Sembcorp strengthens VSIP portfolio in Vietnam

The investment licences for VSIP Thai Binh, VSIP Quang Ngai II and Becamex-VSIP Binh Thuan were awarded to companies held by Vietnam Singapore Industrial Park Joint Venture Company (VSIP JV Co). VSIP JV Co is Sembcorp’s 49.3 per cent-owned joint venture company with Vietnam state-owned enterprise Becamex IDC Corporation. Sembcorp’s effective shares in the three new projects range from 24.6 per cent to 49.3 per cent.

These new projects build on VSIP’s extensive presence in the northern, central, and southern regions of Vietnam, where each region presents unique locational advantages for the manufacturing industry. With increasing government spending on infrastructure such as highways, ports, and airports to improve accessibility and connectivity to global markets, these regions are attracting investments and trade from foreign-invested enterprises.

Including the new projects, Sembcorp has participated in the development of 18 VSIPs with total licensed land area of 11,588 hectares. With the rising importance of incorporating sustainability practices into business operations, manufacturers are gradually transitioning towards green factories and adopting decarbonisation and energy efficient solutions.

Lee Ark Boon, CEO of Sembcorp Development, said, “As a master developer and growing renewables player in Vietnam, Sembcorp contributes to the development of low-carbon industrial parks through our comprehensive suite of solutions. These include solar energy, battery energy storage systems, as well as carbon management solutions such as the provision of verified renewable energy certificates. By partnering our key stakeholders, including tenants and the government, to incorporate our solutions into the operations of our low-carbon industrial parks, we will continue to support Vietnam’s industrial transformation and energy transition goals.”

On November 10, Sembcorp Industries (Sembcorp) announced that its wholly-owned subsidiary, Sembcorp Solar Vietnam Pte Ltd, has reached an agreement to acquire majority interests ranging from 73 per cent to 100 per cent in various subsidiaries of Gelex Group Joint Stock Company (Gelex).

On December 29, Sembcorp Development, a wholly-owned subsidiary of Sembcorp Industries (Sembcorp), announced the addition of Vietnam Singapore Industrial Park Ha Tinh (VSIP Ha Tinh) to its portfolio.

Singapore’s Sembcorp Industries, through its 67 per cent-owned joint venture Phu My 3 BOT Power Co. Ltd., handed over Phu My 3 Power Plant to Vietnam Electricity (EVN) on March 8.