VSIP Expands Vietnam - Singapore Cooperation With Five New Projects

The approval of five new projects in Hai Phong, Ha Nam, Nghe An, Hue, and Ho Chi Minh City not only brings VSIP closer to its goal of developing 30 industrial parks after 30 years of presence in Vietnam, but also demonstrates the enduring vitality of the Vietnam – Singapore cooperation model in a new stage of development focused on high technology, green growth, and sustainable development.

From A Cooperation Model To A Leading Industrial Park Brand

As a symbol of investment cooperation between Vietnam and Singapore, the Vietnam – Singapore Industrial Park Joint Venture (VSIP) has officially received five new Investment Registration Certificates for industrial park projects in Vietnam. This milestone brings the joint venture closer to its target of developing 30 VSIP projects to mark its 30th anniversary in Vietnam.

At the ceremony for the exchange and announcement of cooperation documents between ministries, sectors, and localities of Vietnam and Singapore, held during the State visit to Singapore by General Secretary and President To Lam, VSIP was granted investment certificates to develop five additional industrial parks nationwide, including projects in Hai Phong, Nghe An, Hue, Ha Nam, and Ho Chi Minh City.

Over the years, Vietnam – Singapore relations have continued to flourish, especially after the two countries upgraded their ties to a Comprehensive Strategic Partnership. Economic, trade, and investment cooperation remains the brightest highlight in bilateral relations.

Singapore is currently Vietnam’s second-largest foreign investor, with cumulative registered investment capital approaching USD 100 billion. Among these investments, the Vietnam – Singapore Industrial Parks are regarded as one of the most successful cooperation models, expected to reach the milestone of 30 VSIPs in 2026, coinciding with 30 years of operation in Vietnam.

The approval of five additional projects carries significance beyond simple expansion. Nearly 30 years after the first project in Binh Duong, VSIP has become one of the most successful industrial park brands in Vietnam.

The continued expansion of this network amid increasingly fierce competition for foreign investment demonstrates the confidence of Singaporean investors and international corporations in Vietnam’s investment environment.

At the same time, it reflects growing demand for next-generation industrial parks associated with high technology, green economy, digital transformation, and sustainable development – trends that are becoming central to Vietnam’s FDI attraction strategy.

According to Dr. Phan Huu Thang, former Director General of the Foreign Investment Agency under the Ministry of Finance, Singapore was among the earliest ASEAN countries to establish investment relations with Vietnam. From the early years of Vietnam’s economic opening, Singapore launched several major projects in Vietnam, with VSIP standing out as the most prominent.

“It can be said that VSIP is not merely an investment project, but has evolved into a systematically planned industrial park network featuring synchronized design and modern management methods. It represents one of the most significant milestones in economic cooperation between the two countries,” Dr. Phan Huu Thang commented.

“From the very beginning, Singapore was one of the pioneers in promoting direct investment cooperation with Vietnam. At that time, many Vietnamese delegations visited Singapore to learn from its experience in governance, economic development, and investment attraction. These exchanges led to numerous Vietnam – Singapore cooperation initiatives, laying a crucial foundation for bilateral economic relations.

What is remarkable is that the cooperation mechanisms between the two countries have been maintained consistently and regularly over a long period. Vietnam – Singapore cooperation forums and conferences have been organized frequently in both countries, strengthening investor confidence and building the solid foundation for today’s investment relations. Few countries have demonstrated such persistence as Singapore,” Dr. Phan Huu Thang added.

VSIP Helps Transform Vietnam’s Industrial Park Landscape

According to data from the Foreign Investment Agency under the Ministry of Finance, Singapore is currently Vietnam’s second-largest investor, with more than 4,500 valid projects and nearly USD 97 billion in registered capital. In the first four months of 2026 alone, Singapore ranked first in newly registered FDI in Vietnam, with USD 6.05 billion, accounting for 49.8% of total newly registered capital.

Singaporean projects span various sectors, including manufacturing and processing, infrastructure, logistics, real estate, finance, high technology, and modern services, contributing significantly to economic growth, job creation, and Vietnam’s economic restructuring.

