By Tri Duc
Thu, August 17, 2023 | 9:51 am GMT+7
Thailand’s leading industrial developer, Amata, has received approval to expand its industrial park located in Dong Nai province by an impressive 26.7 hectares. This expansion marks a significant step for the industrial sector in the region, illustrating the increasing demand for industrial space and the growth trajectory of the local economy.
On August 16, 2023, provincial authorities officially approved the new 1-to-2000 ratio plan for the facility, bringing the total size of the industrial park to 539.73 hectares. This decision follows the initial approval from Dong Nai’s legislative body back in September 2022. Notably, the industrial park has been fully occupied since 2022, employing around 60,000 workers, showcasing its critical role in regional employment and productivity.
The newly expanded area will include various infrastructure components: 18.47 hectares dedicated to factories and warehouses, 4.6 hectares set aside for greenery, and 3.65 hectares allocated for essential traffic infrastructure. This comprehensive approach to development not only emphasizes economic growth but also prioritizes environmental considerations, making the park a sustainable industrial hub.
A corner of Amata Bien Hoa Industrial Park in Dong Nai province, southern Vietnam. Photo courtesy of Amata.
Once fully expanded, the industrial park will feature a diverse allocation of land: 367.16 hectares for warehouses and factories, 8.46 hectares for technical infrastructure, 73.17 hectares for green spaces, 75.44 hectares for traffic infrastructure, and 15.5 hectares dedicated to administrative functions. This meticulous planning indicates Amata’s commitment to creating a well-rounded industrial ecosystem.
Amata recently reported a revenue of THB 286 million (approximately $8.3 million) from its operations in Vietnam for the first quarter of this year. Interestingly, the firm did not generate any revenue from industrial land sales in this period; however, it achieved THB 278 million ($8.1 million) from utilities and services—a figure that has tripled year-on-year. Additionally, it posted THB 8 million ($2.47 million) from rentals of ready-built factories, which reflects a significant decrease compared to the previous year.
The downturn in the rental segment during this quarter can be attributed to a strategic decision by Amata to sell off some of its ready-built factory real estate in Vietnam last year. As a result, fewer units are available for rent, impacting revenue in this segment.
Amata is currently managing five projects across Vietnam. In the north, the 7.14-square-kilometer Amata City Halong, located in Quang Ninh province, boasts a prime position just 30 kilometers from a deep-water seaport, 30 kilometers from an international airport, and 200 kilometers from the Vietnam-China border.
In central Vietnam, progress continues on Amata’s Quang Tri project, which spans one square kilometer and will align with Quang Tri province’s developmental goals focusing on power plants, a deep-water seaport, and major motorways.
In the southern region, the developments at Amata City Bien Hoa, Amata Township Long Thanh, and the newly constructed Amata City Long Thanh Hi-Tech Industrial Park emphasize the firm’s expansive footprint in Dong Nai province, covering a total area of 5.13 square kilometers, 7.53 square kilometers, and 4.1 square kilometers, respectively.