AsemconnectVietnam - Consolidated Document No. 71/2026/VBHN-BCT, dated August 5, 2026, issued by the Ministry of Industry and Trade, consolidates regulations regarding the management and development of industrial clusters.

These regulations cover aspects ranging from the formulation of development directions, establishment, and expansion to infrastructure investment, production and business activities, incentive and support policies, and state management.
Consolidated Document No. 71/2026/VBHN-BCT integrates Government Decree No. 32/2024/NĐ-CP (dated March 15, 2024) on the management and development of industrial clusters with the amendments and supplements introduced in Decree No. 303/2026/NĐ-CP (dated August 1, 2026). These updated regulations help refine the legal framework governing development strategies, the establishment and expansion of industrial clusters, technical infrastructure investment, production and business operations, incentive and support policies, and state management of these clusters.
Encouraging efficient and sustainable industrial cluster development
According to the consolidated document, an industrial cluster is defined as a location for industrial and cottage-industry production and related services. It features defined geographical boundaries, is uninhabited by residents, and has a total area ranging from a minimum of 5 hectares to a maximum of 75 hectares.
The Decree encourages the development of various types of industrial clusters, including craft village clusters, specialized clusters, supporting industry clusters, high-tech clusters, and eco-industrial clusters. The development of industrial clusters is linked to requirements for the efficient use of land and resources, environmental protection, and the promotion of cleaner production.
The sectors and trades encouraged for investment include: processing and manufacturing industries serving agriculture; mechanical engineering; supporting industries; textiles, garments, and footwear; information technology, telecommunications, and electronics; renewable energy; and digital technology, automation, high-end equipment, new materials, and biotechnology. Also encouraged are local industrial and handicraft trades requiring preservation and development; environmental industries (waste treatment, recycling, and reuse); and certain production-support services.
The Decree also encourages investment in industrial clusters by small and medium-sized enterprises, cooperatives, cooperative groups, household production facilities and individuals in craft villages, high-tech enterprises, science and technology enterprises, digital technology enterprises, and innovative startups.
Formulating development plans for industrial clusters must be based on industrial development strategies, socio-economic development orientations, master plans, land requirements, geographical and transport conditions, the capacity to attract and relocate entities into cluster-based production and business, capital mobilization capabilities, environmental protection requirements, and the economical and efficient use of land and resources.
The establishment of an industrial cluster must meet specific conditions, such as inclusion in a cluster list approved by competent authorities; availability of suitable land; and the presence of an enterprise, cooperative, or organization with the capacity to invest in and construct technical infrastructure to serve as the project developer. Regarding the expansion of industrial clusters, the total area following expansion must not exceed 75 hectares, and the project must meet prescribed conditions concerning land reserves, occupancy rates, and technical infrastructure.
The Decree also specifies the documentation and procedures for the appraisal and decision-making regarding the establishment and expansion of industrial clusters. Upon receipt of the application dossier, the commune-level People's Committee is responsible for issuing a notification of receipt; the Department of Industry and Trade conducts the appraisal and reports to the provincial-level People's Committee for consideration and decision. The selection of the technical infrastructure developer is carried out via a developer selection evaluation council, based on criteria such as the investment plan, environmental management and protection measures, capacity, experience, and financial plan.
Developers of industrial cluster technical infrastructure are permitted to solicit and accept investment projects in accordance with the master plan; mobilize capital for infrastructure investment; construct factories, warehouses, and offices for lease or sale; and provide public services and utilities as prescribed.
Concurrently, developers must organize project management and operations; maintain and service technical infrastructure systems; provide public services and utilities; and comply with regulations regarding investment, land, construction, the environment, fire prevention and fighting, labor, and other related areas. Developers are also required to attract businesses in appropriate sectors to the industrial cluster, fulfill reporting obligations, and publicly disclose information regarding land areas that have not yet been leased or subleased.
For organizations and individuals investing in production and business activities, the Decree stipulates rights regarding land use and the extension of land use terms in accordance with land laws; the subleasing of land, factories, warehouses, and offices; and the use of technical infrastructure facilities and public services. receive support and facilitation regarding workforce recruitment and training, as well as the execution of investment procedures.
At the same time, organizations and individuals must utilize land, implement projects, and conduct production and business activities in accordance with regulations; they must comply with laws regarding investment, land, construction, the environment, fire prevention and fighting, labor, occupational safety, industrial hygiene, and security and order; furthermore, they must actively participate in attracting labor and generating local employment.
The Decree designates industrial clusters as areas facing socio-economic difficulties; investment projects for technical infrastructure construction and production/business activities within these clusters are eligible for incentives under laws concerning land, taxation, credit, and other relevant regulations. Where laws prescribe varying levels of incentives, the highest level shall apply.
Localities are authorized to use their budgets to support investment in the construction of technical infrastructure for industrial clusters. Supported facilities include those for transportation, power supply, water supply, drainage, wastewater treatment, and telecommunications. Eligible recipients include industrial clusters that allocate land with developed infrastructure to high-tech enterprises, small and medium-sized enterprises (SMEs), and innovative startups; clusters located in areas facing difficulties or extreme difficulties; and types of industrial clusters encouraged for development.
The central budget covers funding for specific industrial cluster development activities implemented by the Ministry of Industry and Trade, such as database construction, investment promotion, information dissemination, training, surveys, assessments, policy formulation, and research and guidance on criteria for eco-industrial clusters. Local budgets cover funding for industrial cluster development activities within their respective areas, including investment promotion, surveys of investment demand, preparation and appraisal of proposals for the establishment or expansion of clusters, preparation of detailed plans, and support for administrative procedures. Delineation of State Management Responsibilities and Transitional Arrangements
The Decree delineates state management responsibilities among the Government, the Ministry of Industry and Trade, other ministries and sectors, and provincial and commune-level People's Committees. The Ministry of Industry and Trade serves as the state management agency for industrial clusters nationwide, responsible for formulating policies, laws, programs, and plans; providing guidance on reporting regimes and databases; engaging in international cooperation and investment promotion; and inspecting and evaluating the implementation of policies and laws regarding industrial clusters.
Provincial-level People's Committees are responsible for directing the implementation of development strategies; deciding on the establishment, expansion, adjustment, or revocation of decisions regarding industrial clusters; issuing regulations on industrial cluster management; supporting enterprises, cooperatives, and organizations in project implementation; organizing site clearance, infrastructure construction, and investment promotion; and reviewing and handling industrial clusters or projects that are behind schedule, fail to meet environmental protection requirements, utilize land inefficiently, or violate the law.
Commune-level People's Committees are responsible for proposing development strategies and the establishment or expansion of industrial clusters; supporting project developers; receiving and processing, or requesting the processing of investment procedures; assisting in the relocation of enterprises and production facilities into industrial clusters; and inspecting and handling or proposing the handling of violations within their jurisdiction.
The Decree also sets out transitional provisions for industrial clusters established under previous regulations. Certain industrial clusters, especifically those with an area of less than 10 hectares, those located in mountainous districts, or craft village industrial clusters with an area of less than 5 hectares that were established or expanded prior to the effective date of the new regulations may continue to operate and be managed in accordance with the regulations. For industrial clusters currently undergoing appraisal or review for establishment or expansion, the Decree stipulates mechanisms for continued implementation to ensure a smooth transition. The processing of cases involving the establishment of industrial clusters subject to these transitional arrangements must be completed by December 31, 2026.
Source: VITIC/tapchicongthuong.vn