More than 10 Billions USD was poured into the industrial real estate market in Vietnam in 2019

Vietnam is witnessing an unprecedented scale of industrial mobility and no signs of cooling in the next few years.

According to the statistics of Foreign Investment Agency (Ministry of Planning and Investment), the proportion of capital poured into the real estate business currently ranks second, accounting for nearly 30% of the total residue of FDI invested in Vietnam. Many experts said that Vietnam"s real estate attraction of foreign investment is expected to help standardize Vietnam"s real estate market.

In particular, for the industrial park real estate market, in 2019 alone, the number of foreign delegations visiting to survey for investment opportunities has increased by more than 40% compared to 2018. In particular, owners Mostly are investors from the Chinese market as a result of the US-China trade war. In addition, there are many investors from well-known industrial real estate markets such as Germany, Belgium, Singapore ... This shows the fact that the real estate market of Vietnamese industrial parks Nam is a potential pie, attracting attention from investors all over the world. A series of big players in the market of supplying electronic equipment and components such as Foxconn, Sharp, Bumjin ... have chosen Vietnam as the place where their largest manufacturing factories have erased their ideology that Vietnamese is just the market for outdated technologies, the world"s industrial landfill.

(Image of Foxconn factory in Vietnam)

Also in 2019 alone, the total investment capital in the industrial park real estate market of Vietnam reached the US $ 10 billion mark, the operating industrial parks reached a stable occupancy rate of 75%. Experts predict that the market size will continue to increase in 2020 thanks to the follow-up of supporting enterprises following the steps of big enterprises to Vietnam and the group of businesses moving to Vietnam to enjoy incentives. Tariffs. Currently, Vietnam is a country having stable cooperation relations with many countries around the world, so the import and export tariff policies for goods of Vietnamese origin are always assessed. Price is stable and easy to breathe.

The year of 2019 saw a remarkable decrease in public debt due to the reduction of Vietnam"s public investments, but Vietnam"s economy maintained a stable growth despite the slowdown of the world economic market. This is the most clear evidence of the impact and real situation of foreign investment in Vietnam.

The World Bank stated that: “The dark cloud continues to pull in the global economy with lower economic growth and trade flows than expected for 2019. However, the sun still shines in the economy. Vietnam is forecasting a growth of about 6.8% in 2019 - only 0.3 percentage points lower than in 2018 ”

It would be remiss if not to mention the streamlining of administrative procedures in the field of investment, construction, the Government"s attention in developing transport and social infrastructure outside the industrial park. attraction to foreign investment activities in Vietnam, so investors can now easily access land bank and project projects in Vietnam.

With the strong interest of companies that want to cut costs, and move factories to Southeast Asia ..., land prices for industrial real estate in Vietnam are still cheap. Industrial real estate forecasts still have much potential for development in the near future.