Hanoi Sourthern Supporting Industrial Park (HANSSIP) is considered a focal point in attracting both foreign and domestic investors in the field of supporting industries, Nhan Dan newspaper reported.

Hanoi supporting industries bussiness association (HANSIBA) signed a cooperation agreement with Japan-based Onaga company.

HANSSIP was designed under the Japanese standard by design consultant firm Nikken Seikkei Civil for on-site production chains.

The industrial park covers an area of 640 hectares and located  in Hanoi's Phu Xuyen industrial satellite service urban area to the south of the downtown, adjacent to National Highway 1A and National Highway 1B - Phap Van Cau Gie.

At full capacity, HANSSIP could accommodate up to 2,000 enterprises and create 150,000 – 200,000 direct jobs.

Hanoi expects HANSSIP to be the driving force for Phu Xuyen, one of Hanoi’s five major satellite urban areas.

To date, major global firms have landed at HANSSIP, including the Association of Japanese manufacturers of aircraft components in Kobe prefecture and Onaga, producers of aircraft components for Boeing and Airbus; South Korea – based MBI, which is specialized in manufacturing products using renewable energies; Japan Die and Mold Industry Association, among others.

More importantly, the establishment of HANSSIP helped form Hanoi’s Association of Firms in Supporting Industries, which consists of 200 members being suppliers for multinationals such as Honda, Canon, among others.

The significance of HANSSIP has been growing since the Covid-19 pandemic, during which the world saw a surge in demand for face masks, medical equipment or ventilators, but many of them could not be produced in Vietnam due to the lack of development of the supporting industries.

With an investment capital of up to US$5 billion, HANSSIP is the first specialized supporting industrial park in Vietnam, while the government expects that HANSSIP will become a successful example in creating an impetus to drive up the country's supporting industries.

In addition, enterprises participating in manufacturing supporting industrial products in HANSSIP according to the regulations of the Vietnamese government will receive special incentives regarding corporate income tax, import tax, VAT, personal income tax, among others.