SOUTH Korea's Daewoo Corporation has committed itself to one of the biggest single investments in Vietnam - a US$1.2 billion industrial park on the edge of Hanoi.
Daewoo will spend $200 million to prepare 420 hectares of rice paddy for what will be Vietnam's biggest car plant, as well as electronics and tyre factories, company sources said last night.
The joint-venture deal was signed this week with local state partner Hanoi Electronics Corporation (Hanel), owned by the People's Committee of Hanoi.
Daewoo takes a 70 per cent stake in the park, spending $700 million on the car plant, with the remaining funds spread across video and television, refrigerator, washing machine and microwave factories.
The signing cements Daewoo's position as the most aggressive foreign investor in Vietnam.
It nearly doubles the total of South Korean commitments.