Quang Yen Coastal Economic Zone – new push for northern development

Thursday, Oct 01, 2020 10:18

The perspective of the Quang Yen Coastal Economic Zone in the northeastern province of Quang Ninh. — VNS Photo

Deputy Prime Minister Trinh Dinh Dung has signed a decision to establish the Quang Yen Coastal Economic Zone in the northeastern province of Quang Ninh. Earlier this May, Quang Yen was added to the national plan for coastal economic zones.

Located in the southwest of Quang Ninh and on the border with Hai Phong, the zone covers a total area of 13,303ha built on two functional sub-zones including a nearly 6,900ha subzone for seaport services and an industrial zone named Dam Nha Mac, and over 6,400 ha for an urban area and high-tech sub-zone.

Quang Yen has three development goals, the first of which is to enhance economic, trade and services connections with other coastal economic zones such as Van Don, Dinh Vu – Cat Hai (Hai Phong) and Thai Binh, and develop socio-economic links between economic zones and neighbourhoods. Investment attraction to Quang Yen must work hand in hand with national defence and security, and the preservation and promotion of marine ecosystems and historical and cultural relics in the zone.

Secondly, the ambition is to develop Quang Yen into a centre of industry, services, logistics and a modern urban area for Quang Ninh and the Hong (Red) River Delta through the synchronisation of technical and social infrastructure, the development of hi-tech, environment friendly industries and a research and development centre.

These two goals must be achieved together with improvements to the workforce with increased incomes and employment opportunities.

The decision will enter into force from November 15, 2020, after which the Economic Zone Tax Package will be automatically activated for every new project in Quang Yen regardless of investment size and number of employees. This is a game-changer for enhancing the investment climate of the Quang Yen Economic Zone and Quang Ninh Province as it lures more capital flow from overseas and domestic investors.

Before the establishment of the Quang Yen Economic Zone, many investors already saw its huge potential and had elaborated on a long-term business plan to reap the benefits, including DEEP C Industrial Zones, an industrial zone developer backed by Belgian group Rent-A-Port.

“Connectivity and tax incentives are crucial criteria that investors take into consideration in their search for an investment destination. Quang Yen Economic Zone, with improved regional and global linkages through a series of mega projects and preferential tax incentives soon to be applied, satisfies both requirements,” said Bruno Jaspaert, general director of DEEP C Industrial Zones.

An industrial zone invested by DEEP C in Quang Yen Economic Zone. — Photo courtesy of DEEP C

DEEP C has invested in two industrial zones in Quang Yen Economic Zone called the Bac Tien Phong and Tien Phong industrial zones, but more generally known as DEEP C Quang Ninh. Of the nearly 6,900ha in the Dam Nha Mac subzone, DEEP C Quang Ninh occupies 1,680 hectares.

“Quang Yen is well-positioned for us to go beyond the industrial zone concept and build a seamless industrial zone ecosystem connected to seaports,” Jaspaert said, adding that the future investment plan for DEEP C was in sync with the development goals of the Dam Nha Mac sub-zone as an industrial zone, seaport and associated services complex.

“Besides, a 150,000-square-metre ready-built factory space in DEEP C Quang Ninh is scheduled to be built and put into operation next year,” he added.

With the new change, the Quang Yen Economic Zone now has on offer all the factors that are of prime concern in investment decisions: tax incentives, accessibility, governmental support. To further enhance the investment climate and prepare infrastructure for businesses to manufacture in a fast manner, Quang Ninh Province is calling for more experienced developers like DEEP C to raise the standard of industrial infrastructure. These will play an important role in developing growing Quang Yen into a high-tech and eco-friendly economic zone that contributes to the regional development of the Ha Noi – Hai Phong – Quang Ninh economic triangle.

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