Taiwanese firms Sun Steel Corporation and E-United Group are joining hands to build a mammoth $1 billion stainless steel-making factory in the southern province of Dong Nai.
Taiwanese firms Sun Steel Corporation and E-United Group are joining hands to build a mammoth $1 billion stainless steel-making factory in the southern
Dong Nai Planning and Investment Department’s Investment Cooperation Bureau director Trinh Van Anh said Sun Steel Corporation (Sunsco) has notified Dong Nai People’s Committee of its intention to establish the complex at Ong Keo Industrial Zone.
Anh said the project would be developed in two phases. In the first phase, the joint venture would invest about $500 million into the project and $550 million would be sunk into the second phase.
Sunsco was talking with Vietnam National Petroleum Group about using gas as a source of energy to manufacture stainless steel, Anh said.
“The province is fully supporting the joint venture to develop the project in Ong Keo Industrial Zone. However, we need to meet both [Sunsco and E-United Group] to discuss about the project,” said Anh.
Sunsco officially declined to give further information about the project. But, a Sunsco source said the company decided to develop the project due to rising local demand for stainless steel.
Sunsco has been granted an investment certificate to build a hot-rolled steel plant in Ong Keo Industrial Zone.
However, the company will move part of the project to the
The source said the company was working with Dong Nai People’s Committee to clear land for the project. Ong Keo Industrial Zone director Nguyen Hoang Dung said the industrial zone was still in the process of clearing land and building infrastructure.
“We hope to clear the land and develop infrastructure by late 2008. By that time investors like Sunsco and E-United Group could start building their factories in the industrial zone,” said Dung.
(Source: VIR)
