At the forum "Connecting Enterprises 2024" organized by Lao Dong Newspaper, the Management Board of Da Nang High-Tech Park and Industrial Parks on October 9 in Da Nang, representatives of Da Nang city leaders will introduce to businesses and investors more information about the Free Trade Zone model, effective from January 1, 2025 according to Resolution 136/2024/QH15.
According to the leaders of Da Nang city, the pilot establishment of a free trade zone is not meant to be unstable, but to be flexible in adjusting the pilot mechanisms, bringing a better business environment in the free trade zone, accumulating experience and necessary assessments in the process of researching and developing legal documents to apply nationwide.
This mechanism significantly reduces costs in terms of time and administrative procedures in developing legal regulations in the current context and also does not contradict international definitions of free trade zones thanks to the similarities in the characteristics of the models.
At the same time, when comparing the tax policies currently prescribed in economic zones and duty-free zones, the level of incentives is basically not lower than that of some typical neighboring free trade zones.
Therefore, in the initial pilot phase, the focus of the preferential policy applied to the Da Nang free trade zone is focused on creating the most favorable conditions for investment and business procedures, focusing on "one-stop".
Regarding the development roadmap, to ensure resources and investment efficiency according to international experience, Da Nang city will prioritize attracting and selecting strategic investors, implementing construction, completing and putting into operation a number of items according to a 2-phase roadmap.
From 2025-2030, complete the port logistics infrastructure (80ha), implement phase 1 of the commercial service area (about 50ha) and production area (about 250ha). Phase 2 from 2030 implements the commercial service area and production area with a total area of about 582ha.
In terms of expected output impacts, typical cases of free trade zones around the world provide ample evidence of the role of free trade zones in attracting investment, creating jobs, stimulating growth and exports.
However, due to differences in institutions, geopolitical characteristics and trade development needs of each country, quantifying these impacts on the first pilot free trade zone in Vietnam does not ensure objectivity and comprehensiveness.
However, with an investment policy framework that is not lower than that of an economic zone, combined with favorable conditions for planning technical infrastructure, social infrastructure, human resources, and international trade connectivity, the economic benefits from the Da Nang free trade zone will not be lower than the average of current coastal economic zones.
In addition, it is necessary to consider the indirect benefits from the establishment of free trade zones such as the formation of headquarters of large corporations, innovation in science and technology, development of maritime economy, attracting talent, and institutional innovation that have a huge impact on the socio-economy.