Among these, the VSIP industrial park system stands out as a flagship success story of Vietnam–Singapore bilateral cooperation.

Since the establishment of Vietnam – Singapore Industrial Park 1 (VSIP 1) in Binh Duong in 1996, the VSIP network has expanded to numerous localities across the country. Today, VSIPs are operational in many provinces and cities, becoming important drivers of investment attraction.

VSIPs are not only effective economic cooperation models but also symbols of trust, long-term vision, and strategic partnership between the two nations. In this new development phase, VSIPs are moving toward greener, smarter, more technology-intensive, and more sustainable industrial park models.

According to Dr. Phan Huu Thang, when Vietnam first opened its doors to foreign investment, the industrial park system was still limited, lacking synchronization and modern management models. In that context, VSIP introduced a new approach with industrial parks that were systematically planned and synchronized in terms of infrastructure, environmental management, investment administration, and human resource development.

This model created favorable conditions for both state management agencies and investors. Manufacturing, investment, environmental protection, and labor training activities could all be organized within a more centralized and efficient management framework.

Following the success of VSIP in Binh Duong, the model expanded to many provinces nationwide. Today, the VSIP network is present in numerous localities from south to north, including Binh Duong, Bac Ninh, Hai Phong, Bac Giang, and others.

According to Dr. Phan Huu Thang, VSIP’s long-term investment commitment in Vietnam has not only contributed to local economic development and job creation but has also generated spillover effects on the development of industrial parks throughout the country.

Drawing from the early experiences of VSIP, Vietnam has now developed a network of more than 400 industrial parks. This model aligns well with current FDI attraction trends, as industrial parks today are not only centers for industrial production but are also increasingly oriented toward high technology, efficient land use, and improved environmental management.

VSIP Amid The Wave Of High-Tech FDI And Green Growth

In reality, the portfolio of newly approved projects indicates that VSIP is expanding in a more specialized direction tailored to each locality, with a strong focus on high technology and sustainable development. This reflects a shift in industrial park development models to meet increasingly stringent requirements from major export markets regarding ESG standards, Carbon Border Adjustment Mechanisms (CBAM), and net-zero emission commitments.

Among the projects, Tien Lang 2 Industrial Park (VSIP II Hai Phong) has been approved by Hai Phong City as an eco-industrial park focusing on clean industries, high technology, and low-pollution sectors while prioritizing the city’s key industries.

Meanwhile, the Ha Nam High-Tech Industrial Park (VSIP Ha Nam) aims to attract high-tech industries in artificial intelligence, electronics and semiconductors, biotechnology and pharmaceuticals, and advanced materials.

In the central region, the VSIP Hue Industrial Park project is developing a sustainable green and smart industrial park covering an area of 467 hectares.

Assessing the industrial park model, Dr. Phan Huu Thang emphasized that VSIP remains one of the most efficient and relatively advanced industrial park management models from which Vietnam can continue learning.

Over the past decade, Vietnam’s industrial park system has expanded rapidly, yet many lessons from VSIP remain highly valuable, ranging from planning and infrastructure development to operational organization and management.

Especially as green industrial parks, smart industrial parks, and sustainable development become dominant trends, the experience accumulated by VSIP over many years remains highly relevant for Vietnamese localities and industrial park developers.

According to experts, although Singapore is not a large country in terms of territory or population, it possesses strong governance experience, access to advanced technologies, and extensive international connectivity. It serves as a gateway for new trends, technologies, and advanced development models in Asia, particularly within ASEAN. These advantages have enabled Singapore to create significant added value in investment cooperation with Vietnam.

The approval of five additional VSIP projects demonstrates that the Vietnam – Singapore cooperation model continues to maintain strong momentum after nearly 30 years of development. Amid increasingly intense competition for investment attraction, the expansion of the VSIP network not only creates more room for local development but also reinforces Vietnam’s position in global supply chains and manufacturing networks, particularly in high technology, innovation, and sustainable development sectors.