The Future of Hai Phong’s Billion-Dollar Districts: Unveiling the $7 Billion Investment and the Planned $5 Billion Mega Port


Haiphong is one of the five centrally-controlled municipalities in Vietnam, spanning over 1,500 square kilometers. The city currently comprises 15 administrative divisions, including seven districts and eight rural districts. According to the Master Plan for Haiphong City by 2040, with a vision towards 2050, the city will establish two new districts: An Duong and Kien Thuy.

Located about 10 kilometers from the center of Haiphong, An Duong district covers an area of approximately 104 square kilometers and has a population of over 205,000 people (as of 2023). An Duong holds a strategic position as the western gateway to Haiphong, and it is home to several large industrial parks and clusters that attract significant investment projects from prominent domestic and foreign corporations, such as Trang Due, An Duong, and Nomura.

Notably, the Trang Due Industrial Park is home to the LG Group from South Korea. Currently, the industrial park hosts seven LG projects (LG Electronics, LG Display, LG Innotek, LG CNS, and LG Chemical with two projects) with a total investment of up to 7.24 billion USD. In addition, there are dozens of other supporting projects within the ecosystem.

Most recently, in June 2023, the LG Innotek project added another billion USD in investment (bringing the total investment in this project to over 2 billion USD) to construct the V3 factory for exporting camera modules. This additional investment brought Haiphong city’s total FDI in 2023 to 3.4 billion USD, ranking second in the country.

To date, the LG Group owns three manufacturing plants in Haiphong, all located in the Trang Due Industrial Park in An Duong district. These include LG Electronics, which specializes in household appliances; LG Innotek, a producer of camera modules for smartphones; and LG Display, which manufactures electronic screens.

The presence of LG has had a profound impact on An Duong, transforming it from an agricultural district to one with a rapid urbanization rate. During the 2003-2022 period, An Duong achieved an average growth rate of 7.78% per year. In 2023, the district’s estimated state budget revenue reached nearly 4.4 trillion VND.

According to the Master Plan, An Duong district will become a center for industry, logistics services, education, healthcare, and science and technology in the Northern coastal region. The district aims to meet the criteria for becoming a municipal district by 2025.

Alongside An Duong, Kien Thuy district is also in the process of striving to become a municipal district of Haiphong. Located in the southeastern part of the city, Kien Thuy covers an area of approximately 109 square kilometers and has a population of over 140,000 people.

Kien Thuy possesses significant potential with its 6.7-kilometer coastline and two rivers, Van Uk (12.8 kilometers) and Da Do (20 kilometers), which have formed over 20 square kilometers of alluvial land along the river and coastal areas. However, for many years, Kien Thuy lagged in development and remained predominantly agricultural. Since around 2020, the district has witnessed breakthrough changes with the development of transportation connections, industrial parks and clusters, and a focus on ecological agriculture and high-tech agriculture for commodity production.

In terms of economic performance, in 2023, the district’s balanced budget revenue was estimated at over 520 billion VND. The per capita income reached 51 million VND per person per year (in 2020), a 3.4-fold increase compared to 2010. The district’s economic structure has also been shifting in the right direction. In 2024, Kien Thuy aims for an agricultural, forestry, and fishery production value of nearly 1.7 trillion VND and an industrial production value of over 1.25 trillion VND, with a poverty rate of 0.3%.

According to the Master Plan, Kien Thuy district will gradually work towards meeting the criteria for becoming a municipal district by 2030. Additionally, a new urban area and industrial zone will be established, along with the development of a regional sports center and the improvement of infrastructure in Nui Doi town. The district also encourages the development of modern and integrated new urban projects.

Notably, Kien Thuy is one of the localities planned for the construction of the Nam Do Son Port with an area of 50 square kilometers and an investment of 5 billion USD. The port will have the capacity to handle container ships carrying up to 18,000 containers, general cargo ships of up to 200,000 tons, and liquid/gas cargo ships of up to 150,000 tons.

Location of An Duong and Kien Thuy districts

Previous articlePursuing Revenue Records in 2024: The Bầu Đức Conundrum
Next articleWhy Are 283 Public Investment Projects in Ho Chi Minh City Delayed?