Designated Land Areas in Đà Nẵng Free Trade Zone
In the bustling Vietnamese port city of Da Nang, a significant development is underway. The Da Nang Free Trade Zone (FTZ), officially approved in July 2025, is set to become Vietnam's first free trade zone and a potential regional and global economic powerhouse [1][2][3]. Spanning 1,881 hectares across multiple sites, the FTZ is poised to transform Da Nang into a hub for manufacturing, logistics, commerce, digital technology, innovation, and high-tech industries [1][2][3][4].
The FTZ's strategic vision extends beyond conventional economic zones, aiming to serve as a central growth engine for Central Vietnam and the nation, integrating manufacturing and export activities with regional economic development and innovation [2]. To achieve this, the FTZ boasts special policies and legal flexibility, allowing for experimentation with advanced incentives and regulatory models [2][4].
Da Nang's authorities have proposed numerous policies to enable efficient FTZ operation and attract top experts, scientists, and skilled workers. The goal is to create a smart, green, and sustainable development [4]. The FTZ is expected to contribute significantly to Da Nang's economy, potentially accounting for 12–13% of the city's Gross Regional Domestic Product (GRDP), attracting over 50,000 experts and workers, and boosting tourism to 20 million visitors [4].
In line with this ambitious vision, the FTZ is set to integrate with an International Financial Center (IFC) in Da Nang, enhancing the city’s financial services sector and integrating with key Asian financial hubs [1][3][4]. The FTZ is also expanding to incorporate the Chu Lai Open Economic Zone.
Local investor Saigon-Da Nang Investment Joint Stock Company (SDN) has already started construction on the Hoa Nhon Industrial Park within the FTZ. Da Nang City is actively seeking strategic investors with an investment fund ranging from VND2 trillion ($77 million) to VND8 trillion ($306 million) for the FTZ [2].
The proposed sites for development within the FTZ include the Ba Na-Suoi Mo tourism complex and a residential urban zone. The FTZ will have specialized functional zones for production, logistics, trade, services, digital technology, information technology, and innovation hubs [2][5]. The largest proposed site is in Haai Van Ward (500ha) and Ba Na commune (645ha) [2].
Last month, Da Nang signed Memoranda of Understanding (MOUs) with Terne Holdings Group, One Destination, BRG Group, Imex Pan Pacific, Newtechco Group, and Saigon Da Nang Investment JSC as key investors in the FTZ [3]. The FTZ's emphasis on flexible policies indicates a readiness to engage diverse international partners to foster innovation and economic growth [1][2][4].
The Da Nang Free Trade Zone is also part of plans to develop the deep-sea Liechieu Port and expand air cargo service at Da Nang International Airport [3]. With land clearance and infrastructure projects expected to start after surveys are completed, the stage is set for the FTZ to become a leading regional economic center and a strategic economic driver in Vietnam.
References: [1] VietnamNet Bridge. (2025, August 12). Da Nang Free Trade Zone to attract 50,000 experts, workers. Retrieved from https://vietnamnet.vn/en/society/da-nang-free-trade-zone-to-attract-50000-experts-workers-722601.html
[2] VnExpress International. (2025, July 15). Da Nang to attract $1.6 billion for Free Trade Zone. Retrieved from https://e.vnexpress.net/news/business/danang-to-attract-1-6-billion-for-free-trade-zone-4225345.html
[3] Tuoi Tre News. (2025, August 10). Da Nang to develop deep-sea port, expand air cargo service in Free Trade Zone. Retrieved from https://tuoitrenews.vn/news/business/20250810/da-nang-to-develop-deep-sea-port-expand-air-cargo-service-in-free-trade-zone/6086324.html
[4] Vietnam Plus. (2025, July 20). Da Nang Free Trade Zone to focus on green, smart development. Retrieved from https://vietnamplus.vn/da-nang-free-trade-zone-to-focus-on-green-smart-development/216221.vnp
[5] The Investor. (2025, August 5). Da Nang Free Trade Zone to have seven sites for development. Retrieved from https://www.theinvestor.vn/business/105468528/da-nang-free-trade-zone-to-have-seven-sites-for-development
- In line with its ambitious vision, the Da Nang Free Trade Zone (FTZ) is not only integrating with an International Financial Center (IFC) to enhance financial services but also collaborating with leading companies like Terne Holdings Group, BRG Group, and Saigon Da Nang Investment JSC, to foster innovation and economic growth.
- The FTZ's integration with advanced technology will extend beyond logistics and manufacturing, as it plans to establish specialized functional zones for digital technology, information technology, and innovation hubs, setting the stage for breakthroughs in AI and other high-tech industries.
- Aware that conflicts can disrupt global trade and economic development, the authorities responsible for the FTZ have devised special policies and legal flexibility that allow for experimentation with advanced incentives and regulatory models, aiming to ensure the zone's resilience and adaptability in the face of unprecedented changes in the global economy.
