APPENDIX I

APPENDIX I

I. LIST OF PROJECTS WITH SPECIAL INVESTMENT ENCOURAGEMENT

- Production or processing with 80% or more of the products for export;

- Processing of agricultural products, forest products (excluding timber) or aquatic products from domestic raw materials, with 50% of the products for export;

- Production of new breeds with high quality and economic efficiency;

- Agricultural farming, forestation, aquaculture;

- Production of new materials, rare and precious materials, applicationof new bio-technologies; new technologies for manufacture of information and

telecommunication equipment;

- Hi-tech industries;

- Investment in research and development;

- Manufacture of waste treating equipment;

- Production of antibiotics raw materials;

- Pollution treatment and environmental protection, waste treatment;

- Investment under BOT, BTO or BT contracts.

II. LIST OF PROJECTS WITH INVESTMENT ENCOURAGEMENT

- Production or processing with 50% or more of products for export;

- Production or processing with 30% or more of the products for export and with the use of large percentages of domestic raw materials and materials (valued atfrom 30% or more of the production cost).

- With intensive employment of Vietnamese laborers and efficient use of natural resources available in Vietnam.

- Processing of farm produce, forest products (excluding timber),aquatic products;

- Preservation of food, post-harvest preservation of farm produce;

- Mineral exploration, exploitation and intensive processing;

- Development of petro-chemical industry; construction and operation of oil and gas pipelines, depots, ports;

- Manufacture of equipment, detail groups in oil, gas, mineral or fuel exploitation; manufacture of big lifting and lowering equipment;

- Manufacture of high-quality steel, alloy non-ferrous metals, special metals, steel cast, spongy iron for industrial use;

- Manufacture of machine tools for metal working, metallurgicalequipment;

- Manufacture of precision tools, safety check and inspection equipment; manufacture of molds for metal and non-metal products.

- Manufacture of medium- and high-voltage electric equipment;

- Manufacture of diesel engines through advance technologies and techniques; manufacture of dynamic and hydraulic machines and spare parts, compressors;

- Manufacture of automobile and motorbike spare parts; manufacture and assembly of construction equipment, machines and vehicles; manufacture of technical equipment for transport service;

- Shipbuilding, manufacture of equipment and spare parts forfreighters, fishing ships;

- Manufacture of information and telecommunications equipment;

- Manufacture of electronic components and equipment, informatics technology;

- Manufacture of agricultural equipment, spare parts, machines,irrigation and drainage equipment;

- Production of assorted insecticide raw materials;

- Production of base chemicals, pure chemicals, dyes, special-use chemicals;

- Production of cleansing raw materials, chemicals activities;

- Production of special-type content, composites materials,sound-proof, electric-insulated and heat-resistant materials, wood substitute composite materials, refractory materials constriction plastic, glass fibers;

- Production of light construction materials;

- Production of paper pulp;

- Production of silk, assorted yarns and special fabric for industrialuse;

- Manufacture of high-class raw materials for production of export footwear and garments;

- Manufacture of high-quality packings for export goods;

- Manufacture of medical equipment in analytical technology and extracting technology in medicine;

- Production of drug raw materials, medicines of GMP international standards.

- Improvement, development of energy sources;

- Mass transit;

- Construction and renovation of bridges, land roads, airports,harbors, railway stations, car terminals, railways;

- Construction of water plants, water supply and drainage systems;

- Construction- commercial operation of infrastructures of industrial parks, export processing zones, hi-tech parks.

