South-central Vietnam province Phu Yen seeks investments under new program

The coastal province of Phu Yen aims to attract projects in petrochemicals, metallurgy, high-tech manufacturing, supporting industries, digital technology, urban area development, and resort-tourism under a new plan.

It also seeks to develop the South Phu Yen Industrial Zone as a multi-sector economic zone, combined with urban and resort-tourism facilities.

According to its Investment Promotion Program for 2025, newly approved by the provincial People's Committee, Phu Yen strives to attract about 20 domestic and foreign investors this year.

Investment will be allocated to three key areas.

The key area in the north will focus on tourism and marine economy, with the Xuan Dai Bay tourist area to be developed as a high-end complex.

Song Cau town, located in this area, will be a center connecting to the northern and western localities of the province and a tourism-service center in the north of Phu Yen, connecting with Quy Nhon town of Binh Dinh province.

The key area in the south will be devoted to industries of metallurgy, oil refining, petrochemicals, pharmaceuticals, manufacturing with abundant digital technology, processing, ports, clean energy, and tourism.

Tuy Hoa town, located in this key area, is a central urban area of Phu Yen. The northern area of the town is earmarked for high-end resorts and regional education-training facilities.

Meanwhile, the eastern area of Dong Hoa town will be home to the province's logistics and industrial center which connects with the North Van Phong Industrial Zone.

The key area in the west is oriented towards developing trade and services, high-tech agriculture, raw material areas associated with processing factories, and tourism development.

In particular, the towns of Cung Son and Hai Rieng will become hubs in terms of trading with Central Highlands provinces.

Previously, at the end of February 2024, the Phu Yen People's Committee approved a list of 70 projects calling for investment in the province in the 2024-2030 period.

Accordingly, the areas outside South Phu Yen Economic Zone will house 37 projects, including 13 commerce-service-tourism projects, nine urban and social housing projects, eight agricultural projects, two industrial park or cluster projects, two logistics projects, two educational, cultural and social projects, and one science-technology project.

Projects with large investment capital include the An Hoa Hai high-end eco-tourism and resort complex project (420 ha, VND4.2 trillion or $161.38 million), the Bai Tu Nham high-end service-tourism project (300 ha, VND3 trillion), a housing project on the land lot No. 7 west of Hung Vuong street (0.86 ha, VND2.58 trillion), and a social housing project on the land lot coded OXH in Tuy Hoa town (4.32 ha, VND1.5 trillion).

Nam Phu Yen Economic Zone is set to accommodate 33 projects, including 12 urban area and social housing projects, six industrial park projects, one industrial cluster project, five trade-service-tourism projects, three transportation-seaport-logistics projects, three metallurgy and energy projects, one information technology project, one technical infrastructure project, and one healthcare project.

Among these, notable projects include a petrochemical refinery complex Project (350 ha, $5 billion), an LNG warehouse project ($1.8 billion), the Tuy Hoa Airport expansion and upgrade project (697 ha), and the Vung Ro Bay high-end resort project (201.2 ha, VND20 trillion).

Ta Anh Tuan, Chairman of Phu Yen People's Committee, said that according to a provincial Party resolution, the investment and development of Bai Goc Port and Hoa Tam Industrial Park are the core of South Phu Yen Economic Zone, playing a very important role in socio-economic development, especially the marine economy.

This is an advantage of Phu Yen province in strengthening the connection with regions and localities, especially between South Phu Yen and North Khanh Hoa and between Phu Yen and the Central Highlands, to promote investment attraction.

In May last year, Kanoria Foundation, one of the leading conglomerates in India, showed interest in the Bai Goc deep-water port project in South Phu Yen Economic Zone.

During talks with Phu Yen leaders, a Kanoria representative said that apart from the port project, the firm is keen on an oil refinery project and the expansion of Tuy Hoa international airport.

One month earlier, Hanoi-based Minh Thach D&L Green Hydrogen JSC proposed a green hydrogen-ammonia plant at South Phu Yen Economic Zone.

The plant is expected to produce about 45,000-55,000 tons of hydrogen and 250,000-300,000 tons of ammonia per year, using alkaline water electrolysis technology and Topsoe ammonia synthesis technology. It will cover about 20 hectares at the Hoa Tam Industrial Park and use Bai Goc port’s facilities to store and export liquid ammonia.

In March last year, SK Group said it is looking to build an ecosystem around an LNG-fired power plant in Phu Yen. A delegation from the chaebol then submitted an official project proposal to Phu Yen's leaders.

In late 2023, Prime Minister Pham Minh Chinh approved a master plan for Phu Yen province in the 2021-2030 period, with a vision until 2050.

Under the master plan, Phu Yen will embrace modern and sustainable development. Its economic development will be based on maritime advantages and key industries of metallurgy; oil refining, petrochemicals and energy; high quality services and tourism; high-tech agriculture; maritime transport and logistics.

Phu Yen is set to have a diverse and prosperous economy and become a marine economic center of the central coastal region by 2050. It is expected to have a smart, green, sustainable and unique urban system, boasting attractive coastal urban complexes and a liveable environment.