On June 24, 2013 Vinh Phuc people’s Committee issued Decision No. 1588/QD-UBND on Approval of Development Planning of Supporting Industry of Vinh Phuc Province to 2020, Orientation to 2030 with the main following contents
* Viewpoint for Development
- Priority shall be given to develop the supporting industry (SP) in order to have a strong foundation for developing the main force industries with sustainability and connection to the overall planning for socio-economic development.
- Develop the SP must select carefully on the basis of potential, advantages available in the provincial industries having advanced technology, high competitiveness. In a short-term, it is focused on the localization products for the main force of industries, for a long-run, striving for introducing the supporting industry become a link of a chain of supplying the supporting products with high value in the production-line domestically and internationally the for export.
- Develop the SP must base on the promotion and enhancement of the investment capacity of the multi-national companies or groups to take advantages of their capital and advanced technological degree step by step to receive the high technological transfer, source technology useful for the interior capacity of the province.
- Concentrate to develop a certain supporting industries, chiefly the supporting industries for auto manufacture and assemble, and informatics and electronics.
- Develop the supporting industry is tightly connected to ecological and environment protection and sustainability.
* Development Objective
General Objective:
To year 2020, the supporting industry shall become a modern and developed industry, participating in production and supplying components, spare part, maintenance services, repair to the industries operating in the province and the neighbor localities; to year 2030, the supporting industry shall become an important link of the chain in global supply chain of the big multi-national groups of the world.
Specific Objective
- Average growth rate of the SP in the period to 2015 is 23.23% on year; in the period 2016-2020 it shall be 18.71% on year and in the period 2021-2030 shall be 17.63%/year.
- Value of industrial production of the SP shall be VND 13,855 billion by year 2015, VND 32,661 billion by year 2020 and VND 165,725 billion by 2030 according to the fixed price.
- Weighting of the SP in the total production value by year 2015 shall be 19.56%, and by 2020 it is 36.71% and to 2030 it is 36.91%.
Priority List of the SP:
(1) SP for manufacture and assemble of auto, motorbike;
(2) SP for electronics-informatics;
(3) SP for manufacture mechanics;
(4) SP for building materials;
(5) SP for textile and garment, leather shoe making.
* Development Planning
SP Planning for Manufacture and Assemble Auto and Motorbike:
+ From the Period to 2015:
It is estimated that, in this period, striving for gasping the new technology, mainly based on acceptance of transfer for production of the product groups as motor and part of motor, chassis-body, plastic part, automatic equipment. At the same time, promote, research to manufacture and assemble motor, motive transmission system, drive system, fuel supply system, manufacture the save fuel system, green means. SP shall be needful to serve in such above-said groups, but concentrate to produce with large scale as follows:
- Manufacture sufficient amount of parts, spare part of auto and motorbike,
- Produce some material types,
- Self-supply sufficiently some moulds for plastic, aluminum, passive parts,
- Participate in studying the manufacture methods of parts, part block, new production material, hybrid vehicle technology, green vehicle in the future.
+ Period 2016-2020:
Hold firmly the technology; expand the invested establishments in the previous periods, increasing the output at the existing factories for domestic and export demand.
SP Development Planning for Manufacture Mechanics
* Period to 2015:
It is estimated that, in this period, striving to grasp the new techno based on the transfer to produce the following product groups (excluding auto, motorbike).
- Metal materials, substituted metal materials (wooden duplicated plastic, wood and metal imitated materials, other secondary materials)
- Processing the metal parts (cast, press, sharpening, surface treatment, hardening) part block, spare part, semi-finished products the advancing to manufacture complete machine (metal sharpening machine, forging machine, specialized machine tool) electro-mechanic equipments.
- Processing the parts, components to form a machine and common tools, appliances and components, spare parts (electrical fan, bike cycle, gas burner, dust collective machine, kitchen appliances).
- Processing, manufacture mould, proto-type, parts, components to assemble the agricultural machines with diesel motor, small tractor, equipments used after harvest ( rice pluck machine, ground nut husking machine, cassava slicing machine, drying machine), hand-tool, priority to equipments of agro-forestry product processing, wood processing, precise mechanics equipments as electric indicator/water gauge, watch, health equipments, machine and equipment for construction industry, metal sheet, special equipments for handicraft professional villages, equipment for making fine art products for export.