III. LIST OF GEOGRAPHICAL AREAS WHERE INVESTMENT IS ENCOURAGED

Ordinal number	Province/City	Section A: Geographical areas facing particularly difficult socio-economic conditions	Section B: Geographical areas facing difficult socio-economic conditions
1	Ha Giang	All districts and provincial capital
2	Cao Bang	All districts and provincial capital
3	Lai Chau	All districts and provincial capital
4	Lao Cai	All districts and provincial capital
5	Son La	All districts and provincial capital
6	Bac Kan	All districts and provincial capital
7	Tuyen Quang	All districts and provincial capital
8	Lang Son	All districts and provincial capital
9	Yen Bai	All districts and provincial capital
10	Thai Nguyen	All districts and provincial capital and Thai Nguyen City
11	Bac Giang	All districts and provincial capital
12	Vinh Phuc	Districts: Lap Thach, Tam Duong and Binh Xuyen	Districts not in Section A
13	Phu Tho	All districts, provincial capital and Viet Tri city
14	Hoa Binh	All districts and provincial capital
15	Bac Ninh		Districts: Que Vo, Yen Phong, Gia Binh, Luong Tai and Thuan Thanh
16	Ha Noi		Soc Son district
17	Ha Tay		Districts: Ba Vi, My Duc, Phuc Tho, Quoc Oai, Thach That and Ung Hoa
18	Quang Ninh	Districts: Ba Che, Binh Lieu, Quang Ha, Hoanh Bo, Tien Yen, Dong Trieu and Mong Cai provincial capital	Yen Hung district and provincial towns of Cam Pha, Uong Bi
19	Hai Phong		Districts: Vinh Bao and Tien Lang
20	Hai Duong	Chi Linh district	All districts not included in Section A
21	Hung Yen		All districts and provincial capital
22	Thai Binh		All districts and provincial capital
23	Ha Nam		All districts and provincial capital
24	Nam Dinh		All districts and Nam Dinh city
25	Ninh Binh	Districts: Nho Quan, Yen Ma and Gia Vien	Tam Diep provincial town and all districts not in Section A
26	Thanh Hoa	Districts: Lang Chanh, Thuong Xuan, Quan Hoa, Ba Thuoc, Ngoc Lac, Nhu Xuan, Cam Thuy, Thach Thanh, Quan Son and Muong Lat	Districts not in Section A
27	Nghe An	Districts: Ky Son, Tuong Duong, Con Cuong, Quy Chau, Que Phong, Quy Hop, Nghia Dan, Anh Son, Tan Ky, Thanh Chuong, Do Luong	Cua Lo provincial town and districts not in Section A
28	Ha Tinh	All districts	Ha Tinh provincial capital
29	Quang Binh	All districts	Dong Hoi provincial capital
30	Quang Tri	Quang Tri provincial capital and all districts	Dong Ha provincial town
31	Thua Thien - Hue	All districts	Hue City
32	Da Nang		Districts: Hoa Vang, Thanh Khe, Ngu Hanh son and Lien Chieu
33	Quang Nam	All districts and Hoi An provincial town	Tam Ky provincial capital
34	Quang Ngai	All districts	Quang Ngai provincial capital
35	Binh Dinh	All districts	Quy Nhon city
36	Phu Yen	All districts	Tuy Hoa provincial capital
37	Khanh Hoa	Districts: Khanh Son arid Khanh Vinh	Districts not in Section A
38	Binh Thuan	All districts	Phan Thiet provincial capital
39	Ninh Thuan	All districts	Phan Rang provincial capital
40	Kon Tum	All districts and provincial capital
41	Gia Lai	All districts and provincial capital
42	Dak Lak	All districts and Buon Ma Thuot city
43	Lam Dong	All districts, provincial towns and Da Lat city
44	Dong Nai	Districts: Dinh Quan, Tan Phu and Xuan Loc
45	Binh Phuoc	All districts and provincial capital
46	Binh Duong		Districts: Ben Cat, Phu Giao, Tan Uyen and Dau Tien
47	Tay Ninh		All districts
48	Ho Chi Mnh City		Districts: Can Tho and Cu Chi
49	Ba Ria-Vung Tau		Districts: Long Dat and Xuyen Moc
50	Long An	All districts	Tan An provincial capital
51	Dong Thap	All districts and provincial capital
52	Tien Giang	All districts and provincial capital	My Tho city
53	Ben Tre	All districts and provincial capital
54	Vinh Long	All districts and provincial capital
55	Tra Vinh	All districts and provincial capital
56	An Giang	All districts and Long Xuyen City
57	Can Tho	All districts and provincial towns	Can Tho city
58	Soc Trang	All districts and provincial towns
59	Bac Lieu	All districts and provincial towns
61	Ca Mau	All districts and provincial towns
61	Kien Giang	All districts and provincial towns

IV. LIST OF FIELDS WITH CONDITIONAL INVESTMENT

1. Investment only in forms of joint venture or business cooperation contract:

- Construction and commercial operation of international telecommunication networks, local telecommunication networks (only in form of business cooperation contract);

- Production and processing of oil, gas, rare and precious minerals;

- Consulting services (excluding technical consultancy);

- Air, rail and sea transport: mass transit, construction of harbors and airports (excluding BOT, BTO and BT projects);

- Production of industrial explosives;

- Forestation;

- Tour business;

- Culture.

2. Products which must ensure the export percentage requirement

The compulsory export percentages for home-made products which have already met the quantitative and qualitative requirements shall be announced for each period by the Ministry of Planning and Investment.

3. Processing projects which must be linked to investment in creation of raw material sources

- Dairy production and processing;

- Vegetal oil and cane sugar production;

- Timber processing.

4. Projects for investment in import services, domestic distribution services shall comply with the Prime Minister’s regulations.

V. LIST OF FIELDS NOT LICENSED FOR INVESTMENT

1. Projects Which are detrimental to the national security, defense and public interests.

2. Projects which cause harms to historical and cultural relics, fine traditions and customs of Vietnam.

3. Projects which cause harms to ecological environment; projects on treatment of hazardous wastes brought from overseas into Vietnam.

4. Projects for production of toxic chemicals or use of hazardous agents banned under international treaties.

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