Driving hi-tech industrial growth

Hai Phong has set a vision for 2025-2030 to become a modern industrial center and a leading logistics and seaport services hub. The Southern Coastal Economic Zone, spanning 20,000 hectares, is at the heart of this plan.

According to Le Trung Kien, head of the Hai Phong’s Economic Zone Authority, the zone is designed as an integrated industrial-urban-service complex prioritizing high value-added industries such as semiconductor production, electronics, precision engineering, automation, clean energy and advanced logistics.

“This economic zone will not only attract investment, but also serve as a foundation for Hai Phong to restructure its industrial base toward green, smart and sustainable production, in line with global supply chain standards,” Kien said.

From 2026 to 2030, the city targets USD 20-25 billion in investment into industrial zones and economic zones, with the Southern Coastal Economic Zone expected to lead, attracting USD 4-5 billion annually in FDI and USD 1-2 billion in domestic investment. Investors such as Vingroup, LG, Foxconn and clean energy and semiconductor corporations are already driving a wave of next-generation projects.

A flagship project is Vingroup’s LNG power plant at Tan Trao Industrial Park, with a designed capacity of 4,800MW. The plant will break ground on September 26, marking the opening of Hai Phong’s Party Congress for the 2025-2030 term.

Infrastructure and logistics backbone

The zone is planned alongside deep-water seaports, expressways, rail links and an international airport, creating the North’s largest logistics and industrial transit hub. This infrastructure will cut supply chain costs, strengthen export competitiveness and boost industrial trade.

Hai Phong is also pushing to establish a new-generation free trade zone connected to the Southern Coastal Economic Zone, with a proposal to be submitted in September 2025. The city is simultaneously investing in housing for workers, vocational schools, medical and cultural facilities, while introducing policies to attract skilled engineers and experts in high-tech industries.

At the ABAC III investment promotion conference in July 2025, Secretary of the city Party Committee Le Tien Chau said: “Hai Phong will become a strategic destination of the new era, with an economy driven by technology, innovation, green industry and modern logistics. We are committed to building an open investment environment with advanced policies to promote green transition and sustainable growth.”

By 2030, Hai Phong aims to mobilize VND 700 trillion (USD 27.5 billion) in social investment in the zone, achieve VND 2 quadrillion in industrial output, contribute VND 550 trillion to the state budget and create over 300,000 jobs in industry and logistics.

The Southern Coastal Economic Zone is thus emerging as a new industrial growth pole, positioning Hai Phong as a driver of modernization and industrialization for northern Vietnam and the country as a whole.