April 9 on the socioeconomic situation. Scale of more than 100 industrial zones, with an occupancy rate around 80%. According to the approved master plan, the new KCX/KCN system in Ho Chi Minh City totals 105 zones spanning 50,288 hectares, about 7.4% of the natural land area. Of these, 66 KCX/KCN have been established covering more than 27,270 hectares. Currently, 3 KCX and 55 KCN are in operation, with a total area of over 22,410 hectares, accounting for nearly 45% of the planned area and achieving an occupancy rate of about 80%. In addition, 8 KCN and 5 KCN expansions have been established but are not yet in operation, totaling 4,860 hectares. For the planned formations, the city plans to add 39 KCN totaling 23,018 hectares, not yet established. Accelerating the sub-area zoning process in phases. The Ho Chi Minh City Administration board says it is focusing on sub-zoning planning as a crucial preliminary step before selecting investors and implementing projects. Specifically, at the current stage, the city is organizing planning for 7 KCN totaling more than 3,200 hectares. Notably, the Vĩnh Lập KCN (750 hectares) has completed sub-area planning and is in the process of investor selection. In the coming years, the schedule is clearly phased: 2026 planning for 8 KCN (5,374 hectares); 2027 for 10 KCN (4,657 hectares); 2028 for 4 KCN (1,100 hectares); and after 2028 will complete planning for the remaining 9 KCN with a total area over 7,100 hectares. Since most projects remain at the planning stage and investors have not yet been selected, regulators say there are no significant obstacles in implementation. Investment selection under strict criteria. Alongside planning, Ho Chi Minh City intends to apply stricter investor-selection criteria in line with Decree 35/2022/ND-CP. The criteria focus on four main groups: the investor’s legal capacity and resources; experience implementing IZ infrastructure or real estate projects; technical requirements according to the approved planning and investment policy; and financial capability to ensure project execution. The establishment of a clear roadmap and selective criteria is expected to help form modern industrial zones, thereby enhancing investment attraction and contributing to the economic growth of Ho Chi Minh City and the region in the coming period. -Khang Di