Around four out of the ten factories in the Saysettha Development Zone, Vientiane Capital started manufacturing this year, said Mr Liu Hu, General Manager of Vientiane Saysettha Development Zone, on December 16.
The main investors in the zone are China, Thailand, Singapore, Australia and Hong Kong.
The developer has completed the first phase operating in 2012-2016. The zone mainly consists of industry focusing on the processing of agricultural and sideline products, hardware and building materials, machine manufacturing, clean energy production, logistics, commerce and trade. It also supports technological innovation and entrepreneurship of small and medium-sized enterprises.
In the second and third phases, focus will mainly be on developing commerce and trade along with the construction of Vientiane New City that will be completed by 2030, Mr Liu told Lao and Chinese media.
Mr Liu pledged to provide better special promotion policies to investors such as tax-free periods.
The Saysettha Development Zone, covering an area of 1,149 hectares, is located 17 km to the northeast of downtown of Vientiane Capital. It is at the heart of the new Vientiane sub-centre.
The Laos-China Joint Venture Investment Company, with 25% of shares being held by the Lao government and 75% of shares being held by China, is the main operator of the zone. The company has total capital of US$128 million co-funded by Yunnan Provincial Overseas Investment Co., Ltd, an overseas investment platform of Yunnan Construction Investment Holding Group Co., Ltd. and Vientiane Capital.
In 2011, the Lao government issued the decision to officially establish the Vientiane Saysettha Development Zone as a state-level Special Economic Zone in Laos.
In 2012, the Chinese and Lao governments signed a cooperation agreement which upgraded the Saysettha Development Zone to a cooperation project between two countries. The zone has also been listed as a project of high priority for China’s “One Belt and One Road” initiative along with a significant project in Laos listed in the plan of international capacity and equipment manufacturing cooperation in major countries issued by the National Development and Reform Commission of China.
In May 2016, a joint statement between the Chinese and Lao governments was declared by the two countries to guarantee the smooth implementation of major cooperation projects, promoting new progress for the Saysettha Development Zone.
Source: Lao News Agency