Frequently Asked Questions (FAQ)

Who is the developer for Le Mont Xuan Phuong Industrial Cluster?

The Le Mont Xuan Phuong Industrial Cluster is developed by the Le Mont Group, led by the internal management board with many years of experience in industrial development in Vietnam.

Learn more about Le Mont here

The location & distance from Le Mont Xuan Phuong Industrial Cluster to Hanoi centre, airport, port, seaport and railway?
  • 70km (55mins) to Hanoi City
  • 50km (40 mins) to Noi Bai International Airport
  • 40km (50 mins) to Bac Giang
  • 60km (50 mins) to Inland container depot
  • 150km (1,5 hours) to Vietnam-China border (Huu Nghi boundary gate)
  • 176 km (1h 45 mins) to Hai Phong seaport
How is the infrastructure and utilities service in Le Mont Xuan Phuong Cluster?
  • Power supply: 22KV
  • Water capacity: 3000 m³ /day
  • Sewage treatment capacity: 2,200 m³/day
  • Wide cross: 41m
How many hectares is the Industrial Cluster? How is the current rental status?

Total land area is 75ha & approximately 50ha leasable land.

Which fields of investment is encouraged and not allowed to invest in Le Mont – Xuan Phuong Cluster?

All industries approved by local authority, except for polluted industry that high risk to the environment and surrounding community

Does the Industrial Cluster have any other form of leasing land besides land lease such as: Ready Built Factory, Warehouse,…?

We have reserved 10ha of land to develop RBF, warehouse and other supportive facilities on 2nd stage

Land price in Le Mont Xuan Phuong Industrial Cluster?

Initial launching price at 80 – 99 USD/ m²

Minimum land size?

Minimum 7000 sqm

Payment term?

10% deposit (after signing MOI/MOU) + 40% (after signing LA) + 45% (after land handover) + 5% (after LURC)

The difficulty for Chinese customers with the new passport when investing into Thai Nguyen?

The difficulty for Chinese customers with the new passport when investing into Thai Nguyen?

What is the procedure to issue IRC/ERC for customers investing in Vietnam/Industrial Cluster? and how long does it take?

We have one-stop service to support the tenants to do IRC/ERC procedures and within 30 working days the tenant will get the IRC/ERC

What are the challenges for FDI and foreign investors doing business in Viet Nam?

The administration procedures are complicated, different culture and infrastructure is well developed

What is the form of investment and business in Vietnam? How is the process?

Article 21 of Law investment: Form of investment

  • Investment in establishment of a business organization
  • Investment in the form of capital contribution or purchase of shares or stakes
  • Execution of an investment project.
  • Investment in the form of a business cooperation contract.
  • New forms of investment and types of business organizations prescribed by the Government’s regulations
Can FDI join in the sales and distribution activities in Vietnam? What are the conditions?

Yes and in order to import and distribute goods, the company needs to get import license & distribution right as prescribed in Article 7 of Decree 09/2018/ND-CP

Can FDI join in the manufacturing activities in Vietnam? What are the conditions?

Yes and need to get the license issued by the competent authorities

How much is the cost for an IRC/ERC dossier?

Estimated registration fee for ERC is 50,000VND/time, there is not yet regulation for fee on IRC

Regulation about the legal representative?

According to the provision of Article 12 of the Law on Enterprise: The enterprise’s legal representative is the person that, on behalf of the enterprise, exercises and performs the rights and obligations derived from the enterprise’s transactions, acts as the plaintiff, defendant or person with relevant interests and duties before in court, arbitration, and performs other rights and obligations prescribed by law;

In case the investor/FDI would like to terminate the investment project, what is the procedure?

The investor will submit a decision to terminate the investment project to the investment registration office within 15 days from the date of decision.

Can the investor transfer the investment project to another investor? If yes, what is the procedure?

According to Article 46 Law on Investment, an investor is entitled to transfer part or whole of the investment project to another investor when the following conditions are satisfied:

  • The investment project or the part of the investment project which is transferred has not been terminated in accordance with Clause 1 and 1 Article 48 of Law on Investment
  • The foreign investor receiving the investment project or part of the investment project must satisfy the conditions set out in Clause 2 Article 24 Law on Investment;
  • The conditions set forth the law on land are complied with if the transfer of an investment project is associated with transfer of the land use rights/assets on land;
  • The conditions set forth in the laws on residential housing and on real estate business are complied with in the case of transfer of a residential housing construction project or real estate project are complied with;
  • The conditions set forth in the written approval for investment guidelines or the investment registration certificate or in accordance with other relevant regulations of law (if any) are complied with;

The procedure is as below:

  • In the case of an investment project in which the investor has been approved in accordance with Article 29 Law on Investment and the investment project has been issued with an IRC, the investor shall follow procedures for adjusting the investment project as prescribed in Article 41 of Law on Investment;
  • For an investment project other than that prescribed in Point of this Clause, the transfer of the investment project or transfer of asset ownership to the investor receiving the investment project shall be carried out in accordance with the civil law, the law on enterprises, the law on real estate business and other regulation of law.
What is the regulation of contributing investment capital for investors in Vietnam?

