MARKET SNAPSHOTS WEEK 36/2024
Topping-out ceremony for the 35 trillion VND project at Vietnam's largest airport
On the afternoon of August 23, 2024, Ricons Construction Investment JSC held the topping-out ceremony for the "Package 5.10: Construction and Installation of Passenger Terminal Equipment" at Long Thanh International Airport - Phase 1. The passenger terminal package, the largest contract in the Long Thanh Airport project, is valued at 35 trillion VND and is being executed by the Vietur consortium over 39 months. In Phase 1, Long Thanh Airport will have a capacity to serve 25 million passengers and handle 1.2 million tons of cargo annually. Long Thanh International Airport is a national key project with significant importance for the economic development of the southern region and the entire country. Once operational, the airport will have a capacity of 100 million passengers and 5 million tons of cargo per year. The entire project is divided into three phases, with a total investment of approximately VND 336.63 trillion (over USD 16 billion). Phase 1, with an investment of over VND 114 trillion, is expected to be operational by Q4/2026.
Groundbreaking of $260 million automobile engine manufacturing plant in Hue
On August 23, at the Chan May - Lang Co Economic Zone (Thua Thien Hue province), the investor of Kim Long Motor's automobile manufacturing and assembly industrial park held a comprehensive strategic cooperation signing ceremony with China's YUCHAI Group for engine production in Vietnam, followed by the groundbreaking ceremony for the automobile engine manufacturing plant. The Kim Long Hue engine manufacturing plant has a total investment of $260 million, divided into two phases. The plant will produce a wide range of engines: for automobiles, marine engines, generators, agricultural machinery, and construction equipment, with an initial capacity of over 12,000 engines per year, and plans to increase capacity in the following years. The Kim Long Motors Hue complex is expected to significantly contribute to the development of the automobile industry, attract investment in the supporting industries, contribute to economic restructuring, increase local budget revenue, and create jobs for local workers.
China’s Huadian to invest $440 million for producing hydrogen, methanol in Vietnam
Huadian Group, a Chinese state-owned enterprise (SOE), aims to invest $440 million in Quang Tri province to produce green hydrogen and methanol. On August 28, a Huadian Group delegation and its Vietnamese partner, Minh Quang Joint Stock Company, presented their investment proposal for the first phase of the project to Quang Tri authorities. According to the latest proposal, the Chinese giant plans to build a 265 MW wind farm and an 80 MW solar farm, along with a 30 MWh battery energy storage system (BESS) to produce 12,000 tons of green hydrogen and 100,000 tons of methanol annually. Additionally, Huadian has already invested in several projects in Vietnam, including a 200 MW wind power plant in Dak Lak province in the Central Highlands, and the $2 billion Duyen Hai 2 thermal power plant with a capacity of 1,320 MW in Tra Vinh province in the South.
Samsung supplier DKT Vina to raise northern Vietnam investment to $61 million
DKT Vina Co., Ltd., a flexible printed circuit board (FPCB) manufacturer under South Korea's DK Tech Co., Ltd., will increase its investment in Vinh Phuc province to $61 million. According to the latest investment registration certificate issued last month, marking the 16th adjustment since the first in February 2011, Samsung supplier DK Tech will inject an additional $36.1 million into the project. Once fully operational, the project will have an annual capacity of 168 million FPCB products and 2.27 million wireless charging devices. The project spans four locations in Khai Quang Industrial Park, Vinh Phuc, covering a total of 3.63 hectares. Vinh Phuc has emerged as a favored destination for electronics supporting companies and is looking to attract more high-tech manufacturers, contributing to job creation and socio-economic development in both the province and the northern region as a whole.
P&G to up razor production investment in southern Vietnam to $313 million
Consumer goods giant Procter & Gamble (P&G) received its 16th adjustment to its investment registration certificate last month. The U.S. multinational is set to increase its investment in Binh Duong province to $312.8 million to expand production capacity. With this latest expansion, P&G's plant will boost its annual output of razors and razor blades from 700 million to 853 million units while maintaining the current production of 630 million razor components. Additionally, P&G will increase the annual output of final razor processing and shaving foam to 453 million units. P&G aims to complete the related administrative procedures between July 2024 and April 2025, install equipment from April 2025 to November 2025, conduct trial operations from December 2025 to June 2026, and officially commence operations in October 2026.
The first Aeon Mall in the Mekong delta takes shape after 3 months of construction
The retail giant Aeon's shopping mall is being constructed in Tan An City, Long An province, since May 2024. The project is located at a prime intersection of National Highway 1A and Hung Vuong Extension. Aeon Mall Tan An is the 8th shopping center of Aeon Group in Vietnam, with a total investment of over VND 1,000 billion and an area of approximately 21,000 square meters. This project aims to become a modern shopping center in the region, offering a full range of amenities, including shopping, dining, and entertainment. Aeon Mall Tan An marks a significant milestone in Aeon Group's operations in Vietnam, its second-largest market after Japan. The project is expected to create nearly 600 job opportunities for the local community, contributing to the overall economic development of Long An province. Aeon Mall Tan An is expected to be completed by August 2025.