Policies to incentivize and support the development of industrial clusters.

Many preferential policies and support measures are in place to develop industrial clusters.

Investment incentives for projects to build technical infrastructure for industrial clusters and projects to produce and conduct business within industrial clusters.

The Decree stipulates investment incentives for: Industrial clusters located in areas with difficult socio-economic conditions; and investment in the construction of technical infrastructure for industrial clusters in sectors and professions that receive special investment incentives.

The application of incentives to investment projects for the construction of technical infrastructure in industrial clusters and investment projects for production and business within industrial clusters shall be carried out in accordance with the laws on land, taxation, credit, and other relevant laws. In cases where the law prescribes different levels of incentives, the highest level of incentive shall apply.

Support for investment in the construction of technical infrastructure for industrial clusters.

The Decree stipulates that local budgets (including targeted supplementary revenue from the central budget to local budgets) shall balance and support investment and development of technical infrastructure systems inside and outside industrial clusters in the locality (prioritizing support for investment in environmental protection infrastructure projects in industrial clusters already in operation; supporting investment in essential common technical infrastructure projects of industrial clusters in areas with difficult or extremely difficult socio-economic conditions, industrial clusters developing in the direction of industry linkages, specialized industries, support, ecology, and preservation of traditional crafts) in accordance with the Law on Public Investment and the Law on State Budget.

The State shall provide support not exceeding 30% of the total investment capital of the project for the construction of technical infrastructure in industrial clusters. The support funds shall not be included in the total investment of the project for calculating land lease prices or infrastructure usage prices for investment projects within industrial clusters. The investor constructing the technical infrastructure of the industrial cluster is responsible for managing, repairing, and regularly operating the supported technical infrastructure facilities to serve the overall operation of the industrial cluster.

The People's Committee at the provincial level shall report to the People's Council at the same level for decision or make decisions within its authority and in accordance with the law regarding investment support for the construction of technical infrastructure in industrial clusters within its jurisdiction.

Supporting the development of industrial clusters.

1. The central budget ensures funding for the development of industrial clusters implemented by the Ministry of Industry and Trade, including:

a) Investigating, building, and operating a database of industrial clusters; organizing conferences and seminars, coordinating investment promotion for industrial clusters; disseminating information, printing and publishing documents, training, and providing professional development on laws and policies related to industrial clusters;

b) Surveying, evaluating, and developing policies, management models, and experiences in industrial cluster development both domestically and internationally; developing and disseminating policies and laws on the management and development of industrial clusters;

c) Researching and developing criteria for identifying effective and environmentally friendly industrial cluster development models (such as specialized industrial clusters, supporting industrial clusters, ecological industrial clusters, etc.); organizing guidance and recognition for industrial cluster development models; organizing awards, summarizing achievements, and preparing reports on the development orientation of industrial clusters.

2. Local budgets shall ensure funding for the development of industrial clusters implemented by the locality, including:

a) Activities for the development of industrial clusters as stipulated in points a and b of item 1;

b) Organizing investment promotion activities for industrial clusters; investigating and surveying organizations and individuals in need of relocating or investing in industrial clusters; establishing and appraising the establishment and expansion of industrial clusters; preparing detailed construction plans for industrial clusters; supporting the implementation of administrative procedures related to industrial clusters;

c) Providing financial support for the preparation of investment projects, transportation costs, and installation of machinery and equipment for enterprises, cooperatives, cooperative groups, and households in craft villages and residential areas relocating to industrial clusters or craft village industrial clusters. The specific support level shall be decided by the Provincial People's Committee.

The Decree clearly states that funding for the development of industrial clusters is a source of operational funds. It is managed and used in accordance with the provisions of the State Budget Law and its implementing guidelines.