A strong driving force for rural industrial production

The province of Hung Yen is currently home to around 17,000 rural industrial production establishments, over 100 traditional craft villages and craft villages, providing employment for more than 60,000 rural workers. In recent years, the province has proactively reviewed its current status and development needs to propose and implement effective solutions to support enterprises and production facilities in addressing existing challenges.

Production at Halo Mold Tech Co., Ltd. (Yen My district, Hung Yen district). Photo: Halo Mold Tech

According to Vu Quang Thang, Director of the Hung Yen Department of Industry and Trade, the province has implemented various programs and initiatives under its industrial promotion policy. These efforts have provided support to hundreds of enterprises producing key goods in value chain linkage with farmers in the processing of agricultural, forestry, and aquatic products. The support has helped them to upgrade technologies, apply scientific and technical advances, improve product quality to meet technical standards, build brands, gain credibility, and expand markets both domestically and internationally.

One exemplary case is Vy Dung Trading and Production Co., Ltd. in Kim Dong District. Previously, the company relied on outdated machinery. With support from the Hung Yen Center for Industrial Promotion and Trade Promotion, the company was able to purchase new equipment, renovate its production system, and significantly improve efficiency and product precision.

“We hope that authorities at all levels in Hung Yen will continue to provide greater support for mechanical enterprises like ours so that we can grow stronger, create more jobs for local people, and expand our reach and integration,” said Tran Van Vy, Director of Vy Dung Trading and Production Co., Ltd.

Other examples of effective support include Viet Bach Food Co., Ltd. in An Thi District, which received funding to install two spiral mixers and an automatic packaging machine for food processing; Halo Mold Tech Co., Ltd. in Yen My District, supported to acquire a Hankook EDM CNC drilling machine for mechanical processing; and Minh Tien Agricultural Cooperative in Phu Cu District, which received support to apply a drying cabinet for longan processing. After being put into operation, the new machinery and equipment helped the businesses and cooperatives improve both productivity and product quality.

Priority allocation of financial resources

To ensure industrial promotion serves as a strong driver of rural industrial development, Hung Yen has consistently allocated substantial resources to this effort in recent years. Annually, the province sets aside approximately VND 4 billion to support activities under the Industrial Promotion Program for the 2021–2025 period.

This funding has helped many rural industrial establishments invest in expanding production scale, upgrading technology, and applying scientific advances to improve productivity, product quality, and competitiveness. Additionally, the funding has enhanced management capacity and encouraged businesses to actively engage in international economic integration, while also contributed to strengthening rural infrastructure and promoting rural development and industrialization.

In 2025, the Hung Yen Provincial People’s Council issued Resolution No. 553/2025/NQ-HDND dated February 18, 2025, on the spending norms for industrial promotion activities in the province.

Regarding support for the application of advanced machinery in production, the province allocates funding for model forums to disseminate new technologies and new product development. The support level is capped at 30% of the total cost, but not exceeding VND 1 billion per model.

Support for high-performing rural industrial establishments that serve as good examples for replication is capped at VND 100 million per model.

Funding for pilot models applying cleaner production methods in industrial activities is capped at 30% of the total cost, with a maximum of VND 500 million per model.

Support for the application of advanced machinery and equipment, technology transfer, and application of scientific and technological advances in industrial and handicraft production is capped at 50% of the total cost, but not exceeding VND 300 million per establishment. In cases where only technological lines are supported, the support level shall not exceed 1.5 times the cap applied to advanced machinery and equipment support.

Compared to many other localities, Hung Yen's maximum support levels for industrial promotion activities are relatively high. This reflects both the effectiveness of industrial promotion efforts in recent years and the province's strong commitment to further promoting these activities. It also demonstrates Hung Yen’s close attention to the industrial promotion sector in particular and rural industry in general.