Foxconn eyes development of $319 million workers housing
In this article (5)
Taiwan’s Foxconn wants to build housing for workers in northern Vietnam and has made a proposal to the government. The world’s largest contract manufacturer, a contractor for Apple and other global giants seeks to develop three housing projects at a cost of about VND7.4 trillion (nearly $319 million), and has apprised the Ministries of Construction and Planning and Investment of its interest.
Foxconn wants to build them near industrial parks where it has its plants so that its own workers can also be housed in them.
If approved by authorities, a project in Viet Yen District in Bac Giang Province will be the largest at 16.7 hectares and have the highest investment of VND3.42 trillion (about $147.4 million).
Up to VND2.93 trillion ($126.3 million) will be invested in a 6.3-hectare project in Bac Ninh Province’s Que Vo District and the rest of the total investment will be poured into a 9.9-hectare project in Vinh Phuc Province.
The company said besides apartments they would also have healthcare facilities, schools and shops.
Since current policies pose certain hurdles, it plans to sell the houses to companies in the industrial zones for them to lease or sell to their employees.
Foxconn came to Vietnam in 2007, and has been operating mainly in the northern provinces of Bac Ninh, Bac Giang and Vinh Phuc, manufacturing computers and other electronic products and car parts. Last year it expanded to the northern province of Quang Ninh.
Last week it said for the first time that Vietnam is its largest manufacturing hub in Southeast Asia.
This year Foxconn expects its exports from Vietnam to double to $6 billion.
Questions & Answers
Q.What is the total estimated investment for Foxconn's proposed housing projects in Vietnam?
What is the total estimated investment for Foxconn's proposed housing projects in Vietnam?
Foxconn aims to invest approximately VND7.4 trillion, which is nearly $319 million, across three housing projects. This funding is intended to provide accommodation for its workers near its industrial park facilities.
Q.Which specific provinces are being considered for these new housing developments?
Which specific provinces are being considered for these new housing developments?
The proposed housing projects are located in Bac Giang Province, Bac Ninh Province, and Vinh Phuc Province. These areas are where Foxconn currently operates its manufacturing plants in northern Vietnam.
Q.How does Foxconn plan to manage the sale or lease of these new housing units?
How does Foxconn plan to manage the sale or lease of these new housing units?
Foxconn plans to sell the houses to companies operating within the industrial zones. These companies would then be responsible for leasing or selling the properties directly to their own employees.
Q.What additional facilities are planned for inclusion within these housing developments?
What additional facilities are planned for inclusion within these housing developments?
Besides residential apartments, the developments are designed to include various amenities for residents. These proposed facilities comprise healthcare services, educational institutions, and retail shops.
Reader pulse
Foxconn's housing strategy:
17,013 votes so far