Song Lo II Industrial Park

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

Song Lo II Industrial Park was approved to be added into the plan of industrial parks in Vinh Phuc under Official Dispatch No. 1581/TTg-KTN dated September 03, 2009 issued by the Prime Minister, with a projected planned area of 180 hectares. On January 10, 2014, Song Lo II Industrial Park was approved by Vinh Phuc provincial People’s Committee for its detailed plan at a rate of 1/500 under Decision No. 59/QĐ-UBND. Accordingly, the industrial park has a planned area of 170.6774 hectares (covering 5,0224 hectares allocated for the planned road connecting the Ha Noi - Lao Cai expressway interchange to the center of Song Lo district).

On February 23, 2001, the investment project for infrastructure construction and business of Song Lo II Industrial Park was approved by the Prime Minister, with Vinh Phuc Infrastructure Development Joint Stock Company as the investor. The total investment capital for the project is 1,520 billion VND. The project covers a land area of 165.655 hectares, located in Dong Thinh and Yen Thach communes, Song Lo district, Vinh Phuc, with an operational period of 50 years. On March 11, 2021, Song Lo II Industrial Park was officially established under Decision No. 600/QD-UBND issued by the Vinh Phuc provincial People's Committee.

In terms of nature, Song Lo II Industrial Park is oriented as a multi-sector concentrated industrial park, with a priority of attracting projects in the following industries: Mechanical engineering; Automobile and motorcycle manufacturing and assembly; Production of mechanical precision components and equipment; Production of electronic components and household electrical devices; Production of high-end construction materials and plastic products.

In terms of regional linkage, Song Lo II Industrial Park is located about 5,5 km from the intersection of Ha Noi - Lao Cai Expressway interchange and:

- 57 km from Noi Bai International Airport

- 75 km from Ha Noi city center

- 180 km from Hai Phong International Port

II. INFRASTRUCTURE SYSTEM AT SONG LO II INDUSTRIAL PARK

Power supply system: the electricity for production at Song Lo II Industrial Park is provided through a 110/35/22kV substation managed by Vinh Phuc Power Company, with connections extending to each land plot within the industrial park.

Water supply system: clean water for production in Song Lo II Industrial Park is supplied by Song Lo Water Plant with a capacity of 100,000 m3/day through pipelines readily connected to each land plot.

Wastewater treatment system: all wastewater in the industrial park is treated at a centralized wastewater treatment plant with a processing capacity of 4,900 m3/day before being discharged into the environment.

Internal road system: the main road of Song Lo II Industrial Park is 37 m wide, while secondary roads are 24 m wide, arranged in a grid pattern to ensure smooth traffic flow to each land plot within the industrial park.

Additionally, Song Lo II Industrial Park features green spaces, a lighting system, fire prevention and fighting systems, a telecommunications network, and a stormwater drainage system that operates independently from the wastewater system. These contribute to a modern, well-synchronized infrastructure that fully meets the production needs of enterprises operating within the industrial park.

III. LAND LEASING COSTS AND INVESTMENT INCENTIVES AT SONG LO II INDUSTRIAL PARK

Infrastructure usage fee: 80 USD/m2/entire leasing term, subject to change depending on the location of the leased land lot

Infrastructure management and maintenance fee:

Annual land leasing fee: Currently, the industrial park is exempt from annual land lease fees. After the preferential period expires, the land leasing fee will be applied in accordance with the decision of Vinh Phuc provincial People’s Committee

Power supply price: Applied in line with EVN's electricity tariff for industrial production (ranging from 1,100 VND to 3,076 VND/kWh)

Water supply price: 15,000 VND/m3, subject to change in accordance with decisions issued by Vinh Phuc provincial People’s Committee

Wastewater treatment fee: 10,500 VND/m3, with wastewater volume calculated as 80% of the actual clean water consumption

Note: The above rates are exclusive of VAT and are subject to change without prior notice

Investment incentives at Song Lo II Industrial Park

Corporate income tax incentives: 100% exemption from corporate income tax for the first two years, and a 50% tax reduction for the following four years

Import tax incentives: Exemption from import tax for goods on the preferential tax list that are imported to form fixed assets for the enterprise