Impressive Singapore investment in Binh Duong

Singapore has always been an important strategic partner and investor of Binh Duong. Singapore started investing in Binh Duong in 1996 and has been a major investor for the past 27 years. Up to now, Singapore ranked 3rd out of 65 countries and territories having investment projects in Binh Duong with 283 projects, total capital over US$5.53 billion, accounting for 14% of foreign investment capital of the province.

Breakthrough from VSIP

Over the past 27 years, Binh Duong and Singapore have made breakthroughs in cooperation and development, notably the construction of Vietnam - Singapore Industrial Parks (VSIPs) in Binh Duong and many other provinces and cities across the country. In 1996, Singapore's Sembcorp Industries and Becamex IDC established the first VSIP located on a large area in Binh Duong. VSIP project was based on the cooperation between the Governments of Vietnam and Singapore.

The year 2023 marks the 50th anniversary of diplomatic relation between the two countries and also the 10th anniversary of the strategic partnership between Vietnam and Singapore, so far, there have been 12 VSIPs across the country, attracting total investment capital of about US$17 billion, creating more than 300,000 jobs. Up to now, Singapore accounts for 1/5 of the total FDI capital invested in Binh Duong, with 260 enterprises, including large corporations that have invested, operated effectively and successfully in the province.

VSIPs are considered as a highly effective cooperation between Binh Duong province and Singaporean partners. In photo:  A corner of VSIP 1 (Thuan An City)

Together with VSIP 1 and VSIP 2, VSIP 3 continues to tighten Singapore's friendship, cooperation and investment relationship with Binh Duong for sustainable development. In which, VSIP 1 with a scale of 500 hectares has attracted 213 projects, registered capital of US$3.4 billion with more than 94,000 employees; VSIP 2 has a scale of 1,345 hectares, has attracted 335 projects, registered capital of US$ 5.2 billion with more than 55,500 employees. Especially VSIP 3 with a scale of 1,000 hectares, is a model industrial park applying a smart management model with new advanced technologies as well as green and environmentally friendly technologies. Although just started, this industrial park has attracted some big international corporations such as Lego, Pandora (Denmark).

It can be affirmed that Singapore's investment in Binh Duong is important and increasingly reputable. VSIP has become a model of concentrated industrial park development both at home and abroad. The effectiveness and wide spread of VSIP brand is also a convincing proof of Binh Duong's dynamic, innovative, integrated and sustainable development.

Kelvin Teo, Managing Director of Sembcorp Development, said that VSIPs formed and developed over the past 25 years are a solid symbol of the good economic cooperation between Singapore and Vietnam. In the coming time, Sembcorp Development and Becamex IDC will continue to cooperate in innovation and development of green and sustainable IPs.

Strong growth potential

In addition to investing in infrastructure development of industrial zones, investors from Singapore also poured capital into projects to produce electronic components, electrical equipment, manufacture pharmaceuticals and medical products, food processing and warehousing services, logistics and real estate... Some Singapore projects have large investment capital such as the High-Tech Industrial Park of Mapletree Group; Ascendas Industrial Park - Protrade; projects of Uniben Joint Stock Company, Guoco Land project, CapitaLand...

Binh Duong is trying to attract investment from the key market Singapore. Many economic development policies of Binh Duong province in the coming period will focus on industries and fields interesting Singapore investors, such as processing and manufacturing industry; industries with high technology content such as electronics, real estate business; construction, transportation and warehousing; commerce, finance... Accordingly, the province is implementing many measures to attract strategic partners from Singapore to invest in the province's industrial zones with clear and favorable planning and preferential policies for businesses.

At the program "Promoting trade and investment with Singaporean partners" held recently in Binh Duong, Kho Choon Keng, Chairman of Singapore Chinese Chamber of Commerce and Industry (SCCCI), informed that Singaporean businesses appreciate the socio-economic development and investment environment of Binh Duong. In particular, VSIPs have demonstrated the durability and long-term relationship between Singapore and Vietnam in general, and Binh Duong province in particular. In the coming time, SCCCI will support members to make investment, cooperate and increase business activities in Binh Duong.

Nguyen Van Danh, Vice Chairman of Binh Duong Provincial People's Committee emphasized, Binh Duong always identifies Singapore as a strategic investment partner. The province has actively implemented many solutions to facilitate cooperation and attract investment from Singapore. Binh Duong always wants Singaporean investors to maintain a favorable and sustainable business and investment environment in the province. Binh Duong believes that businesses of the two sides will strengthen links and cooperation in industrial investment, trade and services, as a premise to become each other's important, reliable and sustainable partners.

With nearly 300 projects and a total capital of nearly US$5.5 billion, Singapore is currently ranked third among 65 countries and territories having investment projects in Binh Duong. Up to now, VSIPs have not only gained great economic efficiency, but also created positive spillover and resonance effects, thereby creating a driving force to activate a synchronous socio-economic development space and infrastructure, not only for Binh Duong but for many localities throughout the country.

Reported by Ngoc Thanh - Translated by Ngoc Huynh