- Study, design and manufacture or assembling the complete mechanics product which are made in Viet Nam to increase the added value of the industry, including spare part, component of aviation.
* Period 2016-2020:
It is estimated that in this period, getting to know fully the new technology in production of more complicated products (including design, test, quantity assessment of detail and overall); priority shall be given to products meeting the criteria of green, fuel save, higher automation products, details are:
- Promoting the invested-to-2005 supporting industry to invest in manufacturing more precise spare part, component to assemble in health equipments, measuring equipment, mechanic-electronics equipments, control item structure, circuit change item with higher durability and longer time of load.
- They themselves can design and assemble a complete mechanic product with trademark of Vietnam made but meeting the international standard for higher competition in domestic and international markets.
- Priority to be given to manufacture some spare parts, components of aviation instead of import substitution.
Planning for electronics supporting industry
* From the period to 2015
It is estimated that in this period, getting to know fully the new technology in production mainly by acceptance of transfer to manufacture the following products: peripheral device/network and PC; main mobile communication devices, common appliance electronic devices. At the same time, promote and research to manufacture and assemble specialized electronic equipments and industrial robot. To reach the above-said objectives, SI should be focused on the following production:
- Manufacture sufficiently the electronic components, simple and common use of mechanic-electronic components,
- Produce some types of materials.
- Self-sufficient in some moulds to cast plastic, aluminum and passive parts.
- Research to make the Vietnamization of system software and some purebred digital contents to meet the demand of thee province and the region.
* Period 2016-2020
It is estimated that in this period, getting to know fully the new technology in production of the complicated technological product groups (including design and test) meeting the criteria of green, fuel save, higher automation products, details are:
- Host computer and peripheral device suitable to the new generation.
- Most of communication devices are wireless.
- Home appliances with high quantity standard.
- Some mechanic-electronic devices, automatic control devices.
Based on the investment condition and requirement for development of electronic production in 2015 and the following years, some invested project in the previous period shall be expanded, especially the new technological project to supply sufficiently to the assemble of complete product (production on spot) or using the local components to ensure the environment protection. Priority should be given to the following products:
- Spare part for complete assemble, in which there is flash, PRAM (quick remember, phase convertor).
- Spare part in course material form.
- Print circuit with multi-layers, using high precise mould.
Planning for SI development for Textile-garment-shoe making
Textile and garment:
+ From the period to 2015:
- Inviting investment in making thread.
- Inviting investment in construction of an industrial embroidery factory.
- Service of industrial grinding and washing.
+ Period 2016-2020
- Inviting investment in construction sewing needle, thread, cotton.
Shoe making
+ From the period to 2015:
- Calling for investment of production of PVC and PU imitation leather.
- Produce tarpaulin and plastic weaving products.
- Projects on mould, knife
+ Period 2016-2020
- Calling for investment in production of machine, equipment for shoe making, taking actively in making mound and replacement of spare parts.
Orientation for development of SI for construction material production
+ From the period to 2015:
In this period, getting to know fully the new technology in production mainly by acceptance of transfer to produce the following products:- Various types of moulds, specimen, machine and equipment of plastic surgery (casting, pressing, cutting, polishing) construction materials made from non-metal and plastic (structure plastic, wood and metal imitate materials and other secondary materials).
- Processing and assembling some machines and equipments, spare parts, components in the system of brick production line, ceramic production line and tunnel brick making etc...
- Processing, assembling some conveyers, specialized transportation means for transport the fresh concrete and the semi-product of construction material (unfired brick, material frame)
- Study, design and manufacture or assembling the complete machine and exploiting equipment, fine selection machine and non-metal classifying machine.
- Study to produce various types of packing bag of construction material.
+ Period 2016-2020
In this period, getting to know fully the new technology in production of construction material groups with complicated technology (including design, test, quantity evaluation in details and in overall); priority shall be given to products meeting the criteria of green, fuel save, higher automation products, details are:
- Study and test production then produce some new construction materials (plastic plate, bulkhead, sponge concrete, light concrete, pre-fabricated concrete for assemble, metal and non-metal structure, non-standard materials, heat absorbed roofing, tanks; scaffolding, metal and non-metal formwork).
