Webinar: Vietnam Tier 2 Provinces Potentials unlocked from China Reopening

Industrial land Northern region Improving absorption in Tier 2 markets • ▲ ▲ • • ▶ ▲

Industrial land Southern region Similar trends recorded in the South

• ▲ ▲ • • ▼ ▲

Southern Region, Net absorption

RBF/RBW segments: Strong expansion of sub-developers in Tier2 markets in the North vs limited supply in the South

0 50 100 150 200 250 300 350 Hanoi Hai Phong Bac Ninh Hung Yen Hai Duong Thai Nguyen Vinh Phuc Bac Giang Quang Ninh Ha Nam Thai Binh Ho Chi Minh Binh Duong Dong Nai Long An BR-VT Binh Phuoc Binh Thuan Tay Ninh US$/sqm/leasing terms Low High Asking Rents, Industrial Land, Q1 2023 Industrial land

continued to grow in

regions ▲ ▲ ▲ ▲

Rents

both

Tier-1 markets

Tier-2 markets

Tier-2 markets

Tier-1 markets

Tier-2 markets

Major transactions:

Region, Industrial Land, Forecast

Vietnam, Industrial Land, Forecast Tier-2 markets continue to offer at competitive rental rates ▲ ▲ ▲ ▲

Northern

Southern

Market awaits positive impacts from China’s reopening

• • • •

6.0 2.2 8.1 3.0 4.9 4.6 5.1 5.1 4.6 2.6 -3.4 6.0 3.0 1.5 2.7 3.5 3.5 3.3 2019 2020 2021 2022 2023F 2024F 2025F 2026F 2027F China Global

Investment Criteria from Chinese Investor

30% Government Support

15% Business Environment

30% Operation Factors

25% Real Estate

01 02 03 04

Average Labor Cost of Manufacturing

Source: City Statistical Yearbook of 2021, CBRE Research

Industrial Parks IND Property Rent (RMB/s.q.m/mth) Land Price (‘0000 RMB / Mu) Shanghai 1 Shanghai Average 60 140 Suzhou 2 Taicang Economic Development Area 33 – 36 35 2 Industrial Zones 1

3 2 1 Industrial Parks IND Property Rent (RMB/s.q.m/mth) Land Price (‘0000 RMB / Mu) Shanghai 1 Shanghai Average 60 140 Suzhou 2 Taicang Economic Development Area 33 – 36 35 Jiaxing 3 Pinghu Economic Development Zone 27 – 30 37 Industrial Zones

• • •

For more information regarding this presentation please contact:

CBRE Vietnam Co., Ltd. – Research & Consulting

T: +84 28 3824 6125 | +84 24 6288 6379

E: research.vietnam@cbre.com