Now under the management of the Hanoi People's Committee instead of the Ministry of Science and Technology, the Hoa Lac Hi-tech Park is expected to become a regional hub for science, technology and advanced education, contributing to the economic growth of both Hanoi and the country, according to local insiders.

Hoa Lac Hi-tech Park. Photo: Lam Thanh/The Hanoi Times

Professor Hoang Van Cuong, former Vice Rector of the National University of Economics and Head of the consulting consortium for capital planning was optimistic about the development of Hoa Lac Hi-tech Park.

"Hoa Lac Hi-tech Park is being built as an open model, serving as the core transform Hanoi into the country’s leading hub for innovation,” he underlined.

Establishing a new vision

Established in 1998 by the Prime Minister, Hoa Lac Hi-tech Park was designed to promote industrialization and modernization in the region and the country. It serves as a special zone focused on the integration of science and production.

After several planning revisions, the park now covers 1,586 hectares and is surrounded by satellite urban areas. It boasts modern technical infrastructure and a favorable policy environment aimed at attracting leading domestic and international technology firms to invest in high-tech and advanced technologies.

To date, Hoa Lac Hi-tech Park (HHTP) has attracted 108 investment projects, including 93 domestic and 15 foreign projects, with a total registered investment of nearly VND115.9 trillion (US$5 billion).

Registered projects have leased nearly 40% of the park's land area. Many are operational, providing jobs for about 15,000 skilled workers and generating revenues of about VND30 trillion ($1.3 billion) in 2023.

Economists say these numbers are significant, especially given the challenges associated with developing a new model like HHTP.

On November 24, 2023, the Hanoi People's Committee officially took over the park from the Ministry of Science and Technology. Tran Sy Thanh, Chairman of the Hanoi People's Committee, emphasized that this transfer is an important opportunity for the city to realize the goals outlined in Resolution No. 15-NQ/TW, issued by the Politburo on May 5, 2022.

This resolution sets the development direction and tasks for Hanoi until 2030, with a vision for 2045.

The resolution emphasizes the need to "accelerate research, transfer, application and development of science and technology and innovation; establish Hanoi as a leading center for innovation, research, development and technology transfer in the country and the region, with HHTP as its core".

According to the adjusted General Planning for Hanoi until 2045, with a vision for 2065, which currently awaiting approval, the city aims to develop two dynamic regions, including the western part of the city as a center for science, technology, innovation, and digital transformation.

In this context, HHTP will serve as a hub for high-tech science and engineering, with high-quality education and training centers. It will bring together research facilities, universities, digital technology laboratories, artificial intelligence applications, and technology transfer, with policies to attract high-quality human resources and businesses.

The planning emphasizes that HHTP will be a high-tech and green district of the city.

Improved infrastructure and transportation

High-Tech R&D Testing Laboratory Project of DT&C Vina Joint Stock Company. Photo: the HHTP Management Board

By 2030, Hanoi aims to have HHTP fully operational as a smart urban model that will contribute to the innovative and creative development of the city. The city has implemented various measures to address the challenges faced by businesses operating in the park.

On May 10, 2024, the Mayor of Hanoi, Tran Sy Thanh, led a dialogue with about 100 firms and organizations that are investing in the park. While some of the issues raised during the meeting had been previously reported by the HHTP Board to relevant authorities, the direct engagement of the city's leadership provided a valuable opportunity for investors and the Board alike.

As a result of the dialogue, HHTP management coordinated with telecommunications providers to assess cellular signal issues at the site and propose immediate solutions pending the installation of new BTS stations in the park. In addition, the city arranged for new bus routes to facilitate commuting for workers and residents.

Established in the park in 2017, DT&C Vina Joint Stock Company, a foreign-invested company, has become well-integrated into the local business community.

"We find this area highly specialized and well suited for our national digital quality inspection services. We have also benefited from government tax incentives and extensive support from the HHTP Board," said company CEO Kang Moon Kyung. "The location is advantageous for meeting partners in the Hanoi area."

He added that the Capital Law recently approved by the National Assembly gives the Hanoi government more autonomy to invest and develop HHTP, along with new mechanisms for science and technology development.

 "We hope to see more investment in infrastructure and benefits for workers and businesses here to attract high-quality talent for the long term," Kang emphasized.

Dr. Ha Huy Ngoc of the Vietnam Institute of Economics noted that if the HHTP is given more authority and implements attractive investment strategies alongside superior investment institutions, it will bring high-tech projects to Hanoi.

Ngoc also said the park could become a center for science, technology, culture and education in the city's western region, which would have a significant impact on economic growth and regional development.

Currently, local authorities are aggressively putting in place a comprehensive set of solutions to support the business community and improve the investment environment. The city is focusing on enhancing the landscape, infrastructure and administrative reforms, especially those related to investment procedures.

Headquarters of the HHTP Management Board.