- Make self-control in repair and warranty on all most of the existing machines and materials in the province.
- Priority shall be given to manufacture some spare parts, spare part blocks of machines to replace their importation.
* Summarize investment capital and investment capital estimation
Total investment from the period to 2020 is VND 28,491 billion, according to the current price. In which: FDI is about 33% - 34%; capital from the budget is about 1%-2%, mainly capital for infrastructure construction, human resource development, study for technological renovation; the remaining capital is from other sources, such as credit, joint venture, association or capital from the enterprises.
* Orientation for SI development of Vinh Phuc province to 2030
By 203, the SI of Vinh Phuc shall focus on the field of services to hi-tech industry and Vinh Phuc by then must produce the modern equipments and components. Products made by the SI should be high quantity, value and competitiveness, which can participate in the supply chain of the region and the world. Some of the products should reach a strong trademark and high reputation in the country, in the region and the global.
* Main solutions
Solution on mechanism, policy and administrative renovation
- Propose Government continue to check, supplement to and adjust them in a way of more convenience and attractiveness, at the same time, make them sure of the long-term stabilization.
- Apply the supporting investment policy toward the projects turning out the SI products as specified in the Decision No. 12/2011/QĐ-TTg dated 24 February 2011 of Prime Minister on policy on development of some SI branches. Based on the supporting mechanism to SP branches invested in the IPs, industrial cluster in the province included in the Resolution No. 56/2012/NQ-HĐND dated 19 July 2012 of the provincial People’s Council 27/2011/NQ-HĐND dated December 19, 2011 of People's Council;
on continuing allocation of capital from the provincial budget to encourage and assist the investors who invest in SI production of the province.
- Implement effectively the quick solving the administrative procedures by one-stop- door services via Vinh Phuc Investment and Promotion Agency. Carry out measures to increase PCI of the province.
Mobilize and make full use of investment capital sources
- Priority shall be given to attract the SI projects with big scale, modern technology, less pollution; motive force projects making finished products, which shall be a connecting role to attract more projects on SI products production.
- The developers of IPs shall be explained the policy of the province on development of industry, call for projects on manufacturing products of SI.
- Attention shall be paid to attract the SMEs, in the mean time, preparing an investment strategy and supporting to the production and intensifying the association among the domestic enterprises.
Solution for human resource development:
- Carry out the policy on assistance to vocational training, job settlement and poverty alleviation in 2012-22015 period according to the Resolution No. 27/2011/NQ-HĐND dated 19 December 2011 of the Provincial People’s Council;
- Expand the forms of education and vocational training by different forms focusing on branches of mechanical repair, manufacture, electronics, which shall be premise for SI development in the next periods. Intensify the association with the reputable universities and vocation training centers; renew the teaching program, link closely the teaching program with actual demand.
- Encourage the bigger enterprises located in the province to train the provincial labor and assist in the provincial education and vocational training.
- Training the human resource for SI enterprises should take care of specialties, such as management force, administration, specialized staff and technical worker.
- Labor should have the industrial working habits; the labor must understand their rights and obligations to their enterprises and to society.
Solution for Science and Technology
- Focus on increasing technology, modern equipment to meet the requirement of SI products for export of the province.
- Expand the international cooperation; diversify the form of cooperation in order to make full use of the transfer of modern technology of the foreign partners. Special attention should be paid to the new technological transfer, which is considered as a decisive factor to implement the investment project in the investment in development and in the cooperation for production and business.
- High incentive, but within the regulation, shall be given to FDI enterprises, whose projects include their commitment of technological transfer and financial support to some domestic enterprise develop SI products. Encourage the transfer the technological transfer to production in Viet Nam.
- Develop gradually the industrial units to produce component, spare part, accessories, machine part, technical material required by the industrial branches; issue the policy with highest incentive as regulation, such as income tax exemption/reduction from the activity of technological transfer, transfer of land to the patent in order to exploit effectively the technology that registered in foreign country.
Solution for market:
-Expand consumption market both in domestic and for export. Develop the marketing system, trade promotion. Encourage the economic sectors to develop market and product consumption market.
- Limit to use the administrative measures to adjustment of the market capacity; increase the purchasing power to develop production.
