Nam Phổ Yên Industrial Park - Thái Nguyên Province

I. LEGAL INFORMATION AND LOCATION OF NAM PHỔ YÊN INDUSTRIAL PARK

Nam Phổ Yên Industrial Park was added to the planning of industrial parks in Thái Nguyên province according to Official Dispatch No. 1854/TTg-KTN dated October 8, 2009 of the Prime Minister with a planned area of 200 ha. Nam Phổ Yên Industrial Park is planned on the basis of expanding and merging Trung Thành Small Industrial Park, Nam Phổ Yên IP and Tan Dong IP in Trung Thành and Thuận Thành communes, Phổ Yên town, Thái Nguyên Province in Decision No. 88/2004/QD-UB dated January 13, 2004 of the Thái Nguyên Provincial People's Committee.
According to the approved detailed plan, Nam Phổ Yên Industrial Park is planned to include 03 sub-zones:
Zone A: Has an area of 48.43 ha, determined on the basis of expanding Trung Thành Small Industrial Park, located in Trung Thành commune, Phổ Yên town, Thái Nguyên province. At the end of 2007, the Project was approved for investment by the Thái Nguyên Provincial People's Committee for the investor Le Trach Infrastructure Development Co., Ltd. with an investment capital of more than 8.5 million USD. Zone A has a term of operation from 2007-2057
Zone B: Has an area of 26.7 ha, located in Thuận Thành commune, Phổ Yên town, Thái Nguyên province (now Phổ Yên city). The Nam Phổ Yên IP Zone B Project was granted the first investment certificate by the Thái Nguyên Provincial People's Committee on April 17, 2008 to the investor Xuan Kien VINAXUKI Automobile Co., Ltd.
Zone C: Has an area of 44.4 ha, located in the territory of Trung Thành commune, district, province. The project was granted an Investment Certificate by the Thái Nguyên Provincial People's Committee to the investor Le Trach Infrastructure Development Co., Ltd. (Taiwan) in 2013 and has a term of operation from 2013-2063.

Thus, the total area approved for investment projects of Nam Phổ Yên IP is 119.53 ha, the remaining area according to the plan is difficult to implement. Therefore, on June 12, 2014, Nam Phổ Yên Industrial Park was adjusted to reduce the planned area from 200 ha to 120 ha (a decrease of 80 ha) according to Official Dispatch No. 886/TTg-KTN of the Prime Minister.
On June 29, 2021, after a long period of not resolving problems related to land and legal procedures due to changes in legal policies, Zone B - Nam Phổ Yên Industrial Park Project was approved by the Management Board of Industrial Parks of Thái Nguyên province to allow Xuan Kien Vinaxuki Automobile Co., Ltd. to terminate its operations under document No. 1258/BQL-QLDT. Thus, in reality, the Nam Phổ Yên IP project currently has only 02 sub-zones A and C with a total planned area of 92.83 ha.

(VINAXUKI automobile manufacturing and assembly plant in Nam Phổ Yên IP)

Regarding its nature, Nam Phổ Yên Industrial Park is built with the goal of becoming an industrial park attracting industries such as automobile assembly, mechanics, and electronics; Food and beverage processing; Slaughtering livestock and poultry; Fast food processing; Processing vegetables and fruits; Manufacturing pharmaceuticals, medical devices, and veterinary instruments; Garment, leather, footwear, handicraft, ceramics, and glass industries; Gas extraction and filling; Production of concrete components, production of construction materials...

Regarding regional connectivity, Nam Phổ Yên IP is located adjacent to National Highway 3 and near the Hanoi - Thái Nguyên expressway, so the IP has the ability to connect convenient transportation with the central area. Specifically, Nam Phổ Yên Industrial Park:
- 10 km from SAMSUNG Thái Nguyên factory; 12 km from the Hanoi - Thái Nguyên expressway intersection
- 42 km from the center of Hanoi city; 29 km from Thái Nguyên city
- 23 km from Noi Bai International Airport
- 155 km from Hai Phong port

II. INFRASTRUCTURE SYSTEM OF NAM PHỔ YÊN INDUSTRIAL PARK

Water supply system: Water supply for production at Nam Phổ Yên IP is provided by the pumping and water treatment station in the industrial park from the Cong River surface water source (near the industrial park) according to the actual water usage needs of businesses operating in the area.

Power supply system: The electricity source for production at Nam Phổ Yên IP is taken from the national grid through 22kV lines running along traffic routes to each land plot in the industrial park.

Wastewater treatment system: According to the plan, production wastewater at Nam Phổ Yên Industrial Park will be treated at the industrial park's centralized wastewater treatment station with a capacity of 3,000 m3/day and night before being discharged into the Cong River. However, up to now, the industrial park's wastewater treatment system has not been built by the investor due to financial difficulties.

Internal traffic system: The main axis of the industrial park has a right-of-way of 36m, the branch roads have a right-of-way of 14m - 17m, of which the road surface width is from 7m to 15m, constructed with concrete pavement along with lighting and drainage systems on both sides of the road.

(A corner of Nam Phổ Yên Industrial Park - Zone A, B and Zone C)

III. CURRENT STATUS OF INVESTMENT ATTRACTION OF NAM PHỔ YÊN IP

As of the end of 2022, out of the total of 03 sub-zones of Nam Phổ Yên IP, both investors have only implemented compensation for site clearance for about 50% of the area of the industrial park and have only built a part of the infrastructure. The entire industrial park has attracted 17 investment projects (of which 11 projects have been put into operation), the occupancy rate of the entire industrial park reaches 33%. Typical projects that have invested in the industrial park can be mentioned such as: Milk and dairy product processing project of ELOVI Vietnam Joint Stock Company (Japan); Project to manufacture other ceramic products of PRIME Phổ Yên Joint Stock Company; Project to manufacture and assemble automobiles of Xuan Kien Vinaxuki Automobile Co., Ltd.; Project to manufacture plastic products of European Green Plastic Co., Ltd...

(Images of some projects operating in Nam Phổ Yên Industrial Park)

For the remaining areas, for many years, both investors have left them unused, becoming gathering places for waste causing environmental pollution and social evils. On June 29, 2021, the Management Board of Industrial Parks of Thái Nguyên province issued document No. 1258/BQL-QLĐT on terminating the investment project to build and trade infrastructure of Zone B - Nam Phổ Yên Industrial Park according to the request to terminate the project of the investor, Xuan Kien Vinaxuki Automobile Co., Ltd. For Zone A and Zone C, although the investor Le Trach Company has been behind schedule and there has been almost no activity to continue implementing the project in the past 10 years, the project has not been recovered and handed over to another investor.

(Images of Nam Phổ Yên IP abandoned, degraded and causing environmental pollution)

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