CONTENT OF PRESENTATION

Ha Noi
-Capital - Hanoi
-Commercial hub – HCM
-Coast line – 1,650km
-Area 330,000 sq. km
- Population 85 million
-Active Workforce –
41million
- GDP Growth
8.5% ( 2007)
- GDP growth of
9% (2008 target)

Ho Chi Minh City

Flying time:
•HCM to Korea 5h10mins
•HCM to Tokyo 5h35mins
•HCM to LA 17h

VSIP – Maintaining Leadership in Vietnam

• Stable Socio-Political Environment
• WTO membership • Attractive Tax Incentives

• Good Potential Market of >85m people

• Competitive Labour Cost
• Safe Business Environment
 Us$b
2007 8.50% 25
Singapore 97.3
20.3
2006 7.17%
20 Hong Kong 86.7

2005 8.40% Vietnam 86.7

15
2004 7.70% China 83.5
10.2
10
2003 7.24% South Korea 79.4
6.1

2002 7.04% Taiwan 77.5

5 4.2
3.1
1.97 2.2 2.07
Thailand 59.8
2001 6.80%
0
2000 2001 2002 2003 2004 2005 2006 2007
0 20 40 60 80 100

1997 : Member of ASEAN 1998 : Member of APEC 2001 : Vietnam-US Bilateral Trade Agreement
2006 : Full realization of AFTA 2006 : 150th member of WTO

VSIP – Maintaining Leadership in Vietnam

 Loaded Semi-Skilled operator Wages
•Over 85m people Shanghai 317
•60% of population below 30yrs of age
Guangzhou 290
•Productive & diligent workforce
New Delhi 246
•13th most populations country in the
world KL 221

Jakarta 178
•Growing middle class
Bangkok 164
•Hidden purchasing
power Batam 143

Qingdao 111

Binh Duong 85

0 Us$ 50 100 150 200 250 300 350

VSIP – Maintaining Leadership in Vietnam

 Rising consumerism
Car:
• 100,000 cars be sold in 2007
• Car import-turn over reached US$1
billion in 2007
• Where to park?

Phone:
• 46million telephone subscribers in 2007, (in there
74% for mobile subscriber)
• Vietnamese spent nearly US$1 billion for buying
mobile phone in 2007

Television:
• 1,5 millions TV be consumed in 2006-2007

VSIP – Maintaining Leadership in Vietnam

• Global Economic Environment
• Socio-economic changes
• More competitors
• Gold prices hit record highs

• Oil prices hit record highs

• US economic slowdown

- Sub-prime mortgage crisis

- Interest rate

VSIP – Maintaining Leadership in Vietnam

13
12
11 Inflation
10
9
8
7
6
5
4
3
2
1
0
-1
-2 2001 2002 2003 2004 2005 2006 2007
-3
2001 2002 2003 2004 2005 2006 2007

-0.2% 2.9% 3.0% 9.5% 8.4% 6.6% 12.6%

• Rising property price, compensation and site resettlement

• Infrastructure problems: roads, seaports, airports, etc
• Construction cost up (20%-30%)
• Increasing rich-poor gap
• Inflation & appreciation of the dong vs US$

VSIP – Maintaining Leadership in Vietnam

VSIP – Maintaining Leadership in Vietnam
 Investment in the 500ha IP in Binh Duong Province requires 100 million USD

400 million USD project for

108ha hi-tech industries at
Binh Duong province

MoU for US$200-million

commercial, service center
(4,22ha) in HCM City signed

405 herctares in Long Bien District’s Sai

Dong A, Hanoi City into a commercial,
industrial and residential complex with
an estimated capital of $2.5 billion
Signed a MOU with Dong Nai provincial
authority to undertake a feasibility study for
the development of 600 ha with expected
capital of $2.6 billion in Nhon Trach City.
VSIP – Maintaining Leadership in Vietnam
•A convention centre
•A commercial facilities
•A five-star hotel
•And residential units as well as
parks
•Area of 327ha to be built at a
cost of US$2b around Yen So
Lake in Hanoi

US$35 million Villa Riviera project in HCM City

213 million USD to build 200

villas on 13 ha and almost 200
apartments on 6.9 ha in Ho
Chi Minh City ’s District 9.

