Quang Nam set for car industry upgrade

The success of the economic zone is helped along by the vehicle production industry

For the rest of this decade and beyond, the province will promote the development of automobile manufacturing and assembly of mechanical, electrical, and electronic products. It will form a national multipurpose mechanical and car centre, developing supporting industries associated with seaport, airport, and railway logistics.

Although Quang Nam has positioned itself to become an industrial centre of the country over the past 20 years, now it wants to develop industry to reach a regional level.

Quang Nam’s automobile industry has been developed in close association with Chu Lai Open Economic Zone (EZ), which will become a comprehensive, multi-sector zone, with the core being the vehicle mechanical industry. According to the plan, the EZ will seek to pull in resources from domestic and foreign businesses.

In the EZ, a national pharmaceutical processing and silica industrial centre for the central region will be formed. Optimal exploitation of functions and capacity of seaport and airport systems. In addition, develop non-tariff zones associated with seaports and airports for production, processing, and manufacturing of high value-added products and specific trade and service activities.

The name most associated with the EZ is the national brand known as Truong Hai Group (THACO). In 2003, its assembly and production arm THACO Auto pioneered investment in the EZ, building a factory to produce and assemble trucks and buses, and taking the first steps for the formation of the automobile industry in Quang Nam.

From there, many more factories were built and put into operation with modern technology lines, thus forming the largest-scale vehicle manufacturing and assembly industrial centre in Vietnam, and among the top in Southeast Asia.

The lines of passenger cars, trucks, and buses originating from THACO in Chu Lai have spread throughout the country and abroad for many years, creating the image and economic position of Quang Nam, and helping the company provide a substantial annual budget contribution to the province.

THACO is developing a multi-industry strategy, becoming a group with member corporations operating in automobiles, agriculture, mechanics, and supporting industries.

This year in Chu Lai EZ, THACO will focus on implementing transport infrastructure projects, industrial parks (IPs), and urban areas. These include Chu Lai-THACO Automobile Mechanical IP expansion; THACO Chu Lai Agriculture and Forestry Specialised IP; a port, logistics, and non-tariff area; dredging the existing Ky Ha navigation channel; the Cua Lo channel and Tam Hoa port projects; and developing the Chu Lai urban area.

“THACO is now a big eagle, and there are not many multi-industry corporations like it in the country today. Since Quang Nam province has such a large eagle, we must nurture and create conditions for it to grow strong, and from there others will be born,” said Le Tri Thanh, Chairman of Quang Nam People’s Committee. “The development of THACO has great impacts not only in Quang Nam but also in the entire Central Highlands region, as well as in northern Cambodia and southern Laos, so we must continue to create conditions for it to develop stronger.”

Quang Nam outlines its rapid development dreams Quang Nam’s provincial planning goals for 2030 and beyond indicate a wide ambition to develop its industry, energy, tourism, urban areas, and much more besides.