Q1


2020

VIETNAM’S LEADING FOR-RENT

INDUSTRIAL DEVELOPER


Dear valued tenants,

First of all, we would like to express our gratitude of having you as a part of our BW community. Thank you for your trust and support. Our tenants throughout the country have introduced the world to products made in Vietnam - helping the “Made in Vietnam” brand to become more recognized worldwide.

Secondly, we are thrilled to share with you that in 2019, BW Industrial Development JSC has expanded our team of experts and secured a significant 380-hectare land bank in 14 locations and 7 key industrial cities across the country while engaging with 69 tenants from 13 countries and territories. In 2020, our even more numerous options and direct access to global supply chains mean that we can deliver more international-standard warehouses and factory platforms than ever before.

We are aware of the challenges brought by the global outbreak of coronavirus (COVID -19), including travel restrictions and disruption to supply chains. We wish its impacts to the economy is temporary as the Vietnamese government has shown strong effectiveness in responding to COVID -19. With the correct measures in place, a crisis can also bring opportunities. For us, we have certainly seen the positive sentiment that business leaders around the world now have for this impressive country.

Together, we’ll be stronger!

Michael Chan
Head of Sales, Marketing and Customer Service

TENANT TALK CORNER

Kim Moon Tae

General Director

of Kammi Vina

Kammi-Vina is a South Korean textile manufacturer and 100% of our products are exported to South Korea. When we first came to Vietnam, we were pleasantly surprised to find out that Vietnamese people are very intelligent and able to learn things quickly. Also, the average wage in Vietnam is very competitive compared to other Southeast Asian countries.

In order to attract a quality labor force, we have invested in automatic production lines that give more flexibility and comfort to workers. We also provide extra benefits such as a high-quality lunch menu.

So far, as business goes smoothly, we expect profits within six months after starting operation. In addition, we have a plan to expand our production capacity in coming months.

Yotaro Kanamori

General Director

of Genepa Vietnam

We are one of the largest woodwork makers in Japan and had our primary production facility in Qingdao, China. Since September 2019, we have successfully shifted 80% of our production to Bau Bang, Binh Duong. Right now, we feel lucky that our factory in Vietnam can still be in operation during the global coronavirus outbreak.

Most importantly, our export quantity to major markets like the United States has not been seriously impacted. Meanwhile, delivery delays and quantity defects by suppliers have had a partial impact on production.

Now, we are searching for alternative materials in Vietnam while hoping that everything gets under control in China within this quarter.


TENANT LICENSING UPDATE

We would like to congratulate our tenants who received new licenses in the last quarter:

NO. TENANT IP BUSINESS LINE COUNTRY ON BOARD DATE
1 JY FURNITURE COMPANY LIMITED BAU BANG FURNITURE CHINA October 1, 2019
2 KAMMI VINA COMPANY LIMITED BAU BANG TEXTILE INDUSTRY SOUTH KOREA October 3, 2019
3 GENEPA VIETNAM COMPANY LIMITED BAU BANG FURNITURE JAPAN October 22, 2019
4 ARNEPLANT VIETNAM COMPANY LIMITED BAU BANG SHOE LININGS SPAIN October 31, 2019
5 HUKON INTERNATIONAL (VIETNAM)
COMPANY LIMITED
BAU BANG MANUFACTURING FURNITURE CHINA October 31, 2019
6 TOP FACTORY VIETNAM COMPANY LIMITED BAU BANG MANUFACTURING AND
PROCESSING TEXTILE
APPAREL, GARMENTS AND
PACKAGING MATERIALS
JAPAN November 14, 2019
7 YULONG INTELLIGENT TECHNOLOGY VIETNAM BAU BANG MANUFACTURING
FURNITURE
CHINA February 19, 2020
8 HUAJIE VIETNAM ELECTRONICS COMPANY LIMITED MY PHUOC 3 PLASTIC ADAPTORS CHINA October 1, 2019
9 CENTURY CREATION (VIETNAM) COMPANY LIMITED MY PHUOC 3 RUBBER VULCANIZED
INSULATION PRODUCTS
HONG KONG December 20, 2019
10 DINGHE TECHNOLOGY (VIETNAM)
COMPANY LIMITED
MY PHUOC 3 ELECTRONIC LABELING CHINA December 20, 2019
11 CHERVON INDUSTRY (VIETNAM) COMPANY LIMITED MY PHUOC 3 GARDENING MACHINES CHINA January 21, 2020
12 K-MATE (VIETNAM) COMPANY LIMITED BAC NINH ELECTRONIC PRODUCTS HONG KONG October 3, 2019
13 ITL (NORTH VIETNAM) COMPANY LIMITED BAC NINH LABELING SOUTH KOREA October 22, 2019
14 VISION SEMICON VIETNAM COMPANY LIMITED BAC NINH EQUIPMENT AND
ROBOTIC SYSTEMS
SOUTH KOREA November 26, 2019
15 VINH THAI COMPANY LIMITED BAC NINH SUPPORTING INDUSTRY
(ELECTRONICS AND
AUTOMOTIVE)
VIETNAM January 31, 2020

