Demand for ready-built factories to be sustained amid manufacturing FDI wave: Cushman & Wakefield
The future industrial park land supply in southern Vietnam is forecasted to reach about 6,100 ha in the 2024-2026 period, easing the limitation of readily-available land banks, as provincial master development plans for the period 2021-2030, with a vision until 2050 are approved, write Cushman & Wakefield analysts.
The future industrial park land supply in southern Vietnam is forecasted to reach about 6,100 ha in the 2024-2026. Photo courtesy of the government's news portal.
Land prices at industrial parks (IP) in southern Vietnam have increased amid strong demand and land bank limitations.
In Q4/2023, no new supply of IP land was recorded in the southern region. Besides that, the net absorption of IP land in the quarter was 84 ha, indicating the strong demand for IP land.
Ba Ria-Vung Tau province accounted for up to 54% of total net absorption in Q4/2023 thanks to two large investment projects in the electronics and chemicals sectors. Long An, Dong Nai and Binh Duong provinces contributed 17%, 16%, and 12%, respectively.
The primary asking price of IP land was recorded at $173/square meter/lease term, up 4.0% quarter-on-quarter and 7.8% year-on-year due to limited IP land supply amid high demand.
In term of ready-built factories (RBF), leasing RBF is an alternative option thanks to lower investment cost. The market welcomed one new RBF supply from the GT II Industrial Nhon Trach project in Dong Nai province.
Demand for RBF space in the quarter originated not only from small-and-medium enterprises (SMEs) but also from large manufacturers. Given the limited IP land bank situation, several enterprises consider RBF an alternative option thanks to lower investment costs.
Dong Nai and Binh Duong provinces, two main RBF hubs, accounted for up to 39% and 52% of total net absorption in the quarter, respectively. Rents of RBF remained stable quarter-on-quarter, at $4.7 per square meter per month, increasing 1.4% year-on-year. On the project level, most developers now still keep the rent stable.
The RBF market will welcome a future supply of about 2.2 million square meters in the period 2024-2026. Demand for RBF in the future will be sustained by both large manufacturers and SMEs, following the wave of manufacturing FDI into Vietnam.
- Related News
- Read More
Indonesia resumes int’l carbon trading after 4-year hiatus
Indonesian President Prabowo Subianto has issued a new decree to restart international carbon emissions trading after a four-year hiatus.
Southeast Asia - Thu, October 16, 2025 | 9:23 pm GMT+7
Investors seek 2-year delay for $2.56 bln LNG power project in northern Vietnam, citing equipment hurdles
Investors of a $2.56 billion LNG-fired power plant in Hung Yen province have proposed delaying the project’s commercial operation schedule by two years due to difficulties securing key equipment.
Energy - Thu, October 16, 2025 | 9:04 pm GMT+7
Vietnam to soon raise taxpayers' personal deduction: official
The personal income tax deduction in Vietnam is "very likely" to increase to VND21.7 million ($823,940) per month, including VND15.5 million (588,530) for the taxpayer and VND6.2 million ($235,410) for each dependent.
Finance - Thu, October 16, 2025 | 6:25 pm GMT+7
Business confidence climbs as reforms gain traction amid global headwinds: EuroCham Vietnam
The index climbed to 66.5, surpassing pre-tariffs level and reaching its highest in three years – showcasing resilience and adaptability amid global headwinds and evolving U.S. tariff pressures.
Economy - Thu, October 16, 2025 | 4:36 pm GMT+7
Vietnam's stock market watchdog suspends two Grant Thornton auditors
Vietnam's State Securities Commission (SSC) has suspended two auditors from Grant Thornton Vietnam after determining that the 2024 audited financial statements of Saigon Water Infrastructure Corporation (HoSE: SII) failed to meet required standards.
Finance - Thu, October 16, 2025 | 3:35 pm GMT+7
Law No. 56 a major policy breakthrough for Vietnam's stock market development
The Law No. 56, effective January 1, 2025, is one of the major legal breakthroughs in recent years that will enhance the transparency and operational efficiency of the Vietnamese stock market.
