HÀ NỘI — Environmental, social and governance (ESG) considerations and operational efficiency are playing a growing role in investment decisions as Việt Nam’s industrial sector shifts towards higher-value manufacturing, industry representatives said at a forum in Hà Nội on October 21.

The forum was jointly organised by EuroCham and Savills Vietnam, with the endorsement of LŌ-GOI Group, and brought together representatives from the manufacturing, industrial real estate and business communities to discuss the impact of ESG requirements on investment, industrial development and facility operations.

Việt Nam continues to attract manufacturing investment, supported by infrastructure expansion and a network of free trade agreements. However, rising land and development costs, constraints on power capacity and stricter environmental standards are affecting occupiers’ site selection decisions as electronics, advanced manufacturing and technology-intensive industries expand.

Savills said manufacturers were increasingly looking beyond location and cost when selecting industrial sites, with reliable power and infrastructure, skilled labour, operational efficiency, speed to operation and sustainability becoming more important considerations.

As investment in technology-intensive industries grows, industrial parks will need to develop beyond providing land to offer more resilient, efficient and sustainable ecosystems that support occupiers’ long-term operations.

“We are seeing greater demand from technology-intensive industries, for which access to infrastructure, reliable power and high-quality industrial facilities are increasingly important," John Campbell, director and head of Industrial Services at Savills Vietnam said. 

For manufacturers considering Việt Nam, including those expanding their regional production networks, choosing the right location now means balancing cost competitiveness with operational performance, sustainability and long-term business resilience.

Sustainable design and green building certifications are gaining prominence in Việt Nam’s industrial sector, but maintaining environmental performance throughout a facility’s operating life remains a key consideration.

Research by the International Facility Management Association (IFMA) indicates that about 60-80 per cent of total building lifecycle costs occur during the operational phase, underscoring the importance of maintenance, resource management and long-term asset planning.

Luca Vadala, National Head of IFM Services at Savills Vietnam, said: "A building's sustainability performance is not determined by its design or certification alone. What matters is how it operates every day.

"By combining preventive maintenance, energy management and reliable operating data, IFM helps businesses identify inefficiencies, manage costs and maintain the performance of their facilities over time.

"For industrial occupiers, this also means protecting operational continuity and supporting long-term asset value."

Savills Vietnam provides integrated technical and operational management through its integrated facilities management (IFM) services, covering mechanical and electrical systems, preventive maintenance, resource monitoring and soft services.

The services are designed to help industrial property owners and occupiers manage facilities throughout their lifecycle.

The forum also featured LŌ-GOI Yen Phong Industrial Complex in Bắc Ninh, developed by LŌ-GOI Group, as an example of sustainable industrial development supported by structured operational management.

The complex covers 12.1 hectares and has about 115,500 square metres of gross leasable area. The development is LEED Gold BD+C-certified and includes a building management system (BMS) with a dedicated monitoring application.

Savills Vietnam has been appointed to provide hard and soft IFM services at the complex, covering daily facility operations, maintenance coordination and performance monitoring.

The partnership highlights the role of operational management in maintaining building performance after construction, as manufacturers place greater emphasis on building quality, resource efficiency and infrastructure reliability.

Matthew Jackson, General Manager of Northern Vietnam at LŌ-GOI Group, said: "At LŌ-GOI, our focus is on creating modern industrial spaces that support occupiers' operational requirements while integrating environmental considerations into development and long-term management."

The project reflects the growing role of sustainable industrial and logistics facilities in supporting Việt Nam’s manufacturing sector, as businesses seek to balance operational efficiency, environmental responsibilities and long-term investment considerations. — BIZHUB