- Organize and establish the marketing centers to look for consumption market and objects, in or out of our country, to supply supporting products, forming a connecting bridge between the enterprises under different economic sectors, chiefly the FDI enterprises with the domestic enterprises.
- Though the enterprises to organize seminars, workshops investment promotion. Assist the enterprises in participating seminars, fair and trade promotion activity.
- Set up the database of enterprises operating in SI, and use it to introduce and look for partners for making joint venture; intensify the application of informatics technology in the market work, e-trade. Support to set up some specialized Websites for SI.
Solution for environment
- The SI enterprises before implementing their projects in the IPs or industrial clusters, they have to prepare the environment impact assessment or registration on environment protection commitment according to the regulation of the State before putting the factory into operation.
- Coordinate to check and supervise the matter relate to environment during operation.
- Issue the encouragement and assistance policy applied to the enterprises, whose projects are modern technology, energy saving and friendly to environment. The SI projects that originate high pollution, huge solid wastes shall be rejected.
6.7 Solution for land:
- Make a report to submit to Government for allowing setting up a SI zone where the SI enterprises can be entitled to enjoy the incentive and assistance according to the Government regulations.
- Select a certain zone with convenient geological position to construct availably infrastructure then inviting SI investor, chiefly the DFI projects.
- Encourage to construct ready workshop (each workshop has an area ranging from 100 m2 to 1,000m2. or smaller if necessary) for rent.
- Review, finalize the policy and mechanism on site compensation; create favorable condition for site clearance and compensation.
(Source: Decision No. 1588/QĐ-UBND, dated 24 June 2013 of VPPC)
Appendix: LIST OF SUPPORTING INDUSTRIAL PROJECTS TO 2020, VISION TO 2030
(Enclosed the Decision No. 1588/QĐ-UBND, dated 24 June 2013 of VPPC)
Table 1. List of Supporting Industrial Projects on manufacture and assemble auto, motorbike in period 2011-2020
|
No
|
Investment project
|
Location
|
Capacity/year
|
Capital source
|
Time
|
|
2011-2015
|
2016-2020
|
|
|
Motor and part of motor production
|
Khai Quang IP
|
20.000
|
40.000
|
FDI
|
2012
- 2020
|
|
|
Frame and body
|
Binh Xuyen IP
|
100.000
|
200.000
|
FDI
|
2012
- 2020
|
|
|
Gear box and drive block
|
Khai Quang IP
|
10.000
|
20.000
|
FDI
|
2012
- 2020
|
|
|
Driving system for auo, motorbike
|
Binh Xuyen IP
|
20.000
|
40.000
|
FDI
|
2012
- 2020
|
|
|
Glass door washing pot and solution transmission hose
|
Binh Xuyen IP
|
200.000
|
400.000
|
FDI
|
2012
- 2020
|
|
|
Plastic component
|
Binh Xuyen IP
|
200.000
|
400.000
|
Enterprise +FDI
|
2012
- 2020
|
|
|
Lamp block, mirror, horn
|
Binh Xuyen IP
|
100.000
|
200.000
|
Enterprise +FDI
|
2012
- 2020
|
|
|
Fuel tank and fuel supply system
|
Kim Hoa IP
|
100.000
|
200.000
|
FDI
|
2011
-2020
|
|
|
Pinion and chain of motorbike
|
Kim Hoa IP
|
100.000
|
200.000
|
Enterprise
|
2016
-2020
|
|
|
Automatic electronic component
|
Bá Thiện IP
|
100.000
|
200.000
|
FDI
|
2012
-2020
|
|
|
Air filter for auto engine
|
Khai Quang IP
|
10.000
|
20.000
|
FDI
|
2011-2020
|
|
|
Hang system, shock absorber
|
Khai Quang IP
|
100.000
|
200.000
|
Enterprise +FDI
|
2011
-2014
|
|
|
Rim of wheel, rim cover
|
Vinh Yen
|
20.000
|
40.000
|
Enterprise +FDI
|
2012
- 2014
|
|
|
Tire and inner tube
|
Vinh Yen
|
200.000
|
400.000
|
State+ Enterprise
|
2012
- 2020
|
|
|
Construction of infrastructure for verification, quantity control and safety ...
