Lung Cu Flag Pole atop Ha Giang's highest peak (photo by Dương Ngọc Đức)
Following the administrative merger, as outlined in Resolution No. 202/2025/QH15, passed by the Vietnamese National Assembly on June 12, 2025, the new province encompasses:
- Total area: approximately 13,795.50 km².
- Population: around 1,865,270 million people.
- Bordering provinces: Cao Bang, Thai Nguyen, Phu Tho, Lao Cai, and China (Yunnan Province).
The province is strategically located in Vietnam's northern midland and mountainous region, approximately 165 km from Hanoi, connected via major transportation routes:
- National Highway 2 runs north-south through the province, facilitating trade from Hanoi to the China border.
- National Highway 37 connects the province to key industrial areas in Thai Nguyen and Lao Cai (a new province merged with the Yen Bai province).
- A dense river network includes the Lo, Gam, and Pho Day rivers, supporting logistics and irrigation.
Key Industrial Parks Across the Province
The province now hosts three major industrial parks, each offering unique advantages for manufacturing, processing, and export-focused investment:
1. Long Binh An Industrial Park (Tuyen Quang City)
- Size: approximately 100 hectares.
- Targeted sectors: food processing, mechanical manufacturing, construction materials.
- Utilities: full infrastructure including electricity, water supply, wastewater treatment, and telecom services.
- Occupancy rate: over 85%
2. Son Nam Industrial Park (Son Duong District)
- Size: approximately 150 hectares.
- Targeted sectors: clean industries, wood processing, agricultural product processing.
- Located close to the Tuyen Quang–Phu Tho expressway, with convenient logistics to seaports and Hanoi.
- Occupancy rate: rapidly increasing due to recent infrastructure upgrades.
3. Binh Vang Industrial Park (Vi Xuyen District, formerly of Ha Giang)
- Size: approximately 254.77 hectares (Phase I: 142 ha, ~84.4% occupancy).
- Targeted sectors: mineral processing, wood-based materials, building materials, agriculture-based production.
- Investment to date: 25 projects totaling over VND 3,653 billion (~USD 143.7 million).
- Employment: thousands of local jobs created.
- Infrastructure: 35kV power lines, 110kV substations, clean water capacity of 10,000 m³/day, wastewater capacity of 6,000 m³/day.
A Hydropower Reservoir in Tuyen Quang (photo by Anh Thu)
Investment Incentives and Support Policies
The province offers generous government-backed incentives to boost foreign and domestic investment:
1. Land Lease Exemptions
- Up to 3 years rent-free during the construction phase.
- 11 years rent-free for priority sectors.
- 7 years rent-free for other eligible investments.
2. Import Duty Exemptions.
- 100% exemption on machinery, equipment, and materials for fixed asset formation (including expansion projects).
- Exemption on input materials, components, and fuel for production
3. Corporate Income Tax (CIT) Incentives
- Priority sectors:
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- 10% tax rate for 15 years.
- 4-year CIT exemption, followed by a 50% reduction for the next 9 years.
- Other investments:
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- 17% tax rate for 10 years.
- 2-year CIT exemption, then 50% reduction for 4 years.
4. Workforce Training Support
- Up to VND 2 million (~USD 78) per local worker trained.
- Eligibility conditions for regulatory support:
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- Local labor must be employed.
- Training must be organized and aligned with the project's production needs.
5. Infrastructure Support
- Government investment in external infrastructure: roads, electricity, water.
- Budget allocations may support internal infrastructure inside the industrial parks (roads, drainage, wastewater systems).
Why Invest in the Newly Merged Province?
- Large and diverse labor force, many skilled in agro-forestry, mining, and light industry.
- Strategic proximity to China and Northern Vietnam’s key economic corridors.
- Three operational industrial parks with full infrastructure ready for investors.
- Streamlined administrative procedures and transparent local governance.
- Comprehensive incentive packages for both FDI and domestic investment.
Conclusion
The newly merged province (the name “Tuyen Quang” has been retained after the merger) presents a golden opportunity for industrial development in Northern Vietnam. With enhanced capacity, a diversified economy, and forward-looking leadership, the province is poised to become a central industrial hub in the region. Investors are encouraged to explore opportunities in its fast-developing industrial zones and benefit from favorable policies and a business-friendly environment.
Nguyen Thanh Hieu
