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Viet Nam
Industrial Park Situation
Text by Saito Hiroshi
The 10th: Expatriate Living Environment
When entering Vietnam, one of the concerns is whether the environment allows expatriates to live comfortably. The author has been living in Vietnam for 17 years, and when they first arrived, there were no Aeon malls, Takashimaya, or Japanese convenience stores. They used to travel to Singapore to buy Japanese food and clothing. However, now there is a stark contrast, with 6 Aeon malls (3 in the northern region and 3 in the southern region), Takashimaya has opened one store in Ho Chi Minh City, and Japanese convenience stores such as FamilyMart, Ministop, and 7-Eleven have expanded into the southern region, totaling hundreds of stores. This time, I would like to introduce the living environment for expatriates relocating from Japan.
1. Residence
Serviced Apartments: For Japanese expatriates, serviced apartments with cleaning and maintenance services included are common choices for accommodation. In major cities like Hanoi, Ho Chi Minh City, and Danang, there are numerous serviced apartments available, though options are limited in suburban areas with industrial zones. However, in Binh Duong province in the southern region where there are many industrial parks, Becamex Tokyu, a joint venture between Tokyu Corporation and Vietnam’s Becamex IDC Corp., has developed serviced apartments in the new urban area of Binh Duong. They offer convenient living environments with facilities such as shopping centers, restaurants, convenience stores, and medical facilities, along with Tokyu bus services. With the presence of Japanese tenants already clustering in these areas, Vietnam has attracted many Japanese real estate companies such as Starts and Leopalace 21, making it possible for individuals in Japan to access local housing information remotely.
- Apartments: There are also many apartments available that do not include services such as cleaning. Their rent tends to be slightly cheaper compared to serviced apartments.
- Rooms for Rent: This style involves renting out individual rooms within a house, and there are many such rooms available in a corner of Saigon’s Japanese district. Quite a few Japanese expatriates live there, typically those on solo assignments. Many of these rooms come with their own toilet and shower, making them suitable for single occupants.
★ Choosing a place to live requires careful consideration of commuting time.
Many expatriates prefer to live in major cities like Hanoi and Ho Chi Minh City, but it is advisable to look for housing near factories if the commute takes more than an hour and a half one way.
However, many Vietnamese professionals with qualifications such as accountants
or those in managerial positions often reside in major cities.
Therefore, it may be necessary for Japanese executives to share a car and commute with them to work.
2. Meal
- Japanese Restaurants: There are approximately 2,500 Japanese restaurants throughout Vietnam, with about 60% located in the southern region (around Ho Chi Minh City) and about 30% in the northern region (around Hanoi). The quality has significantly improved, so there are now plenty of restaurants where even Japanese people can be fully satisfied.
- Japanese Grocery Stores: In addition to supermarkets inside Aeon malls, there are specialty stores for Japanese groceries, and Japanese ingredients are also available at Japanese convenience stores. While prices may be higher, it’s not too inconvenient. However, due to liquor taxes, shochu and sake are priced around three times higher than in Japan, leading many expatriates to purchase them when they temporarily return to Japan.
- Clothing: In the two major cities of Hanoi and Ho Chi Minh City, there are stores like Aeon Mall and Uniqlo, so there isn’t much inconvenience. Additionally, suits and other clothing items can be made relatively affordably through custom tailoring compared to Japan, so it is recommended.
- Hospitals: In Hanoi and Ho Chi Minh City, there are several hospitals and clinics where Japanese doctors are stationed, providing reassurance. However, due to limitations in medical facilities, in cases requiring major surgeries, patients may sometimes be transferred to hospitals in Thailand or Singapore. Regarding medical insurance, there are options such as overseas travel accident insurance available in Japan, as well as insurance plans that can be purchased locally.
- Transportation: In Vietnam, where public transportation is not well developed, the primary means of transportation for expatriates are company cars or taxis. There are also motorcycle taxis like Grab, but many Japanese companies prohibit their use due to safety concerns. Since motorcycles are the main mode of transportation in Vietnam, expatriates often opt for rental cars with drivers because driving oneself carries the risk of being involved in accidents and potentially becoming liable.
- Communication: In Vietnam, free Wi-Fi is widely available in major cities like Hanoi, Ho Chi Minh City, and Danang. It can be accessed in numerous places such as cafes and restaurants throughout the city centers, so there is no inconvenience regarding connectivity.
- Entertainment: There are numerous golf courses throughout Vietnam, including those near industrial zones like in Binh Duong Province in the southern part of the country. While the fees are somewhat cheaper compared to Japan, they are considered quite expensive when considering Vietnam’s overall cost of living, making them a leisure activity mainly for the affluent. Tennis courts and sports clubs are plentiful in major cities, with many being integrated into serviced apartments. Additionally, activities like massages, karaoke, and bars are found both in city centers and around industrial outskirts, serving as relaxation spots for Japanese expatriates. In Hanoi and Ho Chi Minh City, there are numerous prefectural associations and cross-industry networking events, where regular gatherings such as dinners and golf competitions are held.
齊藤公(Saito Hiroshi)
Business Advisor
G.A. Consultants Vietnam Co., Ltd
After graduating from university, he joined a PHP research institute and served as the head of the New York office. He then worked on the “Nagoya Port Redevelopment Project” at a subsidiary of the Chubu Nippon Broadcasting (CBC) company. He later shifted his base to Asia, where he was involved in the launch of “FM96.3” in Singapore, and the creation of “Hello Vietnam” and “Invest Asia” magazines in Vietnam. He then joined BW Industrial Development JSC, Vietnam’s largest rental factory development company, where he was responsible for attracting Japanese manufacturing companies. Currently, he is active as a consultant for the entry of Japanese companies at “G.A. Consultants”, one of the longest-standing Japanese HR consulting firms in Vietnam.
