A report on the implementation status of research projects on Free Trade Zones (FTZs) in Ho Chi Minh City indicates that the city currently has four FTZs: the Free Trade Zone linked to the Cai Mep Ha seaport area; Can Gio Free Trade Zone; Bau Bang Free Trade Zone; and An Binh Ward Free Trade Zone.
Among them, the Free Trade Zone linked to the Cai Mep Ha seaport area, located in Tan Phuoc and Tan Hai wards (formerly part of Ba Ria - Vung Tau province), was approved under Decision No. 1629/QD-TTg dated December 16, 2024, by the Prime Minister. It is included in the Ba Ria - Vung Tau provincial planning for the period 2021-2030 with a vision toward 2050.
The project covers a total area of 3,764 hectares, divided into three functional zones: a transportation hub (including seaports, inland waterway ports, and railway stations) covering more than 1,735 hectares; a logistics warehouse and industrial zone covering more than 1,178 hectares; and a high-tech industrial, urban, and service zone covering over 850 hectares.
Regarding progress, the City’s Department of Industry and Trade stated that on June 12, the Ministry of Finance sent official correspondence to relevant ministries, agencies, and localities to solicit feedback on the research project. On July 8, the Ministry of Industry and Trade also issued a feedback document.
The Can Gio Free Trade Zone is planned to have a scale of 1,000 to 2,000 hectares, linked with the Can Gio International Transshipment Port and Ganh Rai Bay. This project is still under research, and the Department of Industry and Trade is advising the Ho Chi Minh City People’s Committee on consolidating the research team.
In the former Binh Duong area, the Bau Bang Free Trade Zone covers about 100 hectares, situated along the Ho Chi Minh City - Loc Ninh railway line (from An Binh station to Bau Bang station, length 53.63 km) to connect this area with Binh Duong’s old provincial goods centers to the Cai Mep - Thi Vai deep-water port complex and Moc Bai Border Gate (Tay Ninh).
Additionally, there is the An Binh Ward Free Trade Zone with a total area of approximately 100 hectares, linked to An Binh railway station (formerly Di An City), located on the same Ho Chi Minh City - Loc Ninh railway line, serving similar connectivity as the Bau Bang project.
However, the Bau Bang and An Binh Ward Free Trade Zones cannot be implemented yet due to the Bau Bang international railway line still being under research.
The Ho Chi Minh City Department of Industry and Trade notes that the FTZ projects have many advantages thanks to the close attention, support, and directives from authorities at all levels, from central to local.
At the same time, the research process has attracted interest from many domestic and foreign investors. So far, major corporations such as DP World, Vingroup, and the Geleximco consortium have expressed their desire to participate.
Nevertheless, according to the Department of Industry and Trade, the legal framework for free trade zones remains incomplete and lacks specific policies. The development of dedicated policies is challenging due to current regulations not adequately covering tax exemptions, investment incentives, land issues, or these aspects have not yet been regulated.
Moreover, the economic scale and administrative boundaries of Ho Chi Minh City have changed following the provincial merger policy. Therefore, the department suggests conducting surveys and reassessing the logistics sector and regional supply chain development, based on the strengths of three key areas: Binh Duong with industry; Ba Ria - Vung Tau with marine economy and logistics services; and Ho Chi Minh City with international finance.
Additionally, the Department of Industry and Trade recommends the Ho Chi Minh City People’s Committee propose the Government approve the FTZ project and develop a development strategy for the 2021-2030 period, viewing it as a crucial policy tool to drive growth.
They also recommend the Government direct ministries and agencies to collaborate on building open, flexible, and diverse preferential policies to attract investment and facilitate business operations.
The Department also urges the Ho Chi Minh City National Assembly delegation to consider the FTZ establishment policies during the revision of Resolution 98.
Source: vneconomy.vn
