Investment Licensing Process for High-Tech FDI Factories in Vietnam
As Vietnam becomes an increasingly attractive destination for foreign investment—particularly in the high-tech sector—many FDI investors are exploring the process of obtaining investment licenses for manufacturing plants in Vietnam. How can investors quickly obtain an Investment Registration Certificate in compliance with the law while minimizing legal risks? This article by DEDICA Law provides a clear overview of the entire licensing process, conditions, and important notes for investing in Vietnam’s high-tech industry.
Legal Conditions and Regulations for High-Tech FDI Factory Investment in Vietnam
The licensing process for high-tech FDI factories is governed by the Law on Investment 2020, Law on Enterprises 2020, and relevant implementing decrees. Foreign investors must understand the basic conditions before starting the investment registration and construction licensing procedures.
Defining Investment Fields and High-Tech Criteria
Under Vietnamese regulations, an FDI project is considered “high-tech” if it applies advanced technology, is environmentally friendly, creates high added value, and has the potential to transfer technology. Industries such as semiconductor manufacturing, electronic components, robotics, artificial intelligence, and new materials are encouraged for investment.
Investors must demonstrate financial and technological capacity as well as commitment to research and development (R&D). A well-prepared, logical, and complete application significantly increases approval chances.
Selecting an Appropriate Investment Location
Location is a key factor when applying for an investment license. For high-tech projects, high-tech zones in Ho Chi Minh City, Hoa Lac (Hanoi), and Da Nang are top choices due to their developed infrastructure, tax incentives, and administrative support.
However, investors should note that each zone has its own internal regulations on industries, technical standards, environmental requirements, and localization rates. Non-compliance may result in rejection or delays in licensing.
Process for Obtaining an Investment Registration Certificate (IRC)
The FDI investment licensing process in Vietnam includes several strict steps to ensure compliance with legal, technical, and environmental standards. DEDICA Law advises investors to prepare carefully to avoid rejection or delays.
Step 1: Prepare and Submit the Investment Application
The application includes: project proposal, investor’s financial capacity documents, project details (objectives, scale, capital, location, duration), and a copy of the investor’s passport or business registration certificate.
Applications are submitted to the Department of Planning and Investment or the Management Board of the High-Tech Zone. Processing time is typically 15–25 working days.
Step 2: Appraisal, Issuance of Investment Certificate, and Establishment of Legal Entity
Authorities review project feasibility, technology, environmental impact, and compliance with local planning. If approved, the investor receives the Investment Registration Certificate (IRC)—the first step in legalizing the project.
After obtaining the IRC, the investor applies for an Enterprise Registration Certificate (ERC) to establish a legal entity in Vietnam, enabling them to open capital accounts, lease land, and build the factory.
Legal Consulting and Optimized Solutions for High-Tech FDI Investors
Implementing a high-tech project involves more than just licensing—it extends to operations, expansion, and long-term legal protection.
Important Notes During Licensing and Operation
FDI investors should pay attention to:
Regular progress reporting to authorities
Compliance with environmental, fire safety, and labor safety laws
Obtaining construction and wastewater discharge permits, and lab certification (if required)
Trademark and technology protection to secure intellectual property rights
Neglecting any of these steps may result in administrative penalties, suspension, or license revocation.
DEDICA Law’s Role in Supporting High-Tech FDI Licensing
With extensive experience advising on high-tech FDI projects, DEDICA Law understands every stage—from application preparation to post-licensing support such as license amendment, tax registration, and employment contracts.
Our legal team has advised multinational corporations in chip manufacturing, electronics, and AI. We provide comprehensive legal solutions to ensure your project is licensed efficiently, compliant, and cost-effective.
Contact DEDICA Law for Expert Legal Consultation!
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