TIP FOR TENANTS: EVFTA – TARIFF AND ITS REDUCTION SCHEDULE

The long-awaited EVFTA has finally been ratified by the EU parliament after many years of negotiation. Please take a look at the below tips to know your tariff and its reduction schedule

STEP 1 – FIND YOUR “HS CODE”

Look up the harmonized system (HS) six-digit codes on the link

LINK

In addition, the European Union offers a tool to research HS codes as well as current tariff information on the link

LINK

STEP 2 – FIND OUT YOUR TARIFF REDUCTION CATEGORY

Exporting from the EU to Vietnam

LINK

OR

Exporting from Vietnam to the EU

LINK

STEP 3 – CONFIRM YOUR TARIFF REDUCTION SCHEDULES

Look up which tariff reduction regulations apply to your HS code categories by following the link

LEGAL UPDATES

We would like inform you about legal updates regarding labor, CO and competition law. Follow link to read full articles

RECRUITMENT FAIR – UPCOMING EVENTS

South (Binh Duong)

As industrial activity surges in Binh Duong, provincial authorities have organized various recruitment fairs for prospective local job seekers to meet their potential employers. Mark your calendar if you are interested.

NO. DATE LABOR TYPE REMARK
1 23/03/2020 Unskilled labor Monday
2 06/04/2020 Unskilled labor Monday
3 20/04/2020 Unskilled labor Monday
4 04/05/2020 Unskilled labor Monday
5 14/05/2020 Technical skilled labor Thursday
6 25/05/2020 Unskilled labor Monday
7 05/2020 New graduates (from Binh Duong Economics and Technology University) Unskilled labor Date to be determined
8 08/06/2020 Unskilled labor Monday
9 22/06/2020 Unskilled labor Monday

Organizer: Binh Duong Job Service Center

Venue: 369 Binh Duong Boulevard, Hoa Lan Quarter, Thuan Giao Ward, Thuan An Town, Binh Duong Province


North (Hai Duong, Hai Phong and Bac Ninh)

Local authorities have announced that all job fairs and job exchange markets in Q1 have been canceled until further notice due to COVID-19.

SITE AVAILABILITY

READY-BUILT FACTORY

(Latest update as of March 3, 2020, please check with your favorite sales representative if you are interested in expanding your area)

BAU BANG - BINH DUONG

PHASE 1,2 PHASE 3,4,5,6,7
BW’s land area 7.2 ha 27.8 ha
Tentative
construction finish
06/19 04/20
Available GFA Fully occupied 121,091 sqm.

MY PHUOC 3 - BINH DUONG

PHASE 1 + RBF C13 PHASE 2 PHASE 3 PHASE 4,5,6
BW’s land area 4.5 ha 3.7 ha 3.2 ha 12.2 ha
Tentative
construction finish
06/19 07/19 12/19 05/20
Available GFA Fully occupied. Fully occupied. Fully occupied. 74,817 sqm.

VSIP HAI DUONG - HAI DUONG

PHASE 1 PHASE 2
BW’s land area 41,911 sqm. 79,714 sqm.
Tentative
construction finish
05/20 12/20
Available GFA 4,296 sqm. 46,938 sqm.

VSIP HAI PHONG - HAI PHONG

PHASE 1 PHASE 2 PHASE 3
BW’s land area 32,829 sqm. 26,442 sqm. 82,842 sqm.
Tentative
construction finish
03/20 12/20 N/A
Available GFA 1,442 sqm. 15,468 sqm. N/A

VSIP BAC NINH - BAC NINH

PHASE 1
BW’s land area 38,000 sqm.
Tentative
construction finish
07/19
Available GFA 1,443 sqm.

BUILT-TO-SUIT WAREHOUSE


TAN PHU TRUNG - HO CHI MINH CITY

PLOT 1 PLOT 2
BW’s land area 46,620 sqm. 41,342 sqm.
Tentative
construction finish
03/20 06/20
Available GFA Fully occupied. Fully occupied.

BW INTERNAL NEWS

Heath and hygiene training for workers at Bau Bang & My Phuoc 3 on first day of work after Tet Holiday - organized by BW Facility Management and Project Management Team.

Workers are required to wear face masks and to have their temperature checked with an infrared thermometer before entering any BW sites.