Hai Duong looks to develop modern supporting industries

  • Thursday, September 09, 2021
  • Source:ferro-alloys.com

  • Keywords:steel
[Fellow]Hai Duong looks to develop modern supporting industries

【Ferro-alloys.com】The northern province of Hai Duong is striving to develop modern supporting industries and become an important link in the global supply chain of multinational corporations by 2030.

Hai Duong is located at the middle of the Hanoi - Hai Phong economic corridor along National Highway 5 and the Hanoi - Quang Ninh economic corridor along National Highway 18. In addition, Hai Duong - Hai Phong - Quang Ninh is a key economic triangle in the eastern region of the northern key economic region. In the provinces adjacent to Hai Duong, many large global corporations such as Samsung and Microsoft have set up their production bases. These are considered advantages of the province in attracting investment in supporting industries.

Hai Duong province currently has 454 foreign investment projects from 26 countries and territories, with a total registered investment of 8.4 billion USD. The projects mostly focus on manufacturing hi-tech products, electrical products and electronic components, automobiles, and producing cement, iron and steel, and garment and textiles.

To date, the northern province has developed a number of supporting industries in three main fields: mechanical engineering, electricity - electronics, and garment - footwear. The growth rate of industrial production value of those three supporting industries during 2015-2019 averaged 15.4 percent a year.

There are about 130 enterprises producing supporting industry products in the locality. In 2019, the supporting industry's production value accounted for nearly 60 percent of the entire industrial sector's production value.

According to the master plan on industrial zones to 2020 approved by the Government, Hai Duong would have 18 industrial zones (IZs), with an area of more than 3,500 hectares. Currently, Hai Duong province has 14 industrial zones established with a total area under the approved detailed planning of over 2,560 hectares.

At the beginning of 2021, Hai Duong province received approval from the Prime Minister to set up four more industrial zones and continue the construction of two established industrial zones with a total planning area of about 1,097 hectares. These industrial zones are all oriented to attract competent investors, large-capital projects in modern industries that use modern technology and are friendly to the environment.

Among nearly 300 projects in Hai Duong’s industrial zones, there are 252 foreign-invested ones, which have a combined registered capital of more than 5 billion USD. The northern province has attracted investors, and large corporations from over 30 countries and territories around the world such as Brother and Sumidenso of Japan, or Kefiko of the Republic of Korea.

The number of enterprises operating in supporting industries accounts for nearly 4.5 percent of the total number of enterprises in the processing and manufacturing industry in Hai Duong. In particular, the supporting industry only meets the localisation rate of about 5-10 percent in automobile production, and 20-40 percent in the electricity - electronics industry. Currently, the province has 10 industrial parks with synchronous infrastructure investment, and 38 industrial clusters. In the 2020-2025 period, the province plans to call for investment in infrastructure of 3-5 industrial parks, and 10-15 new industrial clusters, with a total area of about 2,000 hectares.

There are more than 14,000 enterprises registered for production and business in Hai Duong province, including about 450 FDI projects. The locality is also home to over 23,000 industrial and handicraft production establishments.

Hai Duong is focusing on attracting large enterprises and economic groups that can act as the locomotive to lead other businesses to participate in innovation and creativeness. The provincial People's Committee has issued many mechanisms and policies to develop supporting industries. On March 8, 2017, the committee issued Decision No. 754/QD-UBND approving the master plan on development of supporting industries in Hai Duong province to 2020, with a vision to 2030.

  • [Editor:zhaozihao]

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