Sông Công II Industrial Park - Thái Nguyên Province

I. LEGAL INFORMATION AND LOCATION OF SONG CONG II INDUSTRIAL PARK

Sông Công II Industrial Park (or Sông Công 2 Industrial Park) was approved to be added to the planning of industrial parks expected to be established by 2015 according to Decision No. 1107/QĐ-TTg dated August 21, 2006 of the Prime Minister with a planned area of 250 hectares.
On December 13, 2011, Sông Công II Industrial Park was approved by the Thái Nguyên Provincial People's Committee for detailed construction planning at a scale of 1/500 phase 1 (for an area of 180 hectares) according to Decision 3147/QĐ-UBND. On December 31, 2013, the Industrial Park continued to be approved for detailed construction planning at a scale of 1/500 phase 2 (for the remaining 70 hectares). After that, the Thái Nguyên Provincial People's Committee approved the adjustment of the detailed plan in Decision No. 3293/QĐ-UBND dated December 6, 2016. Currently, according to the approved detailed plan, Sông Công II Industrial Park has a planned area of 249.52 hectares, of which the industrial land area is 167.4 hectares (accounting for 67.09%), located in Tân Quang commune, Sông Công city, Thái Nguyên province.
On March 23, 2017, Sông Công 2 Industrial Park was approved for investment policy according to Decision No. 353/QĐ-TTg for the Management Board of Industrial Parks of Thái Nguyên province as the investor with an investment capital of more than 1,757 billion VND with an investment implementation period of 4 years, from 2017 - 2020.

On January 29, 2021, the Prime Minister approved the addition of Sông Công II Industrial Park phase 2 with an area of 300 hectares to the planning of industrial parks in Thái Nguyên province. On March 7, 2024, the investment project for construction and business of infrastructure of Sông Công II Industrial Park Phase 2 was approved for investment policy in Decision No. 225/QĐ-TTg of the Prime Minister for Viglacera Thái Nguyên Joint Stock Company as the investor. Refer to more detailed information about Sông Công II Industrial Park phase 2 HERE.

(Overall perspective of Sông Công II Industrial Park - phase 2)

In terms of nature, Sông Công II Industrial Park is a multi-sector industrial park that focuses on attracting industries such as Mechanical processing; Metal treatment and coating (with a part of plating process); Metal casting; Production of metal components; Production and installation of machinery, equipment, automobiles and other motor vehicles; Production of electronics, electronic products, electrical equipment; Garment industry (without dyeing); Production of MDF wood panels, industrial wood, production of metal products; Production of medicines, pharmaceuticals, chemicals and chemical products, equipment, medical instruments; Building materials; Packaging and other supporting industries...
In terms of regional connectivity, Sông Công II Industrial Park is bordered by the new National Highway 3 to the East, and is 7 km from the Hanoi - Thái Nguyên Expressway, so Sông Công II Industrial Park has convenient transportation connections:
- 12 km from Thái Nguyên city; 5 km from Sông Công city
- 67 km from the center of Hanoi city; 60 km from Bac Ninh city
- 46 km from Noi Bai International Airport
- 174 km from Hai Phong seaport

II. INFRASTRUCTURE SYSTEM OF SONG CONG II INDUSTRIAL PARK

Power supply system: Sông Công II Industrial Park has two power supply sources. In the short term, the power source for production is taken from the 35kV line passing through the industrial park. In the long term, the power supply for Sông Công II Industrial Park will be taken from the Sông Công 110kV substation No. 2 with a capacity of 2x63 MVA providing power exclusively for the Industrial Park. The power supply lines for the industrial park are laid underground through deep trench systems along the traffic routes to each plot of land in the industrial park.

Water supply system: clean water for production in Sông Công II Industrial Park is taken from the D300 pipeline on CMT10 street from the Sông Công water plant managed by Thái Nguyên Clean Water Joint Stock Company with a capacity of about 8,000 m3/day and night exclusively for the industrial park.

Wastewater treatment system: Sông Công II Industrial Park is invested in building a centralized wastewater treatment system with a capacity of 5,000 m3/day and night responsible for treating all production wastewater in the industrial park to meet standards before being discharged into the environment.

Internal traffic system: The main road of the industrial park has a cross-section width of 36 m, running through the middle of the industrial park, in which the road width is 2x10.5 m = 21 m; The main branch road in the industrial park has a right-of-way of 22.5m, in which the road width is 10.5 m; The secondary branch road has a right-of-way of 19.5m, in which the road width is 7.5m.

Other infrastructure utilities: Sông Công II Industrial Park is also completed with infrastructure utilities such as Leveling with an elevation from +23.2m to +27.0m; Rainwater drainage system independent of the wastewater drainage system; Solid waste collection and treatment system; Lighting system and fire protection system...

(Sông Công II Industrial Park has basically completed infrastructure construction and attracted investment)

III. LAND RENTAL COSTS AND INVESTMENT INCENTIVES AT SONG CONG II INDUSTRIAL PARK

Infrastructure usage fee: 15 USD/m2/entire project operation period. The rental unit price may be changed according to the decision of the Management Board of Industrial Parks of Thái Nguyên province.

Infrastructure management and maintenance fee: 0.4 USD/m2/year

Land rent: Applied according to the land rental unit price decided by Thái Nguyên province at each time

Electricity price: applied according to EVN's electricity price schedule

Water price: 12,700 VND/m3. May be changed according to the decision of the Thái Nguyên Provincial People's Committee

Note: The above unit prices do not include VAT and may be changed without prior notice

Investment incentives at Sông Công 2 industrial park

Corporate income tax incentives: 100% exemption of corporate income tax in the first 02 years, 50% reduction of tax payable in the next 04 years.

Import tax incentives: Exemption from import tax for goods on the list of tax incentives imported to create fixed assets for businesses.
In addition, investment projects in Sông Công II industrial park may also be exempt from infrastructure usage fees for 07 years and 50% reduction of land rent for 04 years if they meet the conditions prescribed by Thái Nguyên province.

IV. CURRENT STATUS OF INVESTMENT ATTRACTION AT SONG CONG II INDUSTRIAL PARK

Currently, Sông Công II industrial park has completed industrial infrastructure and leased about 98% of the industrial park land area with typical projects such as the wood panel and pressed wood production project of DONGWHA Vietnam Co., Ltd. (Korea) with a scale of 50 hectares; Electronic component production project of Korea Electric Terminal Co., Ltd.; Project to build warehouses and factories for rent of Kim Tin Sông Công Industrial Development Joint Stock Company... in which, the factory of DONGWHA Vietnam Company has completed construction and put into operation.

(Plywood factory of Dongwha Vietnam Co., Ltd.)

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