U.S. consulting firm CT Strategies LLC has signed a contract with Vietnam’s L.Q Joton Group to carry out a feasibility study for a free trade zone in Hai Phong city.
Ho Chi Minh City-based L.Q Joton Group expects to build the free trade zone in Tien Lang district, utilizing the advantages of connecting with deep-water seaports in Hai Phong and major roads in surrounding areas.
“Regarding feasibility, we’ll analyze significant factors such as infrastructure, planning, business models and funding,” CT Strategies CEO Andrew Farrelly said at Saturday’s contract signing ceremony.
The port city of Haiphong, northern Vietnam’s logistics hub, is cementing its position as an industrial hub.
In a massive industrialization push, the city administration approved in late June a list of 137 projects calling for foreign investment in the 2023-2025 period. They include 16 industrial parks (IPs), nine logistics centers, and 52 urban development areas.
Of the 16 IP development projects in the list, three in Tien Lang district have the largest land use area: Tien Lang 2 with 500-550 hectares; Tien Lang Airport with 450-550 hectares; and Tien Lang 1 with 407 hectares.
These are followed by three IPs in Vinh Bao district: Vinh Quang with 340-350 hectares; An Hoa with 200 hectares; and Giang Bien II with 350 hectares. Thuy Nguyen, An Duong, An Lao and Kien Thuy districts boast two IP projects each, while Cat Hai and Hai An districts have one each.
Also in late June, LG Innotek, an electronic component arm of South Korea’s giant LG, received an adjusted investment certificate to invest an additional $1 billion in Hai Phong, doubling its investment in the city to $2.05 billion. The new investment is for LG Innotek Vietnam Hai Phong Co. Ltd.
The city is also home to two other LG firms – LG Display Vietnam Hai Phong Co. Ltd. and LG Electronics Vietnam Hai Phong Co. Ltd.
Hai Phong also hosts the headquarters of electric vehicle startup VinFast, a subsidiary of Vietnam's biggest listed company Vingroup.