Binh Duong continues to be magnet for South Korean investors

Thursday, Nov 24, 2016 14:25

A corner of Bau Bang Industrial Park in the southern Binh Duong Province. — File Photo

With its sound and dynamic investment environment, the southern province of Binh Duong has remained the choice of many investors from all over the world.

The province reported on Wednesday that it has so far attracted more than 2,800 projects from 59 countries and territories worth US$25.6 billion.

Tran Thanh Liem, chairman of its People’s Committee, said a lot of effort has been made to improve the investment environment and infrastructure, and so the province has become an ideal destination for companies.

South Korea is the third biggest investor with nearly 600 projects valued at nearly $2.4 billion.

Its investments continue to surge with Kolon Industries Inc Group announcing plans to set up operations.

On Wednesday the company signed a memorandum of understanding with the People’s Committee for building a large plant that will manufacture tyre cord, air bags and other automobile parts in the province’s Bau Bang Industrial Park.

It also signed a contract to lease 42ha with Becamex IDC Corporation, the IP owner, on the same day.

According to the MoU with the province, the company will invest over $600 million by 2026 in two phases.

Park Dong Moon, CEO of Kolon Industries, revealed that his company ad scoured Southeast Asia for two months before settling on Bau Bang.

Park said the plant would have a capacity of 6,000 tonnes per month and be his company’s largest plant anywhere. It has two other plants in China and South Korea.

It would help the company achieve its goal of becoming the biggest tyre cord maker globally, he said.

The plant will go on stream in the middle of 2018 and its products will be exported to many countries.

Kolon Industries has interests in many industries including garments, construction and trading.

In Viet Nam the company has a car air bag plant in Binh Duong it set up at a cost of $15 million. It is now running above capacity and will be expanded. — VNS

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