Japan’s Yaskawa Electric Corporation plans to invest $100 million in building a 12-hectare factory in Quang Ninh province-based Song Khoai Industrial Park, which is invested by Thailand’s Amata.
The Japanese firm, specializing in motion control, robotics, system engineering, and other sectors, and the Thai industrial developer plan to start the factory's construction in June, Yaskawa Electric CEO Nobuaki Jinnouchi told Cao Tuong Huy, acting Chairman of the northern coastal province, at a Friday meeting.
At the meeting, Somhatai Panichewa, CEO of Amata Vietnam, mentioned hurdles related to site clearance and a shortage of ground leveling materials.
The Song Khoai Industrial Park has basically completed essential infrastructure for the first phase, including site clearance, electricity, water, and waste treatment facilities.
The 714-hectare IP will cost about $150 million to build. It is scheduled to open in 2026.
Three investment projects worth $899.23 million, covering 58.6 hectares, are being implemented in the industrial park.
Quang Ninh, on the Vietnam-China border, is part of the Hanoi-Hai Phong-Quang Ninh development triangle, with Hai Phong being northern Vietnam’s largest logistics hub. Quang Ninh is emerging as a new destination for foreign direct investment in the north.
Amata is set to expand in fast-growing Vietnam as part of its plans for 2023. The regional major’s subsidiary Amata Vietnam, founded in 1994 as the first foreign industrial developer in the country, is building its fourth industrial park in Vietnam to expand its total industrial land to 2,347 hectares.
The three operational IPs are Amata City Bien Hoa (513 hectares) and Amata City Long Thanh (410 hectares), both in Dong Nai province near Ho Chi Minh City, and Amata City Halong (710 hectares) in Quang Ninh. The three parks house more than 200 factories.
The Thai developer has set aside some five billion baht ($144 million) of capital for 2023, according to a Nikkei Asia news report. Of this, more than 50% is earmarked for industrial development in Vietnam, 20% for projects in Thailand, and the remainder for a new undertaking in Laos.