Bac Giang province in northern Vietnam granted investment certificates to two Singapore-invested projects on Thursday with total registered capital of $132 million to supply the solar energy industry.
Singapore-based HIUV Applied Materials Technology Investment Pte. Ltd was given an investment certificate for its $90 million project in Viet Han Industrial Park.
The 5.28-hectare factory is set to produce and export self-adhesive PET protective films, EAV films, silicone films, film materials, and plastic products and materials serving the solar energy industry, with a total annual output of 200 million square meters of products.
The project is set to become operational after 12 months, employing 300 people and paying corporate income tax (CIT) of VND44.5 billion ($1.9 million) yearly.
Yonz Technology Singapore Pte. Ltd received an investment certificate for its $42 million project in Yen Lu Industrial Park. The 10-hectare plant will manufacture and export aluminum frames for the solar battery manufacturing and assembly sector, with a capacity of 110,000 tons a year.
The plant is scheduled to enter operation after 24 months, employing 1,085 people and paying CIT of VND187 billion ($7.97 million) annually.
Speaking at the signing ceremony, Bac Giang Vice Chairman Phan The Tuan urged the two Singaporean investors to meet their timeframes with a focus on environmental protection and the application of high-technology.
In January, Bac Giang signed an investment certificate and memoranda of understanding for three foreign-invested projects.
Ingrasys (Singapore) Pte. Ltd. was approved as the investor and Fulian Co. Ltd. as operator of the $621 million Fulian precision technology factory.
Hainan Longi Green Energy Technology Co. Ltd. signed a memorandum of understanding (MoU) to manufacture solar panels with a capacity 3,500 MW per year and investment capital of $140 million.
Hong Kong-based Yadea Technology Group Co. Ltd signed an MoU to build a $100-million electric motorbike manufacturing plant. The 23.2-hectare project, located in Tan Hung Industrial Park, Lang Giang district, is set to start in the second quarter of 2023. It will have an annual capacity of two million motorbikes and employ 3,500 people.
In terms of new projects, Bac Giang was the most attractive FDI destination in Vietnam in the first four months of the year with 19 projects and total registered capital of $949.3 million, according to the Ministry of Planning and Investment.
In combination with additional capital for ongoing projects and capital contributions for stake acquisitions, the northern province attracted $1 billion in FDI in the period, tripling year-on-year.
The biggest overall figure of $1.71 billion belonged to Hanoi. Other top locations were Ho Chi Minh City with $979.7 million, the southern province of Binh Duong with $892 million, and the southern province of Dong Nai with $645.7 million.
While Vietnam’s index of industrial production (IIP) fell 1.8% from January-April, Bac Giang recorded an increase of 13.25%, according the General Statistics Office. The province’s growth was driven by a 14.38% rise in the electronics, computers, and optical goods sectors, 39.66% in electrical products, and 37.58% in beverages.