S Koreans invest $1.5b in northern economic zone

Tuesday, Sep 10, 2013 07:39

South Korea's LG Electronics has been granted a licence to invest US$1.5 billion into a new manufacturing complex in Dinh Vu–Cat Hai Economic Zone in the northern port city of Hai Phong.

Workers of Vietnam International Fashion Co Ltd in Trang Due industrial zone make shoes for exports. The industrial zone will also welcome South Korea LG Electronics. — VNS File Photo

HAI PHONG (Biz Hub)— South Korea's LG Electronics has been granted a licence to invest US$1.5 billion into a new manufacturing complex in Dinh Vu–Cat Hai Economic Zone in the northern port city of Hai Phong.

The project will be developed on a 10ha site in Trang Due Industrial Zone, a complex comprising industry, a township, recreation facilities and service parks on a total area of 600ha.

The project will be divided into two stages. The first stage will be developed in four years with $510 million. The second stage will involve spending $990 million over five years.

The committee hopes the project will help the zone attract more investors, particularly LG partners and satellite parties; and create about 20,000 jobs.

LGE will take advantage of new tax incentives available from the middle of August. They include corporate income tax of only 10 per cent in the first 15 years of operation..— VNS