Vietnam’s first free trade zone will be established in Da Nang under a proposal from the draft resolution on several special mechanisms and policies for the central city.

The draft resolution was presented by Minister of Planning and Investment Nguyen Chi Dung at the ongoing seventh sitting of the 15th National Assembly on May 31.

The document contains 30 policies designed specifically for Da Nang, covering investment management, finance -state budget, attraction of strategic investors, establishment of a free trade area, semiconductor and AI, communications, science and technology management, innovation, and wage and income.  

Having researched successful free trade zone models in the EU, China, Singapore, and South Korea and selectively approached preferential policies from established economic models, the draft resolution proposes the Da Nang free trade zone include three functional areas covering production, port logistics, and trade-services, according to Mr. Dung.

The development of the free trade zone is aimed at creating new growth driver, helping to accelerate the city’s socio-economic development and promote its role as a locomotive driving the economic growth of the north-central and central coastal regions, he said.

Free trade zone is a popular economic model that exists in over 150 countries and territories, according to Mr. Dung.