South-South Cooperation In Vietnam: A Great Success Story

Danang Industrial Park
Established in 1993, Danang Industrial Park is developed and managed by MASSDA Land Company Limited and co-owned by Malaysian company MASSCORP-Vietnam Sdn Bhd (65%) and the Danang Investment and Development Fund (35%), a Vietnamese state financial organisation established to develop and invest in the socio-economic infrastructure of the city.

The first world-class industrial park in Danang City, the park is one of six industrial parks in the city and plays an important role in supporting industries, investments and exports in the Central Region of Vietnam. Zoned for light industrial business, the park is situated about 7km from Tien Sa sea port and the International Airport, and 2km from the Danang Central Business District. The 42 enterprises currently operating here provide employment for more than 12,000 people.

Why Danang?
Vietnam has been identified as one of the developing countries having significant potential for trade and business relations with Malaysia. Danang was selected as the site for MASSDA’s first world-class industrial park investment in Vietnam based on the anticipated increasing importance of Danang to the economy of the Central Region. As the third largest city in Vietnam, Danang presents considerable local market opportunities, in addition to being a gateway to Myanmar, Laos, Cambodia, Southern China and Northeast Thailand.

A broad range of industries and opportunities
Danang Industrial Park hosts a diverse range of industries and businesses. Currently at 100% occupancy, business categories represented in the park include safety gloves, candles, garments and apparel, shoes, ceramic tiles, bathroom ware and ICT products. Service organisations such as logistics companies and bank operations are also residents of the park.

Ongoing development in infrastructure and utilities
Since the establishment of Danang Industrial Park, the city of Danang and the Central Region have experienced unprecedented growth and positive change. Within the park alone, many considerable developments have been made. Even during the early stages, Danang Industrial Park has had its own water and waste water treatment facility to meet the operating needs of businesses in the park. Since 2001, the park has had direct access to the 500kV national grid power supply, which provides a stable environment to ensure business continuity for park residents.

From a small Central Region city, Danang has grown by leaps and bounds to achieve strong economic growth and performance in the business, investment and resident environment. It has embraced a forward thinking approach to infrastructure development in an effort to create a green, safe and economically strong city to support a healthy lifestyle for its residents as well as a dynamic business environment.

This can be seen in the improvements to the transport and logistics infrastructure with increases in scheduled international flights to Danang airport, advancements in local distribution networks, as well as enhanced road access for a range of new markets and resources throughout the East West Economic Corridor.

Evolving to meet changing market needs
In 2008, MASSDA Land Company Limited was further licensed to develop a residential development called Fortune Park at Son Tra within the Danang Industrial Park development. Fortune Park is a seven-hectare gated community featuring contemporary designs by Malaysian architects and consultants. This development will diversify the core business of MASSDA and aims to address the growing market for lifestyle residences which are in close proximity to the strong and developing business infrastructure of Danang City.

Danang Industrial Park is the first industrial park in Vietnam to receive approval to convert some of their land from industrial to residential premises, offering a unique business and living environment in Danang. Buyer interest and sales indicators for Fortune Park at Son Tra have been strong to date, with almost 100% of sales going to Vietnamese nationals, especially local Danang residents.

Growing with Danang
Since its arrival on the business and investment scene in Danang, Danang Industrial Park has progressed along with the city. The high occupancy of the park, diversity of industries and stable infrastructure reflect developments in the broader Danang marketplace, and will continue to bring about many more opportunities for business, investment and long-term community development.