Lam Dong Overhauls FDI Strategy for 2026-2030 Amid Infrastructure, Policy Hurdles
Lam Dong Province is seeking to strengthen its appeal to foreign direct investment (FDI) by prioritizing large-scale projects in smart agriculture, eco-tourism, clean energy and logistics, while improving infrastructure, planning and investment readiness to attract sustainable, high-quality capital.
FDI Attraction Falls Short of Expectations
During the 2021-2025 period, Lam Dong Province identified seven projects for foreign investment attraction. However, only one project secured an investor, and that investor was a domestic company. The remaining six projects have yet to attract investors and have not received formal investment approval from competent authorities.
As a result, the province’s efforts to attract FDI through its designated investment promotion portfolio have fallen short of expectations.
Several factors have hindered progress. Each project faces sector-specific challenges, while broader constraints within the local investment environment have also reduced investor interest.
For example, the proposed Class II Logistics Center in Kien Duc Commune has struggled to attract investment due to incomplete regional transport connectivity and limited logistics demand in the area.
Meanwhile, the Phu Binh Industrial Park and the Tan Phu Industrial-Agricultural Complex in Duc Trong Commune face difficulties related to the substantial capital required for technical infrastructure development, combined with a lack of sufficiently attractive mechanisms to draw strategic investors.
In addition, inadequate infrastructure connections and high land clearance costs have become significant barriers for large-scale projects seeking foreign investment.
Renewable energy projects have also been affected by changes in feed-in tariff (FIT) policies, which have directly impacted project feasibility and investment returns. Many of these projects are located in areas classified as having particularly difficult socio-economic conditions, further complicating efforts to attract capital.
Improving Investment Readiness
The challenges highlight persistent shortcomings in project preparation, infrastructure development, policy stability and investment promotion efforts. Together, these factors have limited investor confidence and reduced the attractiveness of projects to international investors.\
In line with the Lam Dong Provincial Master Plan and the province’s approved investment attraction strategy, provincial authorities plan to propose five additional projects for inclusion in Vietnam’s national list of projects calling for foreign investment during the 2026-2030 period:
- Phu Binh Industrial Park in Duc Trong Commune;
- Southern Lam Dong Industrial Park in Tra Tan Commune;
- High-Tech Park in Ham Kiem Commune, Ham Thanh Commune and Binh Thuan Ward;
- Duc Trong Logistics Center in Duc Trong Commune;
- High-Tech Agricultural Zone in Kien Duc Commune and Nhan Co Commune.
To improve the effectiveness of investment attraction, Lam Dong will focus on enhancing project preparation quality. Investment promotion portfolios will be carefully reviewed to ensure feasibility, transparency and consistency with local conditions and planning frameworks, helping build investor confidence from the earliest stages.
Provincial authorities also view the completion and synchronization of planning systems across sectors as essential for reducing legal risks and shortening project implementation timelines. Efforts are underway to accelerate the formulation and adjustment of development plans.
Targeting Strategic Investors
Investment promotion activities will be restructured to become more focused and proactive, with greater emphasis on approaching strategic investors and targeting markets aligned with Lam Dong’s comparative advantages.
- Priority sectors include:
- High-tech agriculture;
- Tourism and hospitality services;
- Renewable energy;
- Modern logistics and supporting industries.
The province also plans to diversify investment promotion channels and strengthen cooperation with foreign diplomatic missions in Vietnam as well as Vietnamese representative offices abroad. These partnerships will help promote investment opportunities, identify investor demand and better align target sectors with international market interests.
Building the Foundations for Long-Term Growth
Alongside policy improvements and investment promotion, Lam Dong will continue prioritizing infrastructure development, particularly regional transportation networks, industrial parks and logistics systems.
The province is also preparing clean land reserves to ensure projects can be implemented efficiently once investors are secured.
By combining stronger infrastructure, improved planning and targeted investment promotion, Lam Dong aims to position itself as a competitive destination for sustainable, environmentally responsible foreign investment in the years ahead.