HCM City officially extends investment for Mercedes-Benz Việt Nam
HCM City officially extends investment for Mercedes-Benz Việt Nam
Deputy Chairman of HCM City People's Committee Võ Văn Hoan has approved the investment extension for Mercedes-Benz Việt Nam Co., Ltd. for another five years, from April 14, 2025 to April 14, 2030.
The headquarters of Mercedes-Benz Việt Nam Co., Ltd. in HCM City's Gò Vấp District. Photo tuoitre.vn |
Accordingly, the City People's Committee assigned the Department of Planning and Investment to instruct this company to extend its land lease.
The Department of Natural Resources and Environment is assigned to preside over and coordinate with relevant units to advise and propose adjustments to land lease terms according to regulations after the investment registration certificate has been adjusted.
At the same time, Mercedes-Benz Việt Nam Co Ltd is required to fully fulfill its financial obligations and commit to a relocation when the land lease term expires on April 14, 2030.
Mercedes-Benz Việt Nam Co Ltd is a joint venture between Saigon Transport Mechanical Corporation (SAMCO) and a German investor.
SAMCO contributed capital to the joint venture by using the land use rights (covering nearly 10.5 hectares in Gò Vấp District), while the German investor contributed 70 per cent of the capital. The company was granted an investment license with a land use term of 30 years, starting in April 1995, which will expire on April 14, 2025.
In 2021, Mercedes-Benz Việt Nam proposed a five-year extension.
According to the report of the Department of Planning and Investment, Mercedes-Benz Việt Nam has a good growth rate, providing jobs for about 800 workers. In the period of 2017-2021, this company achieved revenue of more than VNĐ9 trillion (US$360.5 million) per year, contributing more than VNĐ5.5 trillion ($214 million) per year to the city budget.
