List of business lines and business establishments encouraged to invest in or relocate to industrial clusters in Vietnam
What are business lines and business establishments encouraged to invest in or relocate to industrial clusters in Vietnam?
Pursuant to Article 3 of Decree 32/2024/ND-CP, the list of business lines and business establishments encouraged to invest and relocate into industrial clusters includes:
- Processing and manufacturing industries serving agriculture; mechanical industries (such as: automotive, agricultural machinery, construction equipment, industrial equipment, electrical equipment, medical equipment, etc.); supporting industries; textile and garment, leather and footwear industries.
- Information technology and telecommunications industries, electronics industry; smart energy industries; digital technology, automation, high-end equipment, new materials, and biotechnology industries.
- Local industries and handicrafts that need preservation and development; warehousing services, packaging, transportation of goods, repair, maintenance of machinery and industrial equipment, and other services directly serving the industrial, handicraft production of the locality with a total area not exceeding 10% of the industrial cluster area.
- Other industries with high-tech, clean, energy-efficient, high value-added, sustainably developed technologies.
- Industrial and handicraft production facilities causing pollution or with potential risk of pollution in craft villages, residential areas encouraged to relocate into industrial clusters.
What are grounds for plans for developing industrial clusters in Vietnam?
Pursuant to Article 4 of Decree 32/2024/ND-CP, the development plan for industrial clusters is regulated as follows:
Article 4. Development Plan for Industrial Clusters
- Basis for construction of the industrial cluster development plan:
a) The industrial development strategy of Vietnam, and the development strategy for industrial sectors and fields in the province.
b) The socio-economic development orientation, regional planning, technical, specialized characteristics planning in the province.
c) The demand for site area, geographical, transportation conditions, and resources to attract, relocate organizations, individuals to invest in production and business in industrial clusters in the province.
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The development plan for industrial clusters is built on the following basis:
- The industrial development strategy of Vietnam, and the development strategy for industrial sectors and fields in the province.
- The socio-economic development orientation, regional planning, technical, specialized characteristics planning in the province.
- The demand for site area, geographical, transportation conditions, and resources to attract, relocate organizations, individuals to invest in production and business in industrial clusters in the province.
- The ability to mobilize investment capital from enterprises, the state, and other legitimate sources to invest in the construction of technical infrastructure works of industrial clusters in the province.
- Environmental protection requirements, economical, efficient use of land and other resources, and local resources.
When is an investor suspended from investment business activities in Vietnam?
Pursuant to Article 5 of Investment Law 2020, the policy on investment business is regulated as follows:
Article 5. Policy on Investment Business
- Investors have the right to conduct investment business activities in industries and professions that are not prohibited by this Law. For conditional investment business industries, investors must meet the business investment conditions prescribed by law.
- Investors can self-determine and bear responsibility for their investment business activities according to this Law and other related legal regulations; can access, use credit sources, support funds, use land, and other resources according to legal regulations.
- Investors are suspended, stopped, or terminated from their investment business activities if these activities cause harm or potentially harm national defense and national security.
- The state recognizes and protects the ownership rights of assets, investment capital, income, and other lawful rights and interests of investors.
- The state treats all investors equally; has policies to encourage and create favorable conditions for investors to conduct investment business activities and sustainable development in various economic sectors.
- The state respects and implements international treaties on investment that the Socialist Republic of Vietnam is a member.
An investor is suspended, stopped, or terminated from investment business activities if these activities cause harm or potentially harm national defense and national security.
