Many foreign companies move factories to Vietnam: Savills

Many companies are moving their factories from other countries to Vietnam, showing the potential for strong development of industrial real estate, according to Vietnam's real estate agency Savills.

Savills Vietnam made the statement at a recent conference in Ho Chi Minh City to release its white paper on Vietnam's industrial real estate in the first half of this year. They included many factories from China operating mainly in electronics, textiles, footwear and spare parts production, such as Hanwha, Foxcom, Lenovo, Nintendo, and Sharp, according to the report.

John Campbell, Senior Consultant, Savills Vietnam Industrial Services said although occupancy in key provinces grew year on year, available land coupled with an array of upcoming projects has seen foreign companies significantly increasing investment in Vietnam. He said manufacturers are showing interest in the central region while developers are actively converting agricultural land to industrial usage, guaranteeing additional supply.

In the first quarter of this year, about 320 industrial zones were established in Vietnam, with a total area of 95,000 ha.

Source: VOV5