Vietnam’s Journey Towards Sustainable Industrial Development
A Vision for Eco-Industrial Parks
On October 16, 2023, a significant dialogue unfolded between Prime Minister Pham Minh Chinh and representatives from foreign direct investment (FDI) enterprises, where Bruno Jaspert, the general director of Deep C Industrial Zones, emphasized Vietnam’s status as a manufacturing paradise. With a backdrop of geographical advantages, appealing investment policies, and political stability, Jaspert’s insights spotlighted the potential for further sustainable development through the implementation of eco-industrial parks.
Attracting Global Attention
Vietnam’s manufacturing sector has garnered interest from global investors, positioning the country as an attractive hub for FDI. Jaspert highlighted how Deep C has spearheaded efforts to welcome these new investment waves. Just in the past few months, delegations from the Ivory Coast, Indonesia, and Australia visited to understand the successful eco-industrial park model that Deep C has established. This approach is aimed not only at economic growth but also at promoting sustainable industrial practices.
Long-Term Investment Opportunities
Many partners of Deep C have expressed willingness to make long-term investments in Vietnam, contingent upon the country’s commitment to sustainable industrial development. To facilitate this, Jaspert made a compelling case for the government to adopt policies that support eco-industrial parks. Recommendations included extending land lease terms for industrial parks and implementing higher taxes on those that fail to transition into more sustainable models.
Addressing Regulatory Challenges
Despite the advantages, challenges remain. Jaspert pointed out that Deep C has the capacity to treat wastewater but is hindered by an outdated legal framework that restricts the commercial viability of such initiatives. The current laws do not adequately support the construction of effective sewage systems within industrial parks, further complicating sustainable development efforts.
Encouraging Sustainable Business Practices
Jaspert also advocated for the Prime Minister and the Ministry of Planning and Investment to encourage sustainable business practices. He proposed guidelines for adapting to non-financial reporting regulations, thus enabling companies to assess and demonstrate their environmental and social impact more effectively.
Deep C’s Economic Contributions
Deep C Industrial Zones exemplify the successful melding of industrial development with economic contributions to the nation. With three industrial zones located in Hai Phong, Deep C currently hosts 94 FDI projects, amassing nearly $5 billion in total investment, focusing on sectors like logistics, electronics, and automobile manufacturing. Additionally, 51 domestic projects are valued over VND16.3 trillion ($687 million).
Financial Impact and Employment Generation
The economic impact is substantial. In 2022, enterprises within Deep C Industrial Zones reported impressive figures: $5.9 billion in revenues and an export turnover of $2.32 billion. Contributions to the state budget exceeded VND1.04 trillion ($44.4 million), and nearly 13,500 jobs were created, showcasing the vital role these zones play in the local and national economy.
Infrastructure and Connectivity
Deep C is not just an industrial complex; it is progressively constructed to enhance its accessibility and effectiveness. Well-connected to the Lach Huyen deep-water port, Cat Bi international airport, and an extensive expressway network, Deep C forms an integral part of the northern region’s infrastructure framework. This connectivity is essential for ensuring the smooth operation and growth of industries within the zones.
In the quest for a greener future, Vietnam stands at a decisive crossroads. With continued focus on sustainable practices, the nation can fortify its position as a leader in manufacturing while safeguarding environmental standards, setting a benchmark for other countries to follow.