Formosa Plastics to grow Vietnam steel mill to 30 mln tons
Taiwan’s Formosa Plastics group will continue expanding its Vietnam steel mill, ultimately to an annual capacity of 30 million metric tons, generating sales of about $45 billion a year, the Economic Daily News reported, citing group advisor YT Kuo.
The group held a groundbreaking ceremony for the steel mill in Vietnam Sunday. The project involves an initial investment of $8 billion and an annual capacity of 7.5 million tons.
The steel mill will be built in three stages. When the first stage, costing $8 billion, is finished later this year, the plant will produce 7.5 million tons of steel annually, the paper quoted Formosa Plastics Chairman Wang Wen-yuan as saying. In the second stage, the output will double and in the third stage, expected to be finished in 2011, the annual output will reach 30 million tons, making it Asia’s second-largest, and the world’s sixth-largest steel project after the newly-formed Hebei Iron and Steel Corp, whose annual output is 31.6 million tons.
Separately, the Vietnam government has invited the group to invest in an oil refinery petrochemical zone.
Formosa Plastics’ steel mill will need 40,000-50,000 workers, and it may hire workers from from China, Laos and Cambodia as Ha Tinh province has a small population, the Economic Daily News said. Formosa chairman said his company will assess the feasibility of investing in the zone if Vietnam liberalizes its oil and oil products market, the daily added.
The steel mill project participants include Formosa Plastics Corp (1301.TW), Nan Ya Plastics Corp (1303.TW), Formosa Petrochemical Corp (6505.TW), Formosa Chemicals & Fibre Corp (1326.TW) and Formosa Heavy Industries Corp. (Quamnet)
ADVERTISEMENT
Áder Flags Delay in Full-scale Rollout of Bottle Return Syst...
India's G20 Presidency, Dawn of New Multilateralism - Narend...
AutoWallis Exceeds Entire 2022 Revenue, Profit in 9 Months
TikTok Commits to Improved Consumer Communication in Hungary
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.
