VSIP: Symbol of Vietnam-Singapore Partnership

VSIP Group has achieved remarkable results in 27 years of development (1996-2023), contributing significantly to the economic growth and social welfare of Vietnam in general and the localities where VSIP operates in particular. Moreover, VSIP’s development has become a symbol of the strategic partnership between Vietnam and Singapore.

Vietnam-Singapore Industrial Park (VSIP) is a leading developer of integrated townships and industrial parks that offer a variety of urban and social amenities, resettlement areas and green spaces

Vietnam's industrial development model

VSIP Group is a joint venture between Sembcorp Group (Singapore) and Becamex IDC Corporation (Binh Duong, Vietnam), established in 1996 following a landmark agreement between the Prime Ministers of Vietnam and Singapore, marking a new era of economic collaboration between the two countries.

Starting from the first VSIP-branded industrial park (IP) with an area of 500ha in Thuan An city - Binh Duong province, VSIP Group has evolved into one of the leading industrial park developers with 14 projects across various provinces of Vietnam such as Binh Duong, Nghe An, Hai Phong, Bac Ninh, and Quang Ngai, attracting more than US$18.7 billion of FDI. VSIP’s strategy of continuous development and expansion in different provinces and cities has strongly supported the industrial and service sectors as well as the socio-economic development in the local areas, enhancing the development of the regional and national economy.

In addition to promoting the transformation process and increasing the economic value from the contributions of FDI enterprises, VSIP also creates positive impacts for society, improves the living standards of local people, and provides jobs for more than 295,000 workers in the industrial parks, ensuring social security in the provinces and cities where VSIP operates. Ecosystems associated with the industrial parks such as urban areas, residential areas, schools, hospitals, commercial centers have grown along with the development of the industrial parks and the urban model integrated with the VSIP brand has helped to complete trade, services and social facilities for people in the area. Besides the utilities and ecosystems related to the industrial parks, VSIP always ensures that business activities comply with the regulations and laws of government, cooperate closely with local authorities and industrial parks managers to maintain security and order in the industrial parks and social security, helping workers and people feel safe to live and work.

VSIP also creates positive impacts on society, improves the living standards of local people, and provides jobs for more than 295,000 workers in the industrial parks, ensuring social security in the provinces and cities where VSIP operates

Moving toward replicating VSIP model of integrated smart and green IPs

At the end of last March in Binh Duong province, VSIP signed a Memorandum of Understanding on cooperation with nine provinces and cities (Binh Phuoc, Tay Ninh, Binh Thuan, Khanh Hoa, Thua Thien Hue, Ha Tinh, Thai Binh, Nam Dinh) to develop and replicate the smart industrial park model. The signing ceremony is a continuation of the cooperation agreement between Becamex IDC Corporation and Sembcorp Corporation announced on February 10, 2023, during the official visit to Singapore of Prime Minister Pham Minh Chinh.

According to the agreement, VSIP Group and nine provinces and cities will conduct feasibility studies for the development of industrial parks, urban centers and services in order to best match the development orientation that VSIP aims for. The feasible projects will sign cooperation agreements and be granted investment registration certificates from the Government. The VSIP representative said that the strategic “handshake” between VSIP and the nine provinces and cities aimed at enhancing the socio-economic development of these localities through production of high-value products, job creation and new urban areas development, thereby contributing to support and improve the quality of life for the community. Along with the orientation of green and sustainable development, VSIP also focuses on innovation, especially in the field of renewable energy such as rooftop solar energy. Projects such as Innovation Center, Technology 4.0, Renewable Energy Center are also gradually being put into operation. These hubs will play an important role in the industrial production ecosystem, training the future-ready workforce and driving transformation (including digital transformation and clean energy transition), develop local programs and accompany businesses in the process of industrial transformation 4.0.

VSIP Group will continue to research and develop more industrial parks in other provinces and cities across the country in association with building a standard operating environment, a complete and synchronous service system in all industrial parks, contributing to building a modern and professional image of Vietnam that always open the door to international cooperation in the future. This is a solid foundation for VSIP Group to continue supporting Vietnam’s economic growth and ensuring social security. At the same time, it is also a clear and profound demonstration of the strength of the Vietnam-Singapore cooperation in the coming time.

By Thanh Tung, Vietnam Business Forum