Ho Chi Minh City sets investment cap at Saigon Hi-Tech Park at $100mn per hectare

Under a newly-issued decision, the city has revised and updated the list of investment projects at the Saigon Hi-Tech Park for the 2025-30 period.

Priority investment intensity is set at up to VND2.6 trillion per hectare.

These projects are grouped into three main categories: research and development (R&D), hi-tech manufacturing, and hi-tech services, all aligned with the city’s strategic goals of digital transformation and green growth.

Focus on R&D, innovation

Within the R&D category, plot E2b-2 on Road D1, covering nearly 9,000 square meters, has been earmarked for the development of a biotechnology innovation center.

The site is intended for projects involving research, training, and incubation of advanced medical and life-science technologies, including smart medical devices, stem cell technology, immunotherapy, next-generation gene sequencing, and digital health platforms.

The city is prioritizing projects with investment intensity of over $11.5 million per hectare.

Planning regulations allow a maximum construction density of 30 percent, with at least 40 percent of the site reserved for green space.

The permitted floor area ratio is up to three times, with building heights ranging from seven to 11 stories.

Technical infrastructure is already in place, allowing projects to be deployed immediately.

Another R&D project at plot E5-7 on Road D8 with an area of more than 9,500 square meters, is oriented toward electronics and semiconductor microchips.

Encouraged projects include chip design, MEMS, artificial intelligence (AI), big data, cloud computing, and digital twin technologies, with recommended investment intensity from $11.53 million per hectare and above.

Hi-tech manufacturing clusters

In the hi-tech manufacturing group, plot I-1b-2 on Road N1, spanning over 25,000 square meters, is calling for investment in factories producing electronic components and semiconductor chips.

The city gives priority to projects applying advanced chip technologies, AI, the Internet of Things (IoT), and next-generation semiconductor materials, with investment intensity exceeding $20.45 million per hectare.

The site allows a maximum construction density of 50 percent and a floor area ratio of 2.5, with infrastructure ready for use.

Notably, plot I-14.4 on Road D14, covering more than 30,000 square meters, is positioned as a multi-sector hi-tech manufacturing hub, ranging from electronics and semiconductors to biotechnology.

Permitted activities include advanced chip packaging, hi-tech testing and calibration, gene technology, vaccines and biomedical products, alongside AI, IoT, big data and cloud computing platforms.

The city prioritizes projects with investment intensity above $26.8 million per hectare.

Hi-tech services, data centers take center stage

In the hi-tech services category, plot T7 along Road D4, with a total area of nearly 80,000 square meters, is planned as a multifunctional hi-tech science and technology service center.

The project integrates R&D, workforce training and incubation of hi-tech enterprises, with a focus on biomedical fields.

Currently, more than 57,000 square meters of land at this site are available for lease, while the remaining area will be developed after compensation and site clearance are completed.

Projects with investment intensity of $20 million, are encouraged.

A major highlight of the updated list is the data center project at plot T8, covering nearly 50,000 square meters.

The site is designated for a Tier 3+ data center meeting Green Data Center standards, serving hyperscalers, AI and cloud computing clients.

Ho Chi Minh City requires investors to have proven experience in building and operating large-scale data centers, particularly those serving global technology corporations.

Priority investment intensity is set at VND2.6 trillion per hectare.

In addition, plot T9, with an area exceeding 44,500 square meters, is also being promoted for a large-scale data center complex integrated with an R&D center for AI, machine learning, and cloud computing, with a similar level of investment intensity.

Incentives for strategic investors

According to the municipal administration, projects investing in the Saigon Hi-Tech Park are entitled to the highest incentives available under current regulations.

These include corporate income tax incentives, exemptions or reductions in land rental fees, and import tax exemptions for machinery and equipment not yet produced domestically.

While the latest update does not alter the overall development orientation of the Saigon Hi-Tech Park, it is expected to create fresh momentum in attracting strategic investors, particularly in semiconductors, biotechnology and digital technologies–sectors identified as new growth pillars for Ho Chi Minh City in the coming years.