From “Wasteland” to FDI Magnet: The Story of Ba Thien II and Phu Tho’s New Position

Ba Thien II Industrial Park (IP) in Phu Tho is emerging as a model of sustainable industrial development. From a project that began with numerous challenges, it has now become a “second home” to dozens of foreign enterprises from multiple countries.

A corner of Ba Thien II Industrial Park

A Rocky Start: “Investment Promotion on Paper”

Granted its investment certificate in 2009—right amid the global financial crisis and economic downturn—foreign direct investment flows plummeted, causing delays similar to many other IP projects nationwide. By 2011, as the global economy began to recover, the project officially broke ground. At that time, Ba Thien II was still a barren hillside.

Determination and persistence turned the tide. The leadership of VinaCPK “dared” to include penalty clauses for delays in their contracts, committing to hand over cleared land to investors. Though the commitment was “only on paper,” it won the trust of demanding partners. In 2012, Nippon Paint (Japan) officially signed on, becoming the pioneering investor and paving the way for a new wave of investment.

Representatives of Nhan Dan Newspaper in northern provinces visiting and learning about the development model of Ba Thien II Industrial Park

That milestone marked a strong transformation for Ba Thien II IP. From a sprawling construction site, it gradually came alive with the presence of dozens of international enterprises. “After Nippon Paint placed its trust here, they introduced many other Japanese companies seeking investment destinations.”

The success of Ba Thien II came not only from the efforts of the investor but also from a sound development strategy that prioritized high-quality, synchronized infrastructure. Located at the heart of one of northern Vietnam’s most dynamic economic regions, the IP enjoys a strategic position: just 50 km from Hanoi, over 20 km from Noi Bai International Airport, and conveniently connected to major seaports.

On its 309-hectare site, VinaCPK has invested in international-standard infrastructure for Ba Thien II.

A “Destination” for Global Giants

Today, Ba Thien II IP is home to 76 enterprises, including 71 foreign-invested firms, with total registered capital exceeding USD 1 billion. The occupancy rate has reached 98% of cleared land—an impressive figure given ongoing global economic volatility.

The land lease signing ceremony between VinaCPK and EV Advanced Material Vina (EVAM) of South Korea on August 22, 2025

Many multinational corporations applying advanced technologies have chosen Ba Thien II as their production hub, creating a diverse international manufacturing community. Notable names include Polaris (USA)—a world-leading motorcycle and automobile engine manufacturer investing USD 40 million in its first plant in Phu Tho; Nippon Paint (Japan)—the “trailblazer” for Japanese investment; Assa Abloy (Sweden)—a global leader in smart door solutions; VPIC1 (Taiwan); TAL (Hong Kong); New Flex and SoLuM (South Korea), among others.

The presence of these industry leaders not only affirms the reputation of Ba Thien II IP but also makes it a crucial link in global supply chains.

The park’s growth has delivered significant socio-economic benefits to the locality. More than 25,000 workers—mostly locals—now have stable jobs. Rising incomes have in turn driven the development of services, commerce, healthcare, and education in the area.

To further attract FDI, Mr. Trinh Van Quang, CEO of VinaCPK, proposed several key recommendations for Phu Tho province: maintaining policy stability and consistency; accelerating planning and investment in connectivity infrastructure to cut costs and save time for enterprises; streamlining administrative procedures and enhancing the efficiency of the “one-stop-shop” mechanism; developing high-quality human resources through a “school–enterprise–government” model; and improving living conditions and housing for workers.

Ba Thien II IP is not only a successful project but also a vivid testament to the effective synergy between business efforts and local government support. The story of a “wasteland” turned into an FDI magnet is cementing Phu Tho’s position on Vietnam’s industrial map.

The centralized wastewater treatment plant of Ba Thien II Industrial Park

With the land lease agreement signed with EV Advanced Material Vina (EVAM) of South Korea on August 22, 2025, Ba Thien II continues to demonstrate its appeal to foreign investors and reflects the increasingly stable investment environment of the “new” Phu Tho, building lasting trust among FDI enterprises.

Ngoc Thang