The rate of capital contribution of foreign investors based on international treaties on investment industry

Which form of contributed capital can be under? Time for contributing capital?

Contributed assets include VND, convertible foreign currencies, gold, land use right (LUR), intellectual property rights, technologies, technical secrets, other assets that can be converted into VND

Contribution schedule: The owner shall contribute adequate and correct assets as promised when applying for enterprise registration within 90 days from the issuance date of the Certificate of Enterprise Registration. The time needed to transport or import the contributed assets and for completing ownership transfer procedures will be added to this 90-day period. During this period, the owner shall have rights and obligations that are proportional to the promised capital

What is the condition and process to transfer profit from Vietnam to oversea?

According to the provisions of the Law on Investment 2020, after fully fulfilling financial obligations to the state of Vietnam in accordance with the law, investors are allowed to remit the following assets:

  • Investment capital, investment liquidations
  • Income from business investment activities
  • Money and other assets legally owned by the investor

Condition to remit:

The annual profit remitted abroad is the profit that foreign investors are divided or earned in the fiscal year from direct investment activities based on audited financial statements, CIT finalization declaration, that the foreign investors invest plus with (+) other profit such as profits that have not yet been carried over from previous years; minus (-) amounts used or committed by foreign investors to re-invest in Vietnam, profits used by foreign investors to cover expenses of investors for business activities or personal needs of foreign investors in Vietnam.

Can foreign currency be used for transactions?

Pursuant to Article 4 of Circular 32/2013/TT-NHNN, there are a number of cases where foreign exchange can be used in Vietnam:

  • Residents being organization with legal status may transfer internal capital in foreign currency between the account of that organization and the account of independent company without legal entity,
  • Residents are allowed to contribute capital in foreign currency by transfer to implement foreign investment project in Vietnam;
Is there any regulation about the time of contributing capital fully on IRC and procedure to expire time of contributing capital fully?

Timeline for capital contribution is 90 days since the date of issuance of ERC. Timely capital contribution is considered very important because it is overdue as scheduled on IRC, the Bank will not allow investors to receive investment capital and the investor will not have capital to implement the project. However, to expire the date of capital contribution, investor can extend the time for investment capital contribution:

  • A request for adjustment of the investment certificate
  • Report on project implementation
  • Decision of BOM/Owner on adjustment of IRC
  • Explain the reason for the adjustment
  • Documents related to the adjustment: confirmation of contributed capital, financial capacity,….
How is the procedure to get the Land Use Right certificate? When can investors obtain it?

Office in charge of certifying land use right – the Department of Natural Resources and Environment of Bac Ninh (DONRE) and within 30 working days from the date of submitting the full valid dossier.

Is the investor-owned use right and property attached on land?

Yes. According to the provision of Article 99 Law on Land 2013 : Land user in industrial park, industrial cluster, EPE, Economic zones shall be granted Land Use Right Certificate and assets on land.within 50 years

Can the investor transfer the land to the third party? If yes, what is the transfer fee?

Land users may exercise the right to transfer land. When performing the transfer of land use rights, in addition to the obligations in the agreement, the Parties have to pay following 4 types of fees:

  • Registration fee
  • Fees for appraisal of dossier for issuance of land use right certificate
  • Fee for issuance of land use right certificate
  • Fee for notarization of land use right transfer contract
Minimum land size and construction density of leased land in industrial clusters?

Minimum 7000 m² and construction density of leased land is not over 70%

Is there any regulation about the max height,setback, green buffer, noise, water & electricity connection point inside the factory?

According to the regulation of construction (not yet building Planning and Development Guideline for Le Mont Xuan Phuong Industrial Cluster)

Beside land leasing cost, what kind of fee do the investor have to pay during the operation in an industrial cluster?
  • Management fees – TBC
  • Sewerage Treatment – TBC
  • Water supply – TBC
  • Power supply – as per EVN rate
Drainage system?

The customer’s drainage system will be connected to Industrial Cluster’s drainage system at the designated connection location. The number of rainwater connection points will depend on the size of each plot.

Fire Fighting system?

The customer’s fire protection system complies with the regulations on the prevention and fighting of the State management office

Is there any challenge in recruiting labor?

The challenge is because Samsung & others investors paid high. However, to support investors in recruiting workers, we connect with job centers, recruitment consultancy to organize job events, working with job trading centers, as well as coordinating with surrounding provinces to transmit recruitment information of investors, recruitment through media channels, networks, festivals,…

How many kinds of labor contracts are there in Vietnam?

Pursuant to the provision of Law on Labor 2019, since 1/1/2021, there will be two kind of labor contact:

  • Labor contract with indefinite term
  • Labor contract with definite term
Is there any regulation on working hours/annual leave for the labor?

According to Article 105 of Law on Labor 2019: normal working time does not exceed 08 hours/day and not more than 48 hours/week. The employer has the right to determine the working time by day or week but must notify the employee; In case of a week, the normal working time is not more than 10 hours/day and not more than 48 hours/week.

