Green light given to Hanoi facility, pushing up Samsung's investment in Vietnam to more than $13 billion.
Prime Minister Nguyen Tan Dung has approved a Samsung Electronics Vietnam (SEV) project establishing a research and development (R&D) center in Hanoi.
The center will develop high-tech electronic products and have total investment of $300 million in the capital’s Hoang Mai district.
The investment license is valid for 50 years and the project is fully exempted from land rentals for the same period.
The PM has asked the Hanoi People’s Committee to provide direction to agencies to check and inspect the incentives provided.
The Ministry of Science and Technology is responsible for inspecting SEV’s organization to ensure the center has the conditions for developing human resources.
Samsung previously asked the Ministry of Planning and Investment (MPI) for incentives for the project, such as a land rental exemption, a land clearance cost exemption, and the removal of import duties on equipment and building materials that serve research activities.
It also asked that R&D employees receive a 50 per cent exemption on their personal income tax obligations.
Samsung’s total investment in Vietnam now stands at over $13 billion and by 2017 will reach $20 billion.