>> The semiconductor industry is boosting industrial real estate
>> The industrial real estate market is evolving in a positive manner
>> Investors optimistic about Vietnam’s industrial real estate market
| The Nam Tân Uyên industrial zone in Binh Duong province, in the south. |
| Photo : NTU/CVN |
Thanks to massive investments and effective government policies, this sector has made remarkable progress, establishing a solid foundation for sustainable growth.
A key sector of advanced technological production, the semiconductor industry plays a crucial role not only in economic growth, but also in the boom in industrial real estate. The presence of research and development (R&D) centers such as that of Nvidia, a world leader in artificial intelligence (AI) and semiconductors, positions Vietnam as a popular destination for high-tech investors.
Nguyên Chi Dung, Minister of Planning and Investment, calls Nvidia’s investment in Vietnam a “historic turning point”, establishing the country as a major AI research hub in Asia. These R&D centers not only stimulate the development of industrial real estate, but also innovation, entrepreneurship and the creation of qualified jobs for local workers.
Growth
In 2024, recorded foreign direct investment (FDI) in Vietnam reached nearly US$38.23 billion, with significant projects in semiconductors, energy and electronic components. These results demonstrate the country’s attractiveness, reinforced by its strategic geographic position, its modern infrastructure and its efforts to diversify global supply chains.
According to Savills Vietnam, the total area of industrial land across the country stands at more than 38,200 ha, an increase of 5% compared to the previous year. Industrial zones like VSIP in Long An and Thuân Thành in Bac Ninh stand out as sustainable and environmentally friendly production hubs, attracting cutting-edge technology industries.
Thomas Rooney, deputy director of industrial real estate services at Savills Hanoi, points out that Vietnam’s advantageous geographical location, at the heart of global supply chains, makes it a strategic destination for large technology groups. Increasing investments in advanced technological projects and R&D centers are driving demand for industrial infrastructure and buildings, thereby strengthening the growth of the industrial real estate market.
-Human resources training
The Vietnamese government spends 7% of its GDP on major infrastructure projects, such as the North-South highway, Long Thanh International Airport and deep-water ports like Cái Mép. These projects strengthen national connectivity and facilitate trade with Europe, America and Southeast Asia. At the same time, initiatives aim to improve the quality of human resources. The national skills development program in the semiconductor industry aims to train at least 50,000 graduates by 2030, thus meeting the growing needs of the sector.
| View from above of the VSIP Industrial Park in Hai Phong (North). |
| Photo : VNA/CVN |
Vietnam has large reserves of rare earths, the second largest in the world after China, a crucial asset for the manufacturing of electronic components and chips. In addition, the government established a high-tech project support fund and adopted Electricity Plan VIII to ensure sustainable energy supply for major investment projects.
Future outlook
Experts believe that the semiconductor industry will remain a key sector in the coming years. Vietnam’s efforts in modern infrastructure, skilled labor training and investment facilitation strengthen its position as a center of technology production in the region.
The establishment of an Nvidia R&D center in Vietnam promises not only to raise the level of industrial zones, but also to boost cutting-edge technology sectors and increase the value of industrial real estate. With major players like Frasers, Logos and IDEC, the Vietnamese industrial real estate market will continue to grow to meet the demands of large international technology companies.
Thanks to its exceptional advantages and suitable policies, Vietnam will establish itself as a key player in the global semiconductor industry, contributing significantly to the sustainable development of industrial real estate.
VNA/CVN
