Sumitomo plans its fourth northern Vietnam industrial park

Japan’s Sumitomo Corporation is considering building a 300-hectare industrial park in Nam Dinh province, says Akito Shiraishi, general manager of its overseas industrial park department.

The executive made the statement at a Thursday meeting with Pham Gia Tuc, Secretary of the Nam Dinh Party Committee.

Sumitomo has so far established three industrial parks in northern Vietnam: Thang Long in Hanoi; Thang Long II in Hung Yen province; and Thang Long Vinh Phuc in Vinh Phuc province. Those three facilities, with a total investment of $404.1 million, cover 1,012 hectares.

Welcoming the proposal, Tuc asked relevant agencies to support the firm. He also urged Sumitomo to help Nam Dinh with a modern, large-scale eco-friendly industrial park.

Tuc said Nam Dinh boasted several advantages including a large population of 2.3 million and its proximity to Hanoi (90 kilometers). The northern province has proposed various mechanisms for further growth that awaited the Prime Minister’s approval, he said, adding that these included a deep-water seaport to welcome ships of up to 200,000 tons.

Besides, the province was carrying out procedures to build its part of the national North-South Expressway to link with seaports and airports in the country’s northern region, he added.

Nam Dinh attracted foreign direct investments of $243.55 million in the first seven months of this year, according to the Ministry of Planning and Investment. This included $143.96 million in capital for new projects, $4.46 million in additional capital for existing projects and $95.14 million in capital contributions for stake acquisitions. So far, the province has attracted a total FDI of $3.87 billion.

Nam Dinh’s index of industrial production (IIP) grew 13.48% in the seven-month period, according to provincial data. Major products were fiber, beer, fabric and apparel with respective production increases of 7.14%, 17.28%, 33.3%, and 7.87%.

In June, Sumitomo and Thanh Hoa province signed a memorandum of understanding for developing a 650-hectare industrial park in the central province. The firm plans to deploy the $400-million project in 2024-2025. The Japanese giant will also study the feasibility of building a logistics center and an urban area surrounding the future industrial park, covering 168.5 hectares.

Apart from industrial parks, Sumitomo has participated in several major projects in different sectors including Ho Chi Minh City’s urban railway No.1 project (Ben Thanh-Suoi Tien); the Pha Lai, Duyen Hai 3, Phu My 2-2 and Van Phong 1 thermal power plants; auto parts in Hai Duong province; and supermarket cooperation with Vietnamese giant BRG.