Construction began on a US$1.2 billion urban area in the southern province of Binh Duong yesterday morning.
The Tokyu Binh Duong Garden City, which is designed to cover more than 71.5 ha in Binh Duong New City, will include shopping malls, amusement parks and 7,500 apartment buildings.
Japan's Tokyu Corporation and Viet Nam's Becamex IDC Corporation have invested in the new town.
The two corporations signed a deal on February 27 to establish a joint-venture company, Becamex Tokyu Co, Ltd, which will develop the project.
The town will be built in a Japanese style, and will be enviromentally friendly and appropriate for start-up businesses.
The project will contribute to the sustainable development of Binh Duong New City, according to officials.
Speaking at the ceremony, Nguyen Van Hung, Becamex chairman and CEO, said that, with the province's high economic growth rate, Binh Duong must further develop facilities.
Hung said that Tokyu Corporation, with extensive experience in urban development, would work with Becamex to carry out the remaining work of the centre of Binh Duong New City.
"By investing in Binh Duong Province, I believe that Tokyu Corporation will contribute to the economic development of Viet Nam, and become a good practice business model as in Japan," said Hada Harumitsu, Japanese Consul General to HCM City, adding that the project would further enhance the relations of the two countries.
According to Le Thanh Cung, chairman of Binh Duong Province's People's Committee, Tokyu-Binh Duong Garden City will contribute greatly to economic restructuring and urban development and services in the province.
Tsutomu Takebe, a member of the Japanese Parliament and chairman of the Japan-Viet Nam Parliamentarian Friendship Federation, said he had not only agreed and supported these investment decisions from Tokyu Corporation but also expected that Tokyu would play an important part in strengthening the Japan – Viet Nam partnership.
Binh Duong New City
The projects are part of Binh Duong New City project, which began construction two years ago, covering an area of 1,000 ha.
After completion, the city will become the economic and political centre of Binh Duong Province and provide accommodation for 125,000 residents and 400,000 labourers.
To ensure development in accordance with an approved master plan, the new urban area Binh Duong New City will be built into a maodern, civilised centre in Binh Duong Province.