Daewoo E&C to invest in $390 million urban development project in Vietnam

Daewoo E&C will invest in a $390M urban development project in Thai Binh City, Vietnam.

An aerial view of the new urban development project in Vietnam's Thai Binh City in which Daewoo Engineering & Construction will participate as a key investor [DAEWOO ENGINEERING & CONSTRUCTION]

Daewoo Engineering & Construction (E&C) has received approval to become a key investor in the $390 million urban development project of Thai Binh City, Vietnam.

The project spans some 963,000 square meters (10.36 million square feet) within the capital city of Thai Binh Province, encompassing residential and commercial zones, apartment complexes and social housing areas.

The new city is expected to be developed over 10 years from 2025 to 2035.

A consortium of Daewoo E&C, Vietnamese builder Green i-Park and mid-sized Korean builder Zenith will hold a 51 percent stake in the project, and the three companies will collaborate on the city's overall development and concept.

Daewoo E&C believes that the project holds high potential due to its geography, as it is located near major cities such as Hanoi and Hai Phong, as well as its rapid industrialization.

The Korean construction company has been driving efforts to expand business overseas, with Vietnam marked as the builder’s key strategic country. Chairman Jung Won-ju made four visits to Vietnam from 2022 and frequently met with Vietnamese officials during their visits to Korea.

The firm is targeting regions in Hanoi and Dong Nai Province for urban development in Vietnam. It is also reviewing projects in Indonesia, India, Nigeria and Canada with the hope of eventually increasing its proportion of overseas revenue to 70 percent.

BY LEE JAE-LIM [lee.jaelim@joongang.co.kr]