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Price of factory for rent in the South lower than the North?

For a successful business, it is extremely important to choose a "prime location" to place a factory. Currently, the price of factory for rent in the South is much lower than the North. Typically, Long An is being chosen by many investors. The price of factory for rent in Long An is at a moderate level with outstanding quality. Here are three reasons for the higher prices in the North than in the South.

price of factory for rent

Price of factory for rent play an important role in decision of enterprises

Industrial parks in the North are chosen by large enterprises to move out of China

Currently, there are differences in operating industries and exploitation areas between the South and the North. Industrial zones in the North are chosen by manufacturing enterprises to move out of China. Jones Lang Lasalle, a real estate service company, researches the situation of Vietnam's industrial park and said: "Most of the IPs are operated by long-term investors such as Sonadezi, Becamex, IDICO, Viglacera. and Kinh Bac Group (KBC). These are enterprises owning a large land fund nationwide. "

The North is close to China. The infrastructure system has been developed to facilitate the transportation of goods. Therefore, the activity of leasing factories is strong. Thanks to the stable demand of logistics companies and components, electronics. Logistics is an enterprise that needs a large area for warehousing activities. This makes the price of factory for rent about 4.1 USD / m2 / month, 30% higher than the southern region. Therefore, the price of factory for rent in Long An is always attractive to investors.

price of factory for rent

Price of factory for rent has changed after many fluctuation

The cost of importing raw materials for production decreases due to its proximity to China

The majority of raw materials for production in Vietnam are imported from abroad. Which imported the most from China. Industrial zones in the North will be able to import raw materials from China for cheaper prices than those in the South. Because, the cost of transporting raw materials decreased due to the North near China. This advantage brings a lot of profits to the business. Therefore, a lot of business here leads to the continuous increase of price of factory for rent

Southern price of factory for rent creates advantages for business development

Industrial zones in the South attract many businesses with diverse industries. These industries are: machinery, equipment, manufacturing metal, textiles, ... These industries are the backbone of manufacturing industry in Vietnam. Long An is a place with great potential for business development. Therefore, many diverse scale factory appears to meet that need. The price of factory for rent in Long An with reasonable price and quality factory model are always two criteria to attract investors.

price of factory for rent

Enterprises should choose location, which has a good price of factory for rent

Strategic location brings many competitive advantages

In addition to favorable investment environment, the southern region is close to major seaports such as Cat Lai, Posco and Phu My ... These ports are always attracting domestic and foreign investment projects.

Besides, the southern economy is developing extremely strongly. Prominent is the explosive development of e-commerce. The life and shopping behavior of people is getting higher and higher. This is a great motivation for the need to rent factories in the South to produce. So, more enterprises pay attention to price of factory for rent in the South.

If you have not rented any factories to produce, come to Kizuna to get a reasonable price of factory for rent in Long An. Hopefully, the benefits and services in Kizuna will bring success to your enterprise!

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