A boost for industrial land.

Ho Chi Minh City will have more space for industrial development after the administrative boundary reorganization.

In the context of increasingly fierce global competition, removing land-related bottlenecks for small and medium-sized enterprises (SMEs) is not just about support, but about creating new momentum for the national economy. If the Politburo 's Resolution 68 on the development of the private economy is legalized and seriously implemented, it could become a strategic turning point, opening a new development cycle for millions of Vietnamese businesses.

We need more space.

Resolution 68 sets a target that by 2030, Vietnam will have 2 million businesses, with at least 20 large enterprises participating in global value chains. To realize this goal, a series of policies have been put forward to remove institutional barriers and promote comprehensive business development.

One of the groundbreaking aspects of the resolution is the requirement for localities to allocate at least 5% of land in industrial zones/clusters to small businesses, innovative startups, and high-tech enterprises. This is accompanied by a preferential policy offering a 30% reduction in land rent for five years. This is a crucial opportunity for small businesses to develop, expand, and enhance their competitiveness in an increasingly demanding market.

Ho Chi Minh City's industrial land reserves will expand after the merger with Binh Duong , the industrial hub of the entire Southeast region. Photo: Nguyen Thao

Despite the clear spirit of the resolution, the implementation process is facing many challenges. For example, at Hiep Phuoc Industrial Park, Nha Be District, Ho Chi Minh City, the pilot model of allocating 80 hectares of land, divided into small plots of 750-2,000 m2 for small businesses, was once met with great expectations.

However, the reality is unfavorable; the application of general building standards such as setbacks, green spaces, and distances significantly reduces the usable area within small plots, driving up investment costs per square meter. The implementation process has encountered difficulties, making it unfavorable for further development of this model.

According to Mr. Nguyen Quoc Anh, Chairman of the Ho Chi Minh City Rubber and Plastics Association, clean land for industrial production is a matter of survival, as many businesses are forced to relocate their factories out of residential areas in the inner city, but industrial land is always scarce and expensive.

"For small businesses, clean land is not just about where to locate a factory, but also about securing a place in the production value chain. Without stable land, long-term investment is impossible, and it's even harder to improve productivity and competitiveness," Mr. Quoc Anh expressed.

Mr. Nguyen Quoc Anh argued that it is necessary to quickly translate the contents of the resolution into legal documents, ensuring synchronized and fair implementation, and avoiding the situation where "the top is enthusiastic, but the bottom is indifferent".

In the textile and garment sector, Mr. Pham Xuan Hong, Chairman of the Ho Chi Minh City Textile, Garment and Embroidery Association, believes that along with land policies, the policy of reducing land rent by 30% for the first five years is of significant importance to businesses. This is a positive signal, helping businesses shift production to the suburbs, save costs, and better comply with environmental and construction standards.

Accelerate the transformation of industrial parks.

Mr. Tran Viet Ha, Deputy Head of the Ho Chi Minh City Export Processing Zones and Industrial Parks Management Board (HEPZA), said that small businesses can lease land, but if the actual usable area is small, they cannot invest effectively. "There needs to be separate standards for small land plots, tailored to practical needs," Mr. Ha suggested.

According to Mr. Ha, to support businesses, in recent years, Ho Chi Minh City has shifted towards a more flexible model, such as: pre-built factory buildings, divided into small units with complete infrastructure, fire protection, drainage, and electricity supply. Businesses only need to rent and complete environmental permits to put machinery into operation within a few weeks. With this model, businesses reduce initial investment costs and legal procedures. This is exactly what small and medium-sized enterprises need," Mr. Ha informed.

According to HEPZA, to encourage small and medium-sized enterprises (SMEs) to participate more deeply in industrial production, the state needs to issue separate construction standards for small-scale land plots, and at the same time have appropriate financial policies for infrastructure investors - similar to the current support for social housing.

Notably, HEPZA affirms that there is no distinction between large and small investors, or between domestic and foreign capital. Statistics for the first six months of 2025 show that domestic investment, largely from private enterprises, accounts for a larger proportion than foreign investment. This is a positive sign indicating that the private sector is strongly emerging if given the right conditions.

At the 5th Congress of the Hepza Party Committee for the 2025-2030 term, held on June 22nd, Mr. Le Van Thinh, Head of the HEPZA Management Board, stated that the arrangement of Ba Ria - Vung Tau province, Binh Duong province, and Ho Chi Minh City will form a new megacity called Ho Chi Minh City with many socio -economic indicators that are superior to each individual locality.

Therefore, in the period 2025 - 2030, HEPZA aims to attract investment of 20 - 21 billion USD; the average investment attracted will be from 8 million USD/ha to 10 million USD/ha; and 70% of the total registered investment capital will be disbursed according to schedule.

Simultaneously, the plan includes zoning 13,000 to 13,300 hectares of land for industrial parks and enterprises; 6,500 to 6,800 hectares of land for industrial parks and enterprises eligible for lease; developing 4-5 industrial parks into eco-enterprises; and completing and implementing a pilot project to transform 5-6 industrial parks and enterprises.

"The effective implementation of the Central Committee's breakthrough resolutions will create momentum to strongly unleash resources, promote growth, restructure and transform the models of export processing zones and enterprises towards innovation, high technology, circular economy, green technology and digital technology; attract investment in large-scale projects with high added value and spillover effects."

"In particular, we need to expand the development space for businesses, establish new high-tech enterprises, build modern infrastructure, and connect them with integrated industrial urban areas with full social amenities, creating a living and working environment that meets international standards to attract international experts and high-quality domestic human resources..." - Mr. Thinh shared.

Removing legal obstacles

According to the 2021-2030 planning, HEPZA has added Pham Van Hai Industrial Park I & II (668 ha) and proposed an additional 2,000 ha of cleared land, mostly allocated to domestic investors, especially small and medium-sized enterprises. In addition, approximately 200-300 ha of land within existing industrial parks is also undergoing legal procedures to expedite its development.

Ho Chi Minh City is also shifting its planning towards new-generation businesses, focusing on eco-friendly, high-tech, and resource-efficient models to meet the needs of investors in the new era.

Source: https://nld.com.vn/cu-hich-cho-dat-cong-nghiep-196250625212245103.htm