II. Project 2: Tax Suspension Zone

Location: BT1 and BT2 Lot D2 Street, Saigon Hi-tech Park, District 9.

Area: 54. 76 ha

Objective: Tax Suspension Zone area is a free trade and bonded zone where materials, parts, compo- nents and services are traded to serve hi-technology companies in Saigon Hi-Tech Park. The zone also provide services such as advanced technical services, telecommunications, financial services, insurances, consulting, seminar, international conference, logistics and assigning manufacturing.

Investment capital: Total investment capital is estimated at 1,514 billion Vietnam dong for technical infra- structure, office/factory/ storage space/freight yard and land leveling. The investment capital is exclusive of land clearance.

Form of investment: Domestic or foreign investment

Functional zone: Tax suspension zone is consisted of Management Building, Customs Office and of- fices for other local authority agencies; Area for tenants and others services organizations, E-Commerce Center; Exhibition Center, Storage Space and Freight yard, Parking, entertainment center, Public facilities and Green space…

Construction density: 40% - 50%

Minimum height: 2 floors

Maximum height: 6 – 16 floors (25 – 55m)

Land use coefficient: 2.5 – 3.0

Green space ratio: 20 – 25%

Incentives package:

•           CIT of 10% for 15 years in which 4 years of 0% and 9 years of 5%;

•           VAT & Import duty exemption for :

•           Equipment and machinery imported for the formation of the fixed assets of the project and spare  parts and components attached thereto;

 •          Construction materials imported to build the fixed assets of the project that are not produced locally;

•           Materials and supplies, specialized means of transport over 24 seats included in the technological 

process of the project.

Zoning: The 1/5000 zoning has been approved  by HCMC People’s Committee

Land rental: $US 2 - $US 4/sqm/year

Infrastructure:

+ Power supply:

o Ground and underground medium voltage network – two 15/22 KV – 63 MVA x 2 switch – gear substations;

o Stable power supply with 2 independent national power sources from North and East of Thu Duc. Besides, SHTP is going to build a 24/7 turbine-gas  power plant to provide a redundancy source in the event of power shortage or disturbance.

+ Water supply:

o From the city water grid through Thu Duc and Binh An water plants.

o 9,500 – 24,300 m3/day supply capacity with high pressure pump stations.

+ Telecommunication:

o The broadband MAN (Metropolitan Area Network) in the model of “one network – multiple services”.

o Wired and wireless data transmission.

o Interoperability between the national and international networks.

o Bandwidth supports high-speed Internet access: ISDN, xDSL, FE/GE 100M/1000M, WLAN 11/22Mbps.

+ Waste water treatment

o 6 main drainage valleys with 6 local sewage stations

o 2 waste water treatment plants with capacity of 5,000 m3/day, expandable to 20,000 m3/day

+ Traffic: Contiguous area to D2 (the back-bone road inside the Park) và Bưng Ông Thoàn Road (District

9’s existing road), Beltway easy to be accessed to District 2 and Rach Chiec River.

Calling for Investment mode: local and/or foreign investors

Others: Land clearance is underway

Investor to whom the project is awarded will support the Saigon Hi-Tech Park in the form of developing some of the Park’s key infrastructure items

Contacts  information

Project developer

Board of Management of Saigon Hi-Tech Park

-Address: National Highway 52, District 9, HoChiMinh City, Vietnam

-Tel: (84-4) 37360291 – 37360293

-Fax: (84-8) 37360292

-Website: www.shtp.hochiminhcity.gov.vn

-Email: info@shtpvn.org

HCM City Department of Planning and Investment (DPI)

32 Le Thanh Ton Street, District 1

Ho Chi Minh City, Vietnam

Tel: 84-8-38227495

Fax: 84-8-38224009