|
Vinh Phuc
|
-
|
-
|
State
|
2013
-2016
|
Table 2: List of SI project on production of mechanical, manufacture product period 2011-2020
|
No.
|
Program, project name
|
Location, locality
|
Capacity/year
|
Capitaal source
|
Time
|
|
2011-2015
|
2016-2020
|
|
|
Increasing capacity of steel rod processing, cold rolling to precise form
|
Khai Quang IP
|
15.000
|
|
FDI
|
2012
- 2015
|
|
|
Casting and big rough factory
|
Chan Hung IP
|
20.000
|
15.000
|
FDI
|
2012
- 2020
|
|
|
Precise mechanical processing factory
|
Tam Duong IP
|
10.000
|
5.000
|
FDI
|
|
|
|
Project group of making dynamical motor part
|
Tam Duong IP
|
|
|
FDI, DDI
|
2012
- 2020
|
|
|
Project group of making part of agro-forestry processing equipment
|
Tam Duong 1 IP
|
|
|
FDI, DDI
|
2012
- 2020
|
|
|
Project group of making waterway equipment
|
Tam Duong IP
|
|
|
FDI
|
2012
- 2015
|
|
|
Project group of making standard accessories and part
|
IP
|
|
|
FDI, DDI
|
2012
- 2020
|
|
|
Center for research, design and mechanic test
|
In Vunh Yen
|
|
|
State
|
2012
- 2015
|
|
|
Supporting to center for mechanic manpower
|
Vinh Phuc
|
|
|
State
|
2012
- 2015
|
|
|
Vinh Yen mechanic technological and technical database bank
|
|
|
|
DN+NN
|
2013
-2015
|
|
|
Project group of assembling the finished mechanic product
|
Vinh Phuc
|
|
|
State
|
2012-2015
|
|
|
Study, produce new alloy material with high standard and quantity
|
Phuc Yen IP
|
|
|
State+ Enterprise
|
2016
-2019
|
|
|
Manufacturing part and accessories of aviation
|
Phuc Yen IP
|
|
|
State + Enterprise
|
2016
-2019
|
|
|
Center for civil aviation equipment making
|
Phuc Yen IP
|
|
|
State + Enterprise
|
2016
-2019
|
|
|
Project group of making precise and high quantity part and component
|
Khai Quang IP
|
|
|
DDI+FDI
|
2016
-2019
|
|
|
Project group of making part and component of hi-tech machine tool
|
Binh Xuyen, Son Loi
|
|
|
DDI+FDI
|
2016
-2019
|
Table 3: List of projects on supporting industry to production of electronics and informatics in the period 2011-2020
|
No.
|
Name of program, project
|
Location, locality
|
Capacity/year
|
Capital source
|
Time
|
|
2011-2015
|
2016-2020
|
|
|
|
|
|
|
|
|
|
|
Produce components for PC, LCD screen
|
Binh Xuyen IP
|
- LKĐT 20.000 ea; 30.000 ea
|
|
FDI
|
2012
- 2020
|
|
|
Produce electronics components, electronics products of various type
|
Binh Xuyen; IP
|
|
|
FDI
|
2012
- 2020
|
|
|
Produce laptop, LCD screen liquid TV and peripheral devices
|
Ba Thien IP
|
|
|
FDI
|
2012
- 2020
|
|
|
Produce battery fro hi-tech products, electronics equipments
|
Ba Thien IP;
|
7 million sets
|
|
FDI
|
2012
- 2020
|
|
|
Produce new type electronics products
|
Ba Thien IP;
|
144 million products
|
|
FDI
|
2012
- 2020
|
|
|
Produce linking electronics components, Module camera
|
Ba Thien IP;
|
|
|
FDI
|
2012
- 2020
|
|
|
Produce software, patent stamp and wrapping
|
Ba¸Thien IP;
|
|
|
FDI
|
2012
- 2020
|
|
|
Produce active electronics component of new generation
|
Binh Xuyen II IP
|
|
|
FDI
|
2011
-2020
|
|
|
Produce new electronics material
|
Binh Xuyen II IP
|
|
|
Enterprise DN
|
2016
-2020
|
|
|
Develop commercial software of various types
|
Vinh Yen
|
|
|
Enterprise DN
|
2012
-2020
|
|
|
Human force training
|
Vinh Yen