Regulation on Social Insurance for foreigners who are working in Vietnam?

For social insurance for foreigners working in Vietnam as prescribed in Article 2 of Decree 143/2018/NĐ-CP, the employees have to pay compulsory social insurance when meet 3 conditions:

  • Foreigner hold work permits, certificates or practice permits issued by competent authorities in Vietnam
  • Foreigners who have signed a Labor contract with a term of at least 1 year or an indefinite term with employer in Vietnam
  • Foreigner citizens are still of working age, have not reached retirement age (according to the retirement age regulation of Law on Social Insurance)

Social insurance contribution for foreigner is as prescribed in Article 12 & 13 of Decree 143/2018/NĐ-CP

How can foreigners working in Vietnam apply for work permits?
  • Step 1: Register labor demand

  • Step 2: Prepare dossier
  • Step 3: Submit dossier to Department of Labor War Invalids and Social Affairs
  • Step 4: Receive work permit

What are the regulations on minimum wage in Vietnam?

Decree 38/2022/NĐ-CP stipulating the minimum wage for employees working under labor contract shall be applied from 1 July 2022:

Minimum wage per month:

  • Region 1: 4,680,000VND/month
  • Region 2: 4.160.000 VND/month
  • Region 3: 3.640.000 VND/month
  • Region 4: 3.250.000 VND/month
What kinds of tax the Investors have to pay when they buy property?

In addition to taxes such as license tax, corporate income tax, and personal tax, the investment must pay one-time land rental charge for the entire lease term or pay annual land rental to the developer of Industrial Cluster (provision in Article 149 Law on Land)

In addition, there are a number of other taxes that must be paid according to characteristics of each organization such as: natural resources tax, import and export tax, environmental protection tax, special consumption tax, non-agriculture land use tax.

How can the investor enjoy an investment incentive (tax incentive) when they invest in an industrial cluster?

Investors are exempted from land rent 7- 11 years, and enjoy CIT incentives: 17% for a period of 10 years, tax exemption for 2 years, 50% reduction of payable tax for the next 4 years.

What are the conditions for deduction of VAT input for goods and export service ?

For goods and export services to be eligible for input VAT credit or refund, the following 4 conditions must be met:

  • Must have a contract to sell and process goods (for the case of processing goods)
  • Custom declaration
  • Must pay via bank
  • Must have Invoice
If an enterprise loses, can the loss amount be deducted to future CIT?

If an enterprise suffers a loss after tax finalization, it shall transfer all and continuously the loss into income (taxable income minus tax free income) of the following years. The loss transfer period shall be calculated continuously for not more than 5 years, from the year following year of loss (According to Article 9 Circulate 78/2014/TT-BTC)

What is Foreign Contractor Tax?

Foreign contractor tax is a tax applied to entities that are foreign organization and individuals (not operating under Vietnamese law) that generate income from the provision of services or services associated with goods in Vietnam)

Are there any amenities/services surrounding the Industrial Cluster? School, restaurant, hospital,….?

Le Mont is planning to develop office space, commercial building with restaurant, convenience area, and in addition we have 76ha with the Phuong Do Township outside the Industrial Cluster. Le Mont is building the infrastructure, health and education system in Xuan Phuong commune and Phu Binh District.

Which nationality is the main investor in Industrial Cluster from?

Main FDI in Thai Nguyen is Korean, Japanese, Chinese Investors

The investment situation in Thai Nguyen in recent years?

In previous years, investment projects in Thai Nguyen were mainly Korean companies, such as Samsung, Dongwha, etc. However, in the past 2 years, Thai Nguyen has opened our doors to the public. Expanding to attract businesses to different countries such as Hong Kong, China, emerging with DBG project, Trina Solar, or Sunny Optical project, etc. The province currently has more than 170 FDI projects with total investment capital collected. attracting more than 10.3 billion USD and in addition, nearly 850 domestic direct investment projects with a capital of over 145 trillion VND, creating favorable conditions for local workers and promoting economic development in the province.

In the past, despite facing many difficulties due to the complicated development of the Covid-19 pandemic, Thai Nguyen province is still one of the localities attracting the largest FDI in Vietnam. What solutions has the province implemented to attract investment?

With the aspiration to turn Thai Nguyen into one of the modern industrial economic centers of the northern midland and mountainous region and the Hanoi Capital Region by 2030, Thai Nguyen province has developed a program and plan to Specifically, in detail to create conditions for investors to research and learn about investment opportunities in the province, especially large corporations and enterprises, bringing growth momentum to the local economy. In particular, the province has focused on perfecting the socio-economic infrastructure in a synchronous and modern direction, and regionally linked transport infrastructure such as expanding the Ring 5 traffic route connecting Thai Nguyen – Bac Giang, and especially the province is interested in investment in site clearance, creating a land fund to attract investors, completing the infrastructure of industrial zones and clusters, making policies to attract investors. has the capacity to create a green economy with highly competitive key products


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