{"id":352732,"date":"2023-05-25T21:25:43","date_gmt":"2023-05-25T13:25:43","guid":{"rendered":"https:\/\/www.mingtiandi.com\/?p=352732"},"modified":"2023-05-25T21:26:18","modified_gmt":"2023-05-25T13:26:18","slug":"india-vietnam-logistics-get-china-plus-one-boost","status":"publish","type":"post","link":"https:\/\/www.mingtiandi.com\/real-estate\/events\/india-vietnam-logistics-markets-get-china-plus-one-boost-mtd-tv\/","title":{"rendered":"India, Vietnam Logistics Markets Get \u2018China Plus One\u2019 Boost: MTD TV"},"content":{"rendered":"<p><iframe loading=\"lazy\" src=\"https:\/\/player.vimeo.com\/video\/830078357?h=7da3de858c\" width=\"780\" height=\"439\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\"><\/iframe><br \/>\nManufacturers are rapidly adopting a \u201cChina Plus One\u201d strategy to diversify manufacturing locations and reduce supply chain risks, with this trend providing a major boost for the industrial real estate markets in India and Vietnam, according to executives from BW Industrial, CPP Investments and Frasers Property Vietnam.<\/p>\n<p>Speaking in the final session of Mingtiandi\u2019s Asia Logistics Forum for this year, Fion Ng, chief operating officer of ESR-backed BW Industrial said that while Vietnam has been attracting manufacturers from Japan, Korea and Taiwan over the past decade, that trend is accelerating as it becomes a top alternative for companies diversifying their supply chains.<\/p>\n<div style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/ad.doubleclick.net\/ddm\/trackclk\/N6563.3378992MINGTIANDI\/B30546704.375324595;dc_trk_aid=566156183;dc_trk_cid=192150727;dc_lat=;dc_rdid=;tag_for_child_directed_treatment=;tfua=;ltd=;dc_tdv=1\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"Copy of APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real Estate\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate.jpg\" alt=\"\"  srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate.jpg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate-400x128.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/10\/Copy-of-APAC_EN_Capabilities_Static_StandoutAPAC_780x250_Real-Estate-640x205.jpg 640w\" sizes=\"(max-width: 780px) 100vw, 780px\" width=\"780\" height=\"250\"   \/><\/a><script language='JavaScript1.1' src=\"https:\/\/ad.doubleclick.net\/ddm\/trackimpj\/N6563.3378992MINGTIANDI\/B30546704.375324595;dc_trk_aid=566156183;dc_trk_cid=192150727;ord=+ Date.now();dc_lat=;dc_rdid=;tag_for_child_directed_treatment=;tfua=;gdpr=${GDPR};gdpr_consent=${GDPR_CONSENT_755};ltd=;dc_tdv=1?\" attributionsrc ><\/script><\/div>\n<p>\u201cWe have definitely seen how this trend has gained increasing traction over the last five years or so and we at BW observed this momentum firsthand as we grew very rapidly in Vietnam from our inception in 2018,\u201d Ng said. \u201cThis trend was hampered over the last two years due to COVID-19, but over the last two months, we have seen a surge in our leasing inquiries that have returned to pre-COVID levels.\u201d<\/p>\n<p>India has also been attracting global manufacturers to set up shop on the subcontinent as the government ramps up its infrastructure program and rolls out fiscal incentives, according to Hari Krishna V, a managing director with the real estate division of CPP Investments, who also joined the hour-long panel discussion sponsored by Yardi.<\/p>\n<h3>Leasing Picks Up<\/h3>\n<p>\u201cWe do believe that deglobalization is certainly benefiting countries\u2026 and within India, we&#8217;ve seen an acceleration of demand across different sectors \u2013 it&#8217;s been across EVs, electronics, manufacturing, auto sector, fast-moving consumer durables, all of these,\u201d Krishna said. \u201cThis has been further enhanced by the government providing fairly significant financial incentives to manufacturers to move to India.