SINGAPORE - The Vietnam Singapore Industrial Park (VSIP), a joint venture (JV) between Sembcorp Industries and Vietnam’s Becamex IDC, will work on feasibility studies for smart and sustainable industrial parks in nine Vietnamese provinces.

VSIP signed a memorandum of understanding (MOU) with province leaders at a ceremony in Binh Duong Province on Saturday.

Projects that are feasible will progress to a cooperation agreement and are subject to the award of the investment registration certificate from the central government, said Sembcorp.

The company and its longstanding partner Becamex IDC already has an MOU to establish five VSIPs in Vietnam valued at about US$1 billion (S$1.3 billion).

The MOU was announced on Feb 10, during Vietnam Prime Minister Pham Minh Chinh’s state visit to Singapore.

The collaboration between VSIP and the provinces seeks to enhance socio-economic development through higher-value manufacturing, job creation and the development of new urban areas to support growing communities.

The nine provinces are located throughout the country – Binh Phuoc, Tay Ninh and Binh Thuan in the south; Khanh Hoa and Thua Thien Hue in central Vietnam; Ha Tinh and Thanh Hoa in the north-central region; and Thai Binh and Nam Dinh in the north.

Sembcorp shares closed at $4.30 on Monday, up by 1.4 per cent. THE BUSINESS TIMES