Steel heavyweight Hoa Phat to develop 235-ha industrial park in northern Vietnam

Vietnam’s leading steelmaker, Hoa Phat Group (HoSE: HPG), has received in-principle approval from Hung Yen province’s authorities for its Ly Thuong Kiet Industrial Park – Phase 1 project.

The 235-hectare project has a total investment of more than VND2.8 trillion ($106.35 million) and is expected to begin handing over infrastructure-ready plots to tenants from late 2026.

The project, with Ly Thuong Kiet Industrial Park Infrastructure Development JSC - a member of Hoa Phat, as the investor, is located in Yen My and Viet Tien communes.

It aims to develop and operate industrial park infrastructure under the model of a supporting industrial park, and is set to operate for 50 years from the date the land is allocated.

One of the park’s key advantages is its strategic location at the heart of the Red River Delta, adjacent to major transport routes linking Hanoi, the coastal city of Hai Phong, and neighboring provinces. From here, goods can be easily transported to northern economic hubs and quickly connected to Hai Phong Port and Noi Bai International Airport.

Its convenient location allows the industrial park to optimize supply chains and enhance operational efficiency for tenant companies.

Ly Thuong Kiet Industrial Park Infrastructure Development JSC is finalizing legal procedures and carrying out site clearance for the project, said director Tran Kien Cuong, adding that the company will begin infrastructure construction in Q2/2026.

The park is Hoa Phat’s latest approved industrial infrastructure project. The group is also simultaneously developing Hoang Dieu Industrial Park in Hai Phong city and Dong Phuc Industrial Park in Bac Ninh province, both in northern Vietnam. As of October, its total industrial park land bank exceeds 2,435 hectares.

Hoa Phat Group’s existing industrial parks, including Pho Noi A and Yen My II (Hung Yen), and Hoa Mac (Ninh Binh, northern Vietnam), all benefit from strategic locations and attract hundreds of major domestic and foreign companies. The parks have achieved a roughly 95% occupancy rate.

Hung Yen and Thai Binh provinces were recently merged to form the new Hung Yen which borders Bac Ninh, Ninh Binh, Hanoi, Hai Phong, and the East Sea.

Following the merger, Hung Yen province attracted $7 billion in registered investment capital in the first nine months of this year, according to local authorities. As of October 20, the locality had nearly 3,974 valid projects totaling $42 billion.

In May, the Trump Organization and local developer Kinh Bac broke ground on a $1.5 billion golf, eco-tourism, and urban complex in Hung Yen province.

The complex, named Trump International Hung Yen, is the first Trump-branded project in Vietnam. The mega project spans nearly 990.43 hectares across six communes in the former Khoa Chau district. Construction is scheduled to be completed by Q2/2029.

In October, Vietnamese conglomerate Geleximco Group and China’s Chery Automobile held a groundbreaking ceremony for their $319 million GEL-O&J automobile plant in Hung Yen.

Located in Hung Phu Industrial Park in the former Thai Binh, the project will be developed in two phases from 2025 to 2029. The facility is among the largest and most advanced automobile manufacturing projects in Vietnam, and notably, the first Chinese car assembly plant in the country.

The same month, Vietnam’s Ministry of Public Security broke ground on a 60,000-seat domed stadium in the province, set to become the country’s most technologically advanced sports venue.

Also in October, logistics firm SPX Express (SPX) and Frasers Property Vietnam began construction of an automated sorting center in Hung Yen, set to become SPX’s largest facility in Southeast Asia when it begins operations in 2027.

The Thai Binh LNG power plant project, developed by Thai Binh LNG Power JSC - a joint venture between Japan’s Tokyo Gas (40%), Kyuden International (30%), and Vietnam’s Truong Thanh Group (30%), broke ground in Hung Yen on October 10.

Investors of the $2.56 billion LNG-fired power plant have proposed delaying the project’s commercial operation schedule by two years due to difficulties securing key equipment.