Procedure for Obtaining Factory Construction License in Vietnam: Process and Required Documentation

Licensing Procedure for building a factory in Vietnam involves preparing and submitting documentation according to regulations, including design appraisal, environmental compliance, and legal requirements.

Process for obtaining a factory construction license

The process of obtaining a factory construction license begins with submitting a complete application to the competent authority. Typically, investors will submit applications to the District People’s Committee or the Industrial Park Management Board. For larger projects, the Provincial People’s Committee is responsible. Upon receipt, the authority will check, appraise the application, and issue the license within a maximum of 30 days unless there is an extension notification.

To ensure success in obtaining a factory construction license, investors must strictly follow the process steps from application preparation, submission, to receiving the license. This process not only complies with the law but also ensures that all technical, safety, and environmental factors are fully considered.

1. Preparing the application for factory construction license: This is the first and most important step in obtaining the license. Construction Application must be complete and accurate, including components such as an application form as per the template, certificate of land use rights or a legal land lease contract. This ensures transparency and legality for the project. Additionally, it is necessary to prepare detailed construction design drawings, a capacity statement of the design organization, and the practicing certificate of the leading designer. Fire safety certification and environmental impact assessment reports are indispensable components to ensure safety and environmental protection.
2. Application submission: After completing the application, it is submitted to the reception and return department of the District People’s Committee or the Industrial Park Management Board. For larger-scale factories, the application may be appraised by the Provincial People’s Committee.
3. Application appraisal: The competent authority will check the validity of the application and ensure it complies with planning and technical standards. Design appraisal on fire safety and environmental impact reports can be handled simultaneously or separately to ensure safety and compliance with regulations.
4. Issuance of the construction license: This process usually takes a maximum of 30 days from the receipt of a valid application. If necessary, the authority may extend it for an additional 10 days. The license will be issued if the application meets all requirements or be refused with a clear reason.
5. Note after licensing: After receiving the construction license, investors must proceed with the completion process to legally operate the factory. Notably, some factories in industrial parks may be exempt from construction licenses, but still need full fire safety and environmental reviews. Licensing fees vary by locality and are based on Circular 85/2019/TT-BTC.

Special notes when obtaining a construction license

The procedure for obtaining a factory construction license in Vietnam has special notes, such as projects in industrial parks may be exempt from the license but still require reviews of fire safety and other environmental procedures. License fees also vary by province and city. Additionally, the design drawings must be thoroughly reviewed to avoid application rejection.

When planning to build a factory, understanding the licensing procedures plays a crucial role in ensuring a smooth project process. Particularly, the licensing procedure needs to be executed accurately and strictly in accordance with legal regulations.

One of the first important steps is to prepare a complete and accurate set of documents. This includes an application for a construction license, a land use right certificate or a legal land lease contract, factory design drawings certified by a competent expert, along with certifications related to fire safety and environmental impact assessments. These are important documents that need to be carefully prepared to avoid any delays due to documentation deficiencies.

For factories proposed to be built in industrial parks, although they may be exempt from construction licenses, they must still comply with fire safety and environmental planning review requirements. These specific requirements often occur in large-scale projects, where rigorous supervision by competent authorities is mandatory.

Additionally, the planning and appropriate level of project submission need to be observed when submitting the application to the correct competent authority, such as the provincial People’s Committee or the Industrial Park Management Board. This ensures that the factory construction project not only fits the local planning but also adheres to technical and legal requirements.

While the processing time for applications typically does not exceed 30 working days, investors should allow an additional maximum of 10 days in case supplementary review is required. This helps project managers to be more proactive in scheduling the implementation of their tasks.

Cooperating with experienced consulting and design units is a recommended step to ensure the standard and accuracy of technical documentation, helping to avoid errors during the appraisal process. When processing steps are performed accurately and timely, they will positively support the success of the factory construction project.

Understanding the procedures for obtaining a factory construction license in Vietnam helps ensure a smooth process, avoiding legal difficulties, and optimizing investment costs. Preparing complete documentation, meeting design and environmental appraisal requirements is a critical step in the project implementation process.

To ensure the construction licensing process is effective, contact QuangAnhcons via hotline: +84 9 1975 8191 for detailed consultation.

QuangAnhcons specializes in providing consulting services and completing factory construction licensing procedures in Vietnam, ensuring accuracy and full compliance with legal regulations.