Post-Merger, Ho Chi Minh City Fans the Flames of Industrial Growth
The merged Ho Chi Minh City (HCMC), which serves as Vietnam's economic, industrial, and commercial hub with a population nearing 14 million, has unveiled a strategic plan for industrial development that focuses on advanced manufacturing, digital transformation, and supporting industries within the context of Vietnam’s Industry 4.0.
Expansion of Industrial Zones
The merged HCMC now governs 66 industrial and export-processing zones spanning 27,000 hectares. The city aims to expand this number to 105 zones covering 49,000 hectares by 2050, facilitating large-scale industrial growth.
Mega High-Tech Industrial Park by THACO Group
A significant cornerstone project is the 786-hectare mechanical industrial park in the former Binh Duong province, with a total investment of approximately $2.87 billion. Scheduled to open in September 2026, this park will integrate suppliers into a streamlined production chain, bolster supporting industries, and create 30,000 jobs, including 10,000 for skilled technicians.
Focus on Advanced Manufacturing Sectors
The industrial master plan revisited post-merger prioritises high-tech sectors such as electronics, semiconductors, machinery, chemicals, and green technology. This aligns HCMC’s industrial transformation with Industry 4.0 demands, emphasising innovation and sustainability.
Digital Transformation & Innovation Ecosystem
The strategy promotes building innovation ecosystems that connect universities, research institutions, and enterprises. Policies support public-private cooperation models and experimentation to position HCMC as both a production center and an industrial innovation hub.
Workforce Development
Emphasis is placed on nurturing a skilled workforce suitable for next-generation industries, ensuring training programs respond to real business sector needs. This is critical for supporting digital transformation and advanced manufacturing capabilities.
Green, Smart Industrial Clusters and Logistics Integration
Industrial zones are being redesigned as green, smart, and logistics-integrated clusters to improve efficiency, sustainability, and global supply chain connectivity. This enhances HCMC’s role as a strategic industrial hub with strong port and energy infrastructure from Ba Ria-Vung Tau.
Strong Current Industrial Growth
The city saw an 8.6% increase in the Industrial Production Index in the first half of 2025, led by manufacturing and processing sectors closely tied to the strategic focus, indicating positive momentum.
In summary, the merged HCMC’s industrial development strategy deeply integrates Industry 4.0 by prioritising advanced manufacturing, digital platforms, artificial intelligence applications, and supporting industries. This strategy is built on a large-scale expansion of industrial zones, innovation-driven ecosystems, and workforce skill enhancement, combined with strong logistics and green industrial cluster development to boost Vietnam’s competitive position in the regional and global manufacturing landscape.
- The strategic plan for industrial development in the merged HCMC includes an expansion of the number of industrial zones from 66 to 105, covering 49,000 hectares, to facilitate large-scale industrial growth.
- The THACO Group is constructing a mega high-tech industrial park spanning 786 hectares in the former Binh Duong province, which will integrate suppliers into a streamlined production chain, bolster supporting industries, and create 30,000 jobs, including 10,000 for skilled technicians.
- The industrial master plan prioritizes high-tech sectors such as electronics, semiconductors, machinery, chemicals, and green technology, aligning with Industry 4.0 demands and emphasizing innovation and sustainability.
- The strategy promotes building innovation ecosystems that connect universities, research institutions, and enterprises, with policies supporting public-private cooperation models and experimentation to position HCMC as both a production center and an industrial innovation hub, especially in the context of AI and digital transformation.
