Question

Attorneys in Danang, Vietnam advise about different types of land use for foreign invested enterprises in Vietnam ?

Answer

Different types of land use for foreign invested enterprises in Vietnam ?

Law on Land No. 45/2013/QH13 dated November 29, 2013 (hereinafter referred to as “Law on Land”), prescribes different types of land use for foreign invested enterprises, as follows:  

Agricultural land used by foreign- invested enterprises:

Foreign-invested enterprises that have demand for land for agriculture, forestry, aquaculture or salt production, shall be considered by the State to lease land for implementation of investment projects.

Production Forest Land:

Foreign-invested enterprises which are allocated or leased Production Forest Land by the State as prescribed at Points a and b of this Clause may use the land not covered with forest for planting forest or perennial trees. Foreign-invested enterprises using Production Forest Land may concurrently provide landscape and eco-environmental tourist services using the space under the forest canopy.

Salt-production land:

Salt-production land shall be leased by the State to economic organizations, overseas Vietnamese or foreign-invested enterprises to implement investment projects on salt production.

Inland land with water surface:

Ponds, lakes and marshes shall be leased by the State to economic organizations, overseas Vietnamese or foreign-invested enterprises to implement investment projects on aquaculture production, agricultural production or agricultural production in combination with nonagricultural purposes.

Coastal land with water surface:

Coastal land with water surface shall be leased by the State to economic organizations, overseas Vietnamese or foreign-invested enterprises for aquaculture, agricultural, forestry, salt production or non-agricultural purposes.

Riparian and coastal alluvial land:

Riparian and coastal alluvium land shall be leased by the State to economic organizations, overseas Vietnamese or foreign-invested enterprises to implement investment projects on agricultural or non-agricultural production and business.

Land for industrial parks, export processing zones, industrial clusters and trade villages:

The State shall lease the land to economic organizations, overseas Vietnamese or foreign- invested enterprises to invest in construction and commercial operation of infrastructure of industrial parks, industrial clusters and export processing zones. For the land area that is leased with annual rental payment, the lessee may sublease that land with annual rental payment. For the land area that is leased with full one-off rental payment for the entire lease period, the lessee may sublease that land with full oneoff rental payment for the entire lease period or annual rental payment. Investors are entitled to exemption from land rental for the land used for construction of infrastructure for common use in industrial parks, industrial clusters or export processing zones.

Land used for production of construction materials and ceramic products:

Land or land with surface water used for exploiting raw materials shall be leased by the State to economic organizations, overseas Vietnamese or foreign-invested enterprises that are licensed to implement investment projects on exploitation of raw materials for production of construction materials and ceramic products.

Land with rivers, streams, canals, springs and special-use water surface:

The State shall lease out land with rivers, streams, canals or springs with annual rental payment to overseas Vietnamese or foreign-invested enterprises for implementing their investment projects on Aquaculture.

Related topics:

Term for land allocation or land lease to foreign-invested enterprises in Vietnam

Forms of land use for foreign invested enterprises in Vietnam

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DMS Lawfirm in Vietnam
Director
(Signed)
Lawyer Do Minh Son