CHU LAI OPEN ECONOMIC ZONE EXPANDED

PM Nguyen Xuan Phuc praised Thaco-Chu Lai for converting Quang Nam with four “Nos” – No infrastructure, No labor force, No investor, and No market, into a vast added value area, contributing VND 70 trillion to the local budget.

The Government chief made the point on December 16 while attending a ceremony to announce the expansion of the Chu Lai Open Economic Zone and the 15th anniversary of the Truong Hai Auto Corporation (Thaco).

The event drew the attendance of former State President Truong Tan Sang, Chairman of the Party Central Committee's Commission for Economic Affairs Nguyen Van Binh, Vice State President Dang Thi Ngoc Thinh, and other ministerial and local leaders.

This area used to be a white sand and arid land with four “Nos” – No infrastructure, No labour force, No investor, and No market – 15 years ago; but now it has grown into a major economic zone hosting over 100 industrial projects.  

The PM attributed the major part of the economic zone’s success to the Truong Hai Auto Corporation (Thaco), which  pioneered in investing in the zone.

Thaco was the first Vietnamese firm to develop a mechanical automobile industrial complex in the zone. The company now has more than 30 facilities and is a great example for effective cooperation between domestic and foreign enterprises.

By expanding the Chu Lai Open Economic Zone, the government aims to turn it into a national hub for support industries for automobile, petro-chemistry, textiles-garment, and hi-tech.

The Government chief tasked ministries and state agencies to take drastic and comprehensive steps to support investors, encourage innovation and improve national competitiveness in the economic zone.  

At the event, the Ministry of Construction announced the PM decision approving the newly-adjusted planning of the Chu Lai Open Economic Zone towards 2035, with a vision to 2050.

The economic zone will be expanded to more than 27,000 hectares. It will have three duty-free zones, covering a total area of over 1,000 hectares, including a 225-hectare zone located at Chu Lai Airport. It is expected to house 250,000 people by 2025 and 550,000 by 2035. The Chu Lai Open Economic Zone attracted 23 projects in 2017, of which three were foreign investment projects worth US$16 million.

Total investment of US$1.4 billion was made during the year, 13.5 times as much as the year before.

Since 2003, the zone has lured 138 projects with a total registered investment capital of US$3.68 billion. Among those were 34 FDI projects worth US$1 billion.

Source: VGP