Lao Cai has broken ground on the Thong Nhat 1 Industrial Cluster, a 74.95-hectare project with about VND 860 billion in investment. The project targets Q1/2027 operation and is designed to support green manufacturing, logistics, local employment and cross-border investment links with Yunnan businesses.

Lao Cai province has broken ground on the Thong Nhat 1 Industrial Cluster, a new industrial infrastructure project covering 74.95 hectares and carrying total investment of about VND 860 billion. The project is planned to begin operation from the first quarter of 2027, supporting green manufacturing, logistics and cross-border investment at Vietnam’s northern gateway.

A New Industrial Platform for Lao Cai

Thong Nhat 1 Industrial Cluster is being developed in Gia Phu commune, Lao Cai province. The project is designed as an ecological industrial cluster, with environmental, social and governance standards integrated into its planning and infrastructure.

The cluster is oriented to attract sectors such as agricultural and forestry product processing, food, medicinal materials, furniture, wood products, supporting industries, auxiliary industries, mechanical engineering, electronics, refrigeration and garment production.

These industries align with Lao Cai’s direction of developing cleaner industrial activity, increasing local value creation and using local labour more effectively. Once operational, the project is expected to create stable jobs for thousands of workers, contribute to industrial production value, increase budget revenue and support economic restructuring in Gia Phu commune and nearby areas.

Infrastructure Built Around ESG Standards

The project will reserve 13% of its area for green space. Its core technical infrastructure includes wastewater treatment capacity of 2,000 m³ per day and night, water supply capacity of 25,000 m³ per day and night, and a 252 MVA power station.

The investor said this infrastructure is intended to help the project operate under ESG standards and meet the requirements of domestic and international manufacturers. The ecological industrial model used in the project is based on experience from Shinec’s Nam Cau Kien model in Hai Phong, but the project’s main focus is Lao Cai’s need for new industrial capacity and greener production infrastructure.

Thong Nhat 1 is also positioned as part of a wider network of industrial parks and industrial clusters being developed across Vietnam, with the aim of creating locations suitable for manufacturers seeking cleaner, better-planned production sites.

Local Commitment to Project Readiness

Mr. Ngo Hanh Phuc, Standing Vice Chairman of Lao Cai Provincial People’s Committee, said Thong Nhat 1 is not only an infrastructure project but also an important starting point for a new green and sustainable industrial and logistics ecosystem in the province.

The project completed 100% of site clearance before the groundbreaking ceremony, showing Lao Cai province’s commitment to supporting implementation progress. Provincial leaders requested the investor to focus resources, organise construction scientifically, comply with legal requirements, and ensure progress, quality, safety and environmental protection.

Lao Cai province also affirmed its commitment to accompanying enterprises and creating an open and transparent investment environment. The province is seeking to attract high-quality projects and welcome domestic and international investors into its developing industrial, logistics and cross-border trade ecosystem.

Cross-Border Investment Links with Yunnan

The groundbreaking followed an investment promotion conference for Thong Nhat 1 held on May 6, attended by representatives from local authorities in Yunnan province and more than 100 Chinese businesses and partners. The event aimed to accelerate infrastructure development and attract investors with advanced and environmentally friendly technologies.

At the ceremony, the project investor signed cooperation agreements with several Yunnan-related enterprises, including Hong Phi Agricultural Technology Co., Ltd. from the Yunnan Free Trade Pilot Zone, Viet Hai Hekou Import-Export Co., Ltd., MUABAY Cross-Border E-Commerce Co., Ltd., and HUASHUO Vietnam Joint Stock Company. A separate agreement was also signed with NCK Land Joint Stock Company for investment promotion services.

The next phase will focus on completing technical infrastructure, attracting clean and higher-value industries, prioritising local labour training and recruitment, and filling the project in line with investment certificate commitments. For Lao Cai, the new 75-hectare industrial cluster is expected to turn cross-border cooperation into more concrete manufacturing and logistics investment.

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