Tax-free port associated with free trade zone
Free Trade Zone ( Free Trade Zone - Trade Zone - FTZ) is a type of special economic zone where goods are imported, stored, processed, produced or processed before being exported with customs incentives and often tax-free. FTZs are often located at seaports, major airports or national gateways, taking advantage of commercial advantages.
Speaking at the seminar within the framework of the Vietnam Logistics Forum 2024 held in December 2024 in Ba Ria - Vung Tau, Mr. Nguyen Anh Son - Director of the Import-Export Department, Ministry of Industry and Trade - commented that FTZ is an effective model to help promote import-export and develop logistics. " Free trade zones provide an open mechanism, helping businesses benefit from tax exemptions and reductions and administrative procedure barriers" - Mr. Son emphasized.
Currently, some localities have favorable conditions in terms of geographical location, seaports, infrastructure to research and build free trade zones associated with duty-free seaports such as: Ho Chi Minh City, Ba Ria - Vung Tau, Da Nang...
Talking to Lao Dong Newspaper about the Tax-Exempt Port model in Da Nang, Mr. Vu Quang Hung - Head of the Management Board of the High-Tech Park and Industrial Parks - the unit assigned to manage and build the Da Nang Free Trade Zone - said: "Currently, relevant agencies, units and enterprises are in the process of researching...".
According to Mr. Hung, Da Nang has many available advantages such as its central location in Vietnam, Lien Chieu deep-water seaport and international airport, favorable for trade. Lien Chieu Port is being accelerated, expected to be completed in 2025. The Da Nang Free Trade Zone will include a production area, a logistics center and a commercial - service area. The National Assembly has approved a special mechanism, allowing the establishment of a free trade zone with many incentives on taxes, fees and land.
Ba Ria - Vung Tau is implementing the project " Free trade zone associated with Cai Mep Ha seaport" in Phu My city. On February 18, 2025, the Provincial People's Committee signed a Memorandum of Understanding with DP World Group (UAE) for development cooperation. DP World will share its experience in designing and operating FTZ, developing new ports and industrial - trade - service areas inside FTZ.
Attracting foreign investment, promoting sustainable economic development
Mr. Vu Quang Hung - Head of the Management Board of Da Nang High-Tech Park and Industrial Zones - said that the tax-free port model combined with a free trade zone, international airport and Lien Chieu port will help Da Nang become a regional logistics and trade center, attracting foreign investment and promoting sustainable economic development.
This is an overall strategy to create an attractive foreign investment ecosystem, promote economic development, and enhance the city's competitiveness. These models operate and impact the investment ecosystem in Da Nang.
Da Nang has many advantages to develop tax-free ports, but needs to improve additional conditions for effective operation. To turn this model into an economic driving force, the city needs to be large enough, integrating high-tech industry, port logistics and logistics, thereby enhancing competitiveness and attracting foreign investment.
Developing tax-free ports, raising the level of Vietnam's logistics
At the meeting with the Central Policy and Strategy Committee on February 24, General Secretary To Lam emphasized the need to promote the economy from both supply and demand, while removing barriers and bottlenecks to facilitate development, especially for the private economy. One of the important orientations suggested by the General Secretary is to build a "Tax-free Port" model to turn Vietnam into a major logistics center.
* The People's Committee of Ba Ria - Vung Tau province said that with the expected capacity of Cai Mep - Thi Vai reaching 12.8 million TEUs in 2030 and 34.5-41.4 million TEUs in the 2030-2050 period, Cai Mep Ha Logistics Center is an urgent need. Research on free trade zones after ports, planning of duty-free zones, warehouses, and distribution centers will help Cai Mep - Thi Vai promote its role as an international transit, making Ba Ria - Vung Tau a regional logistics center.
Mr. Pham Anh Tuan - General Director of Port Design - marine Engineering Consulting Joint Stock Company ( Portcoast) - said that currently, most of the exported goods are still being exploited at ICD (oasis port) in other provinces, then transported and loaded onto mother ships in the Cai Mep - Thi Vai area. Therefore, the formation of FTZ will remove the above problems, helping to save a lot of costs.
Mr. Pham Anh Tuan commented that with the role of regional and international cargo transit, the free trade zone is an indispensable part of the Cai Mep - Thi Vai transit gateway port.
* Mr. Nguyen Minh Tuan - Director of the Operating Center, Tan Cang - Cai Mep International Port (TCIT) - said that currently, the pilot open port is being implemented in Cai Mep - Thi Vai to increase, optimize exploitation capacity, reduce logistics costs for import and export goods...
This is the first step towards forming a free trade zone in the Cai Mep - Thi Vai area, with models of logistics centers, tax-free port models, etc. However, there is still a need for more truly breakthrough factors, helping to connect goods and connect ports together. Mr. Nguyen Minh Tuan stated that to develop a free trade zone, it is necessary to have a common space linking ports but separate from production areas. This is an important problem when forming a free trade zone in Cai Mep - Thi Vai.