\u201d<\/p>\n\n\t\t<style type=\"text\/css\">\n\t\t\t#gallery-1 {\n\t\t\t\tmargin: auto;\n\t\t\t}\n\t\t\t#gallery-1 .gallery-item {\n\t\t\t\tfloat: left;\n\t\t\t\tmargin-top: 10px;\n\t\t\t\ttext-align: center;\n\t\t\t\twidth: 33%;\n\t\t\t}\n\t\t\t#gallery-1 img {\n\t\t\t\tborder: 2px solid #cfcfcf;\n\t\t\t}\n\t\t\t#gallery-1 .gallery-caption {\n\t\t\t\tmargin-left: 0;\n\t\t\t}\n\t\t\t\/* see gallery_shortcode() in wp-includes\/media.php *\/\n\t\t<\/style>\n\t\t<div data-carousel-extra='{\"blog_id\":1,\"permalink\":\"https:\\\/\\\/www.mingtiandi.com\\\/real-estate\\\/events\\\/india-vietnam-logistics-markets-get-china-plus-one-boost-mtd-tv\\\/\"}' id='gallery-1' class='gallery galleryid-352732 gallery-columns-3 gallery-size-3-across-gallery'><dl class='gallery-item'>\n\t\t\t<dt class='gallery-icon landscape'>\n\t\t\t\t<a href='https:\/\/www.mingtiandi.com\/real-estate\/events\/mingtiandi-asia-logistics-forum-2023\/attachment\/fion-ng-bw-industrial\/'><img decoding=\"async\" data-attachment-id=\"349393\" data-orig-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/Fion-Ng-BW-Industrial-e1683111091930.jpg\" data-orig-size=\"648,571\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;,&quot;keywords&quot;:&quot;Array&quot;}\" data-image-title=\"Fion Ng &#8211; BW Industrial\" data-image-description=\"\" data-medium-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/Fion-Ng-BW-Industrial-e1683111091930-400x352.jpg\" data-large-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/Fion-Ng-BW-Industrial-e1683111091930.jpg\" width=\"260\" height=\"260\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/Fion-Ng-BW-Industrial-e1683111091930-260x260.jpg\" class=\"attachment-3-across-gallery size-3-across-gallery\" alt=\"Fion Ng, BW Industrial\" aria-describedby=\"gallery-1-349393\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/Fion-Ng-BW-Industrial-e1683111091930-260x260.jpg 260w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/Fion-Ng-BW-Industrial-e1683111091930-150x150.jpg 150w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2022\/11\/Fion-Ng-BW-Industrial-e1683111091930-90x90.jpg 90w\" sizes=\"(max-width: 260px) 100vw, 260px\" \/><\/a>\n\t\t\t<\/dt>\n\t\t\t\t<dd class='wp-caption-text gallery-caption' id='gallery-1-349393'>\n\t\t\t\tFion Ng, COO, BW Industrial\n\t\t\t\t<\/dd><\/dl><dl class='gallery-item'>\n\t\t\t<dt class='gallery-icon landscape'>\n\t\t\t\t<a href='https:\/\/www.mingtiandi.com\/hari-krishna-of-cppib\/'><img decoding=\"async\" data-attachment-id=\"341332\" data-orig-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Hari-Krishna-of-CPPIB.jpg\" data-orig-size=\"600,340\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;,&quot;keywords&quot;:&quot;Array&quot;}\" data-image-title=\"Hari Krishna of CPPIB\" data-image-description=\"\" data-medium-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Hari-Krishna-of-CPPIB-400x227.jpg\" data-large-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Hari-Krishna-of-CPPIB.jpg\" width=\"260\" height=\"260\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Hari-Krishna-of-CPPIB-260x260.jpg\" class=\"attachment-3-across-gallery size-3-across-gallery\" alt=\"Hari Krishna of CPPIB\" aria-describedby=\"gallery-1-341332\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Hari-Krishna-of-CPPIB-260x260.jpg 260w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Hari-Krishna-of-CPPIB-150x150.jpg 150w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/01\/Hari-Krishna-of-CPPIB-90x90.jpg 90w\" sizes=\"(max-width: 260px) 100vw, 260px\" \/><\/a>\n\t\t\t<\/dt>\n\t\t\t\t<dd class='wp-caption-text gallery-caption' id='gallery-1-341332'>\n\t\t\t\tHari Krishna V, Global Leadership Team, Managing Director, Real Estate, CPP Investments\n\t\t\t\t<\/dd><\/dl><dl class='gallery-item'>\n\t\t\t<dt class='gallery-icon landscape'>\n\t\t\t\t<a href='https:\/\/www.mingtiandi.com\/real-estate\/speaker-bio-chong-chee-keong-of-frasers-property-vietnam\/attachment\/chong-chee-keong-frasers-property-vietnam-2\/'><img decoding=\"async\" data-attachment-id=\"351160\" data-orig-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/05\/Chong-Chee-Keong-Frasers-Property-Vietnam-1-e1683855992345.jpg\" data-orig-size=\"741,653\" data-comments-opened=\"1\" data-image-meta=\"{&quot;aperture&quot;:&quot;0&quot;,&quot;credit&quot;:&quot;&quot;,&quot;camera&quot;:&quot;&quot;,&quot;caption&quot;:&quot;&quot;,&quot;created_timestamp&quot;:&quot;0&quot;,&quot;copyright&quot;:&quot;&quot;,&quot;focal_length&quot;:&quot;0&quot;,&quot;iso&quot;:&quot;0&quot;,&quot;shutter_speed&quot;:&quot;0&quot;,&quot;title&quot;:&quot;&quot;,&quot;orientation&quot;:&quot;0&quot;,&quot;keywords&quot;:&quot;Array&quot;}\" data-image-title=\"Chong