Formosa Ha Tinh expects $3.5 billion revenue per year

By Quynh Chi - Jul 23, 2018 | 09:20 AM GMT+7

TheLEADERAs the biggest foreign direct investment project in Vietnam with $11 billion of register capital, Formosa Ha Tinh has created stable jobs for 12,000 people.

Formosa Ha Tinh expects $3.5 billion revenue per year
Prime Minister's inspection to Formosa Ha Tinh

Liquid cast iron output at the Taiwanese-owned company Formosa Ha Tinh steel corporation (FHS) reached 1.9 million tons in the first half of 2018 and is expected to reach five million tons this year with estimated revenue of about $2.6 billion.

The information was revealed on the occasion of Prime Minister Nguyen Xuan Phuc’s visual inspection to FHS’s Son Duong deepwater port and cast iron and steel complex located in Ha Tinh province.

The leader of the company said that at the full capacity of its two blast furnaces, Formosa Ha Tinh could gain 6.71 million tons of liquid cast iron annually with sales estimated at $3.5 billion.

FHS’s leader affirmed that since the first blast furnace was put into place, factories have been stably operational with wastewater and gas emission monitoring being in line with the standards of Vietnamese law.

All environmental protection items have reached standards of the state-of-the-art modern iron and steel plant. FHS has built three levels of incident prevention at the manufacturing site, inside and outside the plant.

According to the Vietnam government portal, the Prime Minister highlighted that the company must urgently replace the wet-quenching method with the dry-wenching method provided by Japanese contractor Neisui in June 2019.

FHS needs to continue improving production technologies for better product quality and following environment protection conditions and standards, not letting any incident happen again.

Besides, the Prime Minister asked FHS to focus more on the construction of the 200 ha supporting the industrial park in order to attract more investment in the field of steel products manufacturing to develop the economy and address the unemployment for people.

The construction of the cast iron and steel complex of Formosa Ha Tinh steel corporation, the biggest project in the Vung Ang economic zone located in Ky Anh district, Ha Tinh province and also the largest FDI project in Vietnam, was commenced in 2008.

According to the Ha Tinh economic zone management board, this project has a total registered capital of $11 billion.

However, the accumulated investment capital by the end of last October was $12.5 billion, $1.5 billion higher than the registered amount.

The corporation used $759 million of investment last year and plan to pour $254 million into the project, raising the total investment capital of its project to $13 billion.