Hai Phong - New Free Trade Zone Approved

Hai Phong, the northern port city known as Vietnam’s “gateway to the sea,” is taking a bold step toward global competitiveness. According to the Hai Phong People’s Committee’s Decision No. 4068/QĐ-UBND dated October 13, 2025, the city has officially approved the establishment of a 6,292-hectare Free Trade Zone (FTZ), a landmark move that signals Vietnam’s ambition to deepen its role in international trade and innovation.

This new zone is not just another industrial expansion, it’s a strategic leap designed to transform Hai Phong into a center for production, logistics, high-tech manufacturing, and financial services in the coming decade.

Why Free Trade Zone Matters

The FTZ will span three major locations adjacent to the Dinh Vu – Cat Hai Economic Zone and the southern coastal economic area of Hai Phong, covering 2,923 ha, 1,077 ha, and 2,292 ha, respectively.

The goal: to build a modern ecosystem where logistics, manufacturing, high-tech, and trade services operate seamlessly, under a governance model designed to match international FTZ standards.

This project also aligns with Vietnam’s national strategy to develop special administrative and economic zones that attract global investors. With unique policy incentives, customs privileges, and visa facilitation measures, Hai Phong’s FTZ is poised to become one of the most competitive trade hubs in Southeast Asia.

Strategic Advantages and Growth Potential

A Competitive Logistics & Manufacturing Hub

Located near international deep-water ports, highways, and airports, the new zone strengthens Hai Phong’s position as Northern Vietnam’s logistics heart. Manufacturers and exporters will benefit from reduced transportation costs, faster customs clearance, and integrated supply chain management.

For example, investors in the Dinh Vu – Cat Hai Economic Zone already enjoy world-class connectivity, and this new FTZ will extend those advantages even further.

Magnet for High-Tech and Financial Investment

The FTZ aims to attract not just manufacturers but also technology and financial enterprises — fostering innovation, R&D, and digital transformation. Plans include 10-year residence permits for foreign professionals and simplified visa procedures, creating a welcoming environment for international experts and investors.

This vision resonates with global investment trends shifting toward knowledge-based and innovation-driven economies, positioning Hai Phong as a gateway for both manufacturing and modern service sectors.

Economic Acceleration and Sustainable Urban Growth

Beyond economics, the FTZ represents a catalyst for inclusive and sustainable development. Hai Phong aims to leverage this zone to expand its economic base from traditional logistics and port operations to green industry, smart urban services, and digital finance.

This strategic diversification not only boosts local GDP but also reinforces Vietnam’s role as a regional leader in sustainable industrial development.

Supportive Policy Framework and Institutional Readiness

The Hai Phong Economic Zone Authority (HEZA) has been tasked with developing a detailed roadmap for investor selection, infrastructure funding, and digital customs models, or what officials describe as a future “smart customs ecosystem.”

This ensures a transparent, investor-friendly environment, reducing administrative barriers and building trust with international partners.

What Businesses and Investors Should Prepare For

If you’re considering investment in Northern Vietnam, now is the time to plan strategically:

• Assess location advantages: The three designated sites each offer different access to port and logistics networks, ideal for export-oriented industries.
• Target priority sectors: High-tech, logistics, finance, and modern trade services are key focus areas.
• Leverage incentives: Investors can expect tax benefits, visa facilitation, and customs digitalization.
• Integrate sustainability: Green energy use, ESG compliance, and LEED standards are increasingly critical to attract multinational clients. (Explore Vietnam’s green industrial trend)
• Build supply chain networks: Collaboration with local suppliers and logistics providers ensures long-term competitiveness and resilience.

Key Considerations Before Entering the Market

While the FTZ has been approved, infrastructure rollout will take time. Businesses should monitor updates from HEZA and align project timelines accordingly. Legal and environmental due diligence remains essential, especially for companies seeking to qualify under customs-free and high-tech criteria.

Competition will also intensify as more investors enter the Hai Phong market. Differentiation through innovation, sustainability, and digital readiness will be crucial.

Finally, human capital and urban infrastructure, housing, education, healthcare, and lifestyle services, will play a key role in attracting and retaining global talent within the FTZ.

Key Takeaway:

A New Growth Chapter for Hai Phong and Northern Vietnam

Hai Phong’s 6,292-hectare Free Trade Zone is a bold statement of vision. It reaffirms the city’s commitment to global integration, technological innovation, and sustainable prosperity.

For investors and enterprises, this marks a golden opportunity to be part of Vietnam’s next frontier of growth. With world-class logistics, strategic location, and progressive policies, Hai Phong is set to become a powerhouse of industrial and commercial advancement in Asia.

Now is the time to explore, connect, and invest, as Hai Phong opens its doors to a brighter, more dynamic future.

For investors seeking to capture opportunities, Core5 Vietnam provides more than facilities , we are your strategic partner in long-term success.

Discover more About Us

Interested in expanding your business in Vietnam? Contact Core5 Vietnam today.