Finance - Thu, October 16, 2025 | 2:30 pm GMT+7
WHA Group breaks ground on smart technology industrial zone in central Vietnam
Thailand's WHA Group on Tuesday broke ground on a world-class, modern, and environmentally friendly industrial zone in central Vietnam, namely the WHA Smart Technology Industrial Zone-Thanh Hoa.
Real Estate - Thu, October 16, 2025 | 2:00 pm GMT+7
Vietnam a key partner in Murphy Oil’s global strategy: exec
Vietnam remains a key partner in Murphy Oil’s global business strategy, said Eric Hambly, the U.S. corporation's president and CEO.
Companies - Thu, October 16, 2025 | 12:06 pm GMT+7
VNPT, Qualcomm debut Vietnam’s 1st original design-based excellence center
State-owned Vietnam Posts and Telecommunications Group (VNPT) and Qualcomm have officially launched the VNPT-Qualcomm Excellence Center (VQEC), the first facility in the country to operate under an original design co-development model using Qualcomm’s core technologies.
Companies - Thu, October 16, 2025 | 8:41 am GMT+7
Indonesia enjoys steady growth in nine months
Indonesia's Ministry of Finance on Tuesday announced the country’s 2025 budget performance as of September, reporting that Southeast Asia’s largest economy continued to post steady growth despite global economic uncertainties.
Southeast Asia - Wed, October 15, 2025 | 9:53 pm GMT+7
Malaysia on progressive path towards AI nation status: experts
Malaysia is on a progressive track towards becoming an Artificial Intelligence (AI) nation by 2030, a goal seen as achievable under Budget 2026 - the Malaysian Government’s fiscal and policy framework for 2026.
Southeast Asia - Wed, October 15, 2025 | 9:44 pm GMT+7
Thailand steps up development of semiconductor industry
Thailand’s Board of Investment (BOI) plans to propose a new national semiconductor and advanced electronics policy board to the government, which will spearhead Thailand’s semiconductor development strategy.
Southeast Asia - Wed, October 15, 2025 | 9:40 pm GMT+7
ASEAN sets ambitious energy targets
Senior energy officials from ASEAN member nations and Timor-Leste on Tuesday convened in Kuala Lumpur, Malaysia, to finalize key outcomes and policy recommendations to be submitted to the 43rd ASEAN Ministers on Energy Meeting (AMEM).
Southeast Asia - Wed, October 15, 2025 | 9:33 pm GMT+7
Sun Group gets nod for $375 mln inland waterway tourism project in central Vietnam
A subsidiary of Sun Group, one of Vietnam’s leading real estate developers, has received approval to invest VND9.88 trillion ($375 million) in an inland waterway tourism project in the central coastal city of Danang.
Industries - Wed, October 15, 2025 | 5:21 pm GMT+7
Vietnamese luxury car dealer Haxaco’s business slumps, stock nears two-year low
The operations of Hang Xanh Automobile Service JSC or Haxaco (HoSE: HAX), known as the largest distributor of Mercedes-Benz vehicles in Vietnam, are under pressure as consumers tighten spending and competition among car brands intensifies.
Companies - Wed, October 15, 2025 | 5:13 pm GMT+7
Vietnam sets 2026 GDP growth target at 10%
The Vietnamese Government has set the targets for economic expansion in 2026 at about 10% and inflation at 4.5%.
Economy - Wed, October 15, 2025 | 4:28 pm GMT+7
- Travel
-
Sun Group gets nod for $375 mln inland waterway tourism project in central Vietnam
-
Hilton signs strategic partnership with Sun Group to develop 5 hotels in Vietnam
-
Long Thanh airport to handle 80% of int’l flights to HCMC area, Tan Son Nhat airport 20%
-
New train helps tourists explore landmarks of Hanoi, Bac Ninh province
-
Cam Ranh airport in central Vietnam tourism hub set to be among country’s largest
-
VAFIE hosts second 'Golf Club for Business' outing
