PepsiCo, the world's second largest food and beverage firm, has committed to establishing a US$73-million plant in the northern province of Bac Ninh, according to a press release.
The company signed an agreement on Thursday with the Vietnam Singapore Industrial Park (VSIP) Bac Ninh for locating the plant there.
The signing was witnessed by Prime Minister Nguyen Tan Dung and his Singaporean counterpart Lee Hsien Loong.
The plant, which will produce carbonated and non-carbonated beverages, will be PepsiCo's largest in Vietnam and one of two largest facilities in Southeast Asia, the VSIP Bac Ninh's press release said.
PepsiCo has also pledged to invest $250 million in Vietnam over the next three years from 2011, bringing its total investment to over S$500 million since 1994 when its products were first launched in Vietnam, it added.
First established in 1996, the VSIP now consists of four integrated townships and industrial parks located in Binh Duong, Bac Ninh and Hai Phong City. So far it has attracted the investment of more than 400 companies.