|
10000
|
20000
|
State
|
2011-2020
|
|
|
Construct electronics and informatics IP
|
Vinh Phuc
|
|
|
State+Enterprise
|
2011
-2014
|
|
|
Support to construction of software center
|
Vinh Yen
|
|
|
State
|
2012
- 2014
|
|
|
Upgrade the infrastructure data of the provincial informatics technology
|
Vinh Phuc
|
|
|
State
|
2012
- 2020
|
|
|
Supervision and verification system of electronics quantity and safety
|
Vinh Phuc
|
|
|
State
|
2013
-2016
|
|
|
Support to R&D unit
|
Vinh Phuc
|
|
|
State
|
2012-2015
|
Table 4: List of projects on supporting industry to textile-garment and shoe in the period to 2020
|
No
|
Name of program, project
|
Capacity/year
|
Location, locality
|
Investment capital (million USD)
|
Capital source
|
Time
|
|
2011-2015
|
2016-2020
|
|
1
|
Needle and button factory
|
100 ton product
|
Binh Xuyen IP
|
|
27,5
|
FDI
|
2016
- 2020
|
|
2
|
Industrial embroidery factory
|
11 million products
|
Khai Quang IP
|
2.0
|
|
FDI
|
2013
- 2015
|
|
3
|
Thread factory
|
350 ton
|
Binh Xuyen IP
|
1,5
|
|
FDI
|
2013
- 2020
|
|
4
|
Industrial laundry factory
|
2,9 million products
|
Kim Hoa IP
|
23,2 billion VND
|
|
Investment calling
|
2013
- 2015
|
|
5
|
PVC, PU leather imitated factory
|
7 million m2
|
IP
|
8
|
|
Investment calling
|
2013
- 2020
|
|
6
|
Making part, accessories of mould for shoe factory
|
|
IP
|
|
5
|
FDI
|
2013
- 2020
|
|
7
|
Produce various canvas, Tarpaulin and textile products
|
7.9 million m2
|
Khai Quang IP
|
4,5
|
|
FDI
|
2013
- 2015
|
|
8
|
Project on investment in making mould, cut knife and prototype
|
|
Chan Hung IP
|
450 billion VND
|
|
Investment calling
|
2013
- 2015
|
|
Grand Total
|
|
16 million USD and 473,2 billion VND
|
32,5 million USD
|
|
|
Table 5: List of projects on supporting industry to construction material products in the period to 2020
|
No
|
Name of program, project
|
Capacity/year
|
Location, locality
|
Investment capital (VND billion)
|
Capital source
|
Time
|
|
2011-2015
|
2016-2020
|
|
1
|
Expansion of producing paint and plating capacity
|
|
Binh Xuyen IP
|
50
|
80
|
FDI
|
2013
- 2020
|
|
2
|
Produce plastic, rubber products and component
|
|
Binh Xuyen IP
|
150
|
200
|
FDI
|
2013
- 2015
|
|
3
|
Expansion of processing and assembling of equipment and machine for pottery and porcelain branches
|
|
Binh Xuyen IP
|
100
|
150
|
FDI
|
2013
- 2020
|
|
4
|
Manufacturing wrapping for construction material
|
|
Binh Xuyen IP
|
50
|
80
|
Investment calling
|
2013
- 2020
|
|
5
|
Center for repair and maintenance of equipments of construction material production
|
|
Phuc Yen IP
|
50
|
150
|
Investment calling
|
2014
- 2020
|
|
6
|
Manufacture and assemble machines and equipment of unfired construction material
|
|
Khai Quang IP
|
50
|
250
|
Investment calling
|
2014
- 2020
|
|
7
|
Manufacture some part and accessories of machines and equipment
|
|
Khai Quang IP
|
50
|
250
|
FDI
|
2014
- 2020
|
|
8
|
Study, test and industrial produce some new construction material
|
|
Phuc Yen IP
|
100
|
300
|
FDI
|
2014
- 2015
|
|
9
|
Fuel replacement and reduction of construction material production used burning method, coal burning.
|
|
|
150
|
250
|
Investment calling
|
2014
- 2020
|
|
Grand Total
|
|
700
|
1630
|
|
|
Attachments:
