According to the industry and trade sector, Lao Cai’s industrial economy maintained positive growth momentum in the first quarter of 2026. Industrial production value reached VND 15,223.7 billion, up 2.01% year-on-year, while the industrial production index increased by 11.78%. Total retail sales and service revenue were estimated at around VND 22 trillion, up 12%, and import-export turnover reached USD 758.65 million, up 15.9%. However, rising input costs, particularly fuel prices, construction materials, and transportation expenses, have directly affected production activities and the progress of industrial infrastructure investment.

Currently, Lao Cai has seven industrial parks covering more than 2,138 hectares, attracting 228 projects with an average occupancy rate exceeding 85%. The remaining vacant industrial land is very limited, totaling less than 50 hectares. Regarding industrial clusters, the province has 23 clusters with a combined area of 903.78 hectares, attracting 233 projects, of which 198 are already operational. The establishment and expansion of industrial parks and clusters have contributed significantly to economic restructuring, job creation, and increased state budget revenue.

One of the key tasks under the Resolution is to create at least 500 hectares of clean land to attract investment. In the first quarter of 2026, the province brought 98.3 hectares of cleared land into operation, achieving 19.66% of the annual target. Of this total, industrial parks accounted for 88.3 hectares and industrial clusters for 10 hectares. Tran Yen Industrial Park emerged as a highlight with 82.7 hectares already leveled and prepared.

Despite the achieved results, implementation still faces many challenges. Site clearance remains the biggest bottleneck due to difficulties involving compensation rates, land origin verification, and overlapping boundaries. Several new industrial parks and cluster projects are still completing legal procedures and therefore cannot yet be implemented. Rising input costs, slow development of external transport infrastructure, and limited investment capital have also affected overall progress.

In response, the province has outlined specific targets for the following quarters of 2026. In the second quarter alone, Lao Cai aims to create an additional 116 hectares of clean land, focusing on Tran Yen, Southern, Minh Quan, and Au Lau industrial parks, as well as key industrial clusters such as Thong Nhat 1, Phu Thinh, and Y Can. The province will also accelerate procedures for establishing Ban Qua and Vo Lao industrial parks and new industrial clusters, complete wastewater treatment systems at existing industrial parks, and strengthen investment in transport connectivity infrastructure.

In the long term, Lao Cai continues to identify site clearance as a key political task requiring the participation of the entire political system. At the same time, the province will continue to improve mechanisms and policies, ensure adequate investment resources, enhance the capacity of infrastructure developers, and promote administrative reform. The transition toward eco-industrial park models and higher environmental standards is also being prioritized to ensure sustainable development.

With synchronized solutions, Lao Cai aims to create more than 527 hectares of clean land by the end of 2026, exceeding the target set in the Resolution and enhancing the province’s attractiveness to investors while creating momentum for modern, efficient, and sustainable industrial development.