Hung Yen to establish $18 bln free economic zone

The Executive Board of the Hung Yen Provincial Party Committee in northern Vietnam has officially approved a proposal to establish a Free Economic Zone (FEZ) spanning over 30,000 ha, according to a report from Radio the Voice of Vietnam.

According to the proposal submitted by the Provincial People’s Committee, the FEZ will initially encompass 30,583 ha. The plan includes a westward expansion of 13,000 ha and an ambitious eastward land reclamation project covering roughly 17,000 ha. The zone will be divided into three main functional development regions.

The FEZ is envisioned as a strategic hub for research and development (R&D), high-tech applications, new energy, and comprehensive logistics services—including seaports, airport infrastructure, and resort townships. By creating an economic space that transcends traditional boundaries, Hung Yen aims to attract global giants within the international supply chain.

Vice Chairman of the Hung Yen People’s Committee, Mr. Le Quang Hoa, stated that the province has proposed 12 groups of 31 specific mechanisms and policies to entice investors. This framework includes 18 of the most effective policies currently applied in Vietnam and 13 "breakthrough" policies designed to meet international standards.

The policy design is built upon four core principles: moving away from traditional tax and fee incentives; prioritizing an attractive and efficient business environment; ensuring international competitiveness; and placing investor needs and the removal of administrative barriers at the center in the policy-making process.

The total investment for the project between 2025 and 2050 is estimated at $18 billion.

Mr. Nguyen Huu Nghia, Secretary of the Provincial Party Committee, emphasized that the FEZ will serve as the primary engine for Hung Yen's rapid and sustainable growth. He noted that the project is expected to trigger a breakthrough in economic growth, productivity, and high-quality investment. Ultimately, the FEZ is intended to be the foundation for Hung Yen to become a modern industrial province, a maritime economic center, and a regional energy hub.