Daewon Cantavil

US$250 million into Da Phuoc International

New Town (210ha) in Da Nang City

VSIP – Maintaining Leadership in Vietnam

•Kinh Bac starts 2nd phase of Que Vo
•Ha Tay starts new township

Will have more local IPs

VSIP – Maintaining Leadership in Vietnam

VSIP – WHAT ARE WE DOING TO
MAINTAIN LEADERSHIP AND
OUTBEAT OUR COMPETITORS???
 VSIP I - 1996
VSIP II - 2005
VSIP Bac Ninh - 2007

VSIP II Expansion - 2008

VSIP Hai Phong - 2008

VSIP ???

VSIP ???
 VSIP – Maintaining Leadership in Vietnam

VSIP Bac Ninh VSIP Haiphong

(Vietnam North) (Vietnam North)
700 Ha Integrated Township and 1,700 Ha Integrated Township and
Industrial Park (launched in 2007) Industrial Park (MOU in Aug 2007)
Ha
Noi

VSIP

VSIPs Bin h Duong (Vie tnam S outh)

VSIP I : 500 Ha (launched in 1996)
VSIP II: 345 Ha (launched in 2005)
VSIP II expansion : 1000 Ha (launched in 2007)

HC
M
City
 VSIP – Maintaining Leadership in Vietnam

• 500 Ha development
• Year: 1996
• Binh Duong Province
• 20km from HCMC
• 99% take-up rate
• Total 238 projects
• 1st sewage treatment plant be built at IP
• 1st IP with its own technical center - VSTS
 VSIP – Maintaining Leadership in Vietnam

• 345 Ha development
• Year: 2005
• Within Binh Duong New Township
• 35km from HCMC
• 95% take-up rate
• Total 114 projects
VSIP – Maintaining Leadership in Vietnam

• 1,000 Ha
development
• Year: 2008
• Within Binh
Duong New
Township
• 35km from
HCMC
• Total 14 projects
• Industrial &
commercial land
 VSIP – Maintaining Leadership in Vietnam

• 700 Ha Integrated
Township and
Industrial Park
• Year: 2007 500 ha for Industrial
• 20km from Ha Noi
• To Noi Bai Airport -
40 km
• To Hai Phong Port
- 120 km
• To Cai Lan Port -
130 km
• Total … projects
200 ha for Residential &Commercial
Master Plan of Bac Ninh (700ha)
 VSIP – Maintaining Leadership in Vietnam

VSIP Bac Ninh - Integrated Township, New Lifestyle for people

 VSIP – Maintaining Leadership in Vietnam

• 1700 Ha Integrated Township

and Industrial Park
• Year: 2008
• 102 km (2 hrs) from Ha Noi
(via Highway 5).New Highway
to be built reducing traveling
time to 1 hour
 VSIP – Maintaining Leadership in Vietnam

VSIP HAI PHONG

Biggest Township in the North, New lifestyle for people
 VSIP – Maintaining Leadership in Vietnam

• SOCIAL INTEGRATION PROGRAM

- Scholarship
- Building homes for the poor
- School project

• BRAND LEADERSHIP
- Awards
VSIP – Maintaining Leadership in Vietnam
VSIP – Maintaining Leadership in Vietnam
 VSIP – Maintaining Leadership in Vietnam

INVESTMENT FUNDS have $$$$ to invest

• VinaCapital Infrastructure Funds raises US$500 million
• Indochina Funds set up Infrastructure funds

Tan Tao Industrial Park listed in the stock exchange

Amata Industrial Park announces it wants to list in Vietnam stock exchange

 VSIP – Maintaining Leadership in Vietnam

Picture of VSIP staffs