Chee Keong &#8211; Frasers Property Vietnam\" data-image-description=\"\" data-medium-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/05\/Chong-Chee-Keong-Frasers-Property-Vietnam-1-e1683855992345-400x352.jpg\" data-large-file=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/05\/Chong-Chee-Keong-Frasers-Property-Vietnam-1-e1683855992345.jpg\" width=\"260\" height=\"260\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/05\/Chong-Chee-Keong-Frasers-Property-Vietnam-1-e1683855992345-260x260.jpg\" class=\"attachment-3-across-gallery size-3-across-gallery\" alt=\"Chong Chee Keong, Frasers Property Vietnam\" aria-describedby=\"gallery-1-351160\" srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/05\/Chong-Chee-Keong-Frasers-Property-Vietnam-1-e1683855992345-260x260.jpg 260w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/05\/Chong-Chee-Keong-Frasers-Property-Vietnam-1-e1683855992345-150x150.jpg 150w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/05\/Chong-Chee-Keong-Frasers-Property-Vietnam-1-e1683855992345-90x90.jpg 90w\" sizes=\"(max-width: 260px) 100vw, 260px\" \/><\/a>\n\t\t\t<\/dt>\n\t\t\t\t<dd class='wp-caption-text gallery-caption' id='gallery-1-351160'>\n\t\t\t\tChong Chee Keong, General Manager, Industrial, Frasers Property Vietnam\n\t\t\t\t<\/dd><\/dl><br style=\"clear: both\" \/>\n\t\t<\/div>\n\n<p>Krishna added that authorities are also working to \u201cdebottleneck India on a significant scale\u201d through road development programs to improve connectivity and alleviate traffic conditions, especially in major cities like Mumbai and Delhi.<\/p>\n<p>Chong Chee Keong, general manager for industrial at Frasers Property Vietnam said in the same panel that the \u201cqueen bees\u201d of the manufacturing sector, like Taiwan\u2019s Foxconn and Korea\u2019s Samsung, will likely continue to diversify their operations beyond China to mitigate risks, which is good news for Vietnam.<\/p>\n<p>\u201cWe see a lot of challenges in China, even the industrial hub of Shenzhen, they are facing a lot of energy restrictions and they are facing a lot of physical labor issues \u2013 I would not say they would diversify or relocate the whole production from China to Vietnam \u2013 but they&#8217;re able to diversify some of their production into the market,\u201d Chong said.<\/p>\n<p>He added that this diversification is accelerating this year as Frasers Property Vietnam has seen an upswing in customer inquiries over the past three months.<\/p>\n<p>BW Industrial\u2019s Ng said the ESR-backed firm is set to leverage the leasing rebound with its launch of six to eight new projects this year in the Greater Hanoi region as well as in the Ho Chi Minh City area.<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/oxford-ivanhoe-kic-savills-on-singapore-india-markets\/\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"14 NOVEMBER 2023 conrad centennial Singapore\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg\" alt=\"\"  srcset=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore.jpg 780w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-400x128.jpg 400w, https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/14-NOVEMBER-2023-conrad-centennial-Singapore-640x205.jpg 640w\" sizes=\"(max-width: 780px) 100vw, 780px\" width=\"780\" height=\"250\"   \/><\/a><\/p>\n<p>\u201cOver the last two months, we have seen a very, very healthy pickup in leasing inquiries particularly from the Chinese and the Taiwanese investors,\u201d she said. \u201dNorth Vietnam in particular has the geographical advantage of being in close proximity to the industrial South China cluster, where there is a very established electronics ecosystem.\u201d<\/p>\n<h3>E-commerce Spurs Growth<\/h3>\n<p>While both countries are benefiting from shifts in manufacturing site selection, their growing consumer markets and burgeoning e-commerce sectors are also driving warehousing demand.<\/p>\n<p>Chong said Vietnam has a huge market for fast-moving consumer goods and online shopping, with Southeast Asia online shopping giant Lazada expanding its last-mile logistics footprint in around Hanoi to complement its existing presence around Ho Chi Minh City.<\/p>\n<p style=\"text-align: center;\"><a data-no-instant=\"1\" href=\"https:\/\/www.yardi.asia\/Resource\/?resource=Technology+Transformation+in+Asian+Real+Estate+%28White+Paper%29&#038;utm_source=mingtiandi&#038;utm_medium=website&#038;utm_campaign=wp23ttare\" rel=\"noopener\" class=\"adv-link\" target=\"_blank\" aria-label=\"Yardi &#8211; Asia Proptech Report 2023 v1_250\"><img decoding=\"async\" src=\"https:\/\/www.mingtiandi.com\/wp-content\/uploads\/2023\/11\/Yardi-Asia-Proptech-Report-2023-v1_250.gif\" alt=\"\"  width=\"780\" height=\"250\"   \/><\/a><\/p>\n<p>\u201cE-commerce has definitely been a key driver for logistic space in Vietnam,\u201d echoed Ng, noting that the country has among the fastest growing e-commerce markets in Southeast Asia.<\/p>\n<p>Rents for modern warehouses in northern Vietnam rose 8.2 percent last year at the same time that more than 700,000 square metres of new space entered the market. In the south, where the sector is more developed, rents inched up by 1.2 percent as 1.7 million square metres of new warehouses were launched.<\/p>\n<p>In India, Krishna said the country\u2019s e-commerce market has grown at a compounded annual growth rate of 42 percent over the past decade which has helped push demand for warehouse space.<\/p>\n<h3>Onward to Hong Kong<\/h3>\n<p>The emerging markets panel was the final session of the Mingtiandi Asia Logistics Forum 2023, with the company\u2019s next event set for Hong Kong on 27 June.<\/p>\n<p>More than 250 industry professionals are expected to attend the one-day Hong Kong forum at the Sheraton Hotel and Towers in Tsim Sha Tsui with speakers including PAG chairman and CEO Weijian Shan, Link REIT chief executive George Hongchoy and Don Taylor, director of office for Swire Properties.<\/p>\n<p>More information on the Hong Kong forum is available <a href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/mingtiandi-hong-kong-focus-forum-2023\/\">here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"<p> Manufacturers are rapidly adopting a \u201cChina Plus One\u201d strategy to diversify manufacturing locations and reduce supply chain risks, with this trend providing a major boost for the industrial real estate markets in India and Vietnam, according to executives from&#8230;&nbsp;<a href=\"https:\/\/www.mingtiandi.com\/real-estate\/events\/india-vietnam-logistics-markets-get-china-plus-one-boost-mtd-tv\/\">Read&nbsp;More>><\/a><\/p>\n","protected":false},"author":12201,"featured_media":352734,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[3456],"tags":[6795,3160,5382,5359,6749,8380,8400],"ppma_author":[8848],"authors":[{"term_id":8848,"user_id":12201,"is_guest":0,"slug":"beatrice-laforga","display_name":"Beatrice Laforga","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/d4be689d8f5a82939d685df6ef171fcb?s=96&d=mm&r=g","user_url":"","last_name":"Laforga","first_name":"Beatrice","description":""}],"_links":{"self":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/352732"}],"collection":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/users\/12201"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/comments?post=352732"}],"version-history":[{"count":0,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/posts\/352732\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media\/352734"}],"wp:attachment":[{"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/media?parent=352732"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/categories?post=352732"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/tags?post=352732"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.mingtiandi.com\/wp-json\/wp\/v2\/ppma_author?post=352732"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}