Billion dollar projects

The Project of Polypropylene Factories and Underground Storage of liquefied petroleum gas (LPG) invested by HyosungVina Chemical Group (Korea) has come into operation. With a total investment of US$1.3 billion, the Project consists of Polypropylene factory 1 and Polypropylene factory 2 with a capacity of 300,000 tons/year/factory. The Polypropylene factories and Underground Storage of liquefied petroleum gas put into operation have significantly facilitated the robust development of the petrochemical industry and downstream industries such as automobiles, medical products, plastic products, and other service industries of the province and the southern key economic region.

The Project of Polypropylene (PP) Factories and Underground Storage of liquefied petroleum gas (LPG) invested by Hyosung Group (Korea)

Along with the Carbon Fiber Factory project being implemented smoothly, Hyosung Group (Korea) has continued to invest in a project with an investment capital of about US$720 million in Ba Ria - Vung Tau Province, which was informed at the working session between the People's Committee of the province and Hyosung Group (Korea) on the afternoon of December 4.

After surveying, Hyosung Group decided to invest in another large-scale project in Ba Ria - Vung Tau Province. This factory worth approximately US$720 million specialises in producing biofiber (used for making spandex fabric) from raw sugar, in Phu My 2 Industrial Park. This is one of the first projects to apply modern technology to produce this type of material not only in Hyosung but also all over the world.

The representative of Hyosung Group has made some proposals on importing and developing raw material sources, training the labour force, building a fuel pipeline from Hyosung's warehouse to the production plant, etc.

At the end of this year, Southern Petrochemical Complex project in Long Son commune, Vung Tau City is also undergoing commissioning to get ready for commercial operation from the beginning of 2024. With a total investment of more than US$5.1 billion, it is one of the first large-scale integrated petrochemical complexes in Viet Nam. Coming into stable operation, it will produce about 1.4 million tons of polyolefin, which is a raw material for producing many types of plastic products for daily life. It is expected that in 2024, Southern Petrochemical Complex will achieve a revenue of approximately US$1.5 billion and will pay a tax amount of approximately US$150 million to Ba Ria - Vung Tau Province.

(Link: https://plo.vn/du-an-dau-tu-nuoc-ngoai-lon-nhat-ba-ria-vung-tau-sap-van-hanh-post759041.html)

A factory of Southern Petrochemical Complex, Long Son commune, Vung Tau City is operating

Recently, the chemical industry in Ba Ria - Vung Tau Province has developed strongly for many reasons. Firstly, as the centre of the country's oil and gas exploitation industry, the province can ensure raw material sources. Besides, the other reasons are the traffic infrastructure system connecting to developed regions being continuously invested, deep-sea port systems, the available consumption market in the province and the large Southern Key Economic Region, etc. Thanks to that, the chemical industry has made an important contribution to the growth of the manufacturing and processing industry. For the past 10 years, it has ranked behind only the two industries including the agricultural, forestry, fishery industry and the metallurgy processing industry. The chemical manufacturing sector has been receiving the most investment and attention of enterprises among all sectors in the chemical industry of the province.

In addition to the above large-scale projects, the industrial parks of the province have brought about 21 FDI and joint venture projects with a total registered investment capital of US$646.5 million as well as nine domestic projects with a total investment of US$13,273 billion. Most of these enterprises operate in sub-sectors of the chemical industry and chemical product manufacturing industry, such as industrial gases, medical gases, dyes and pigments, inorganic chemicals, organic chemicals, fertilisers, and primary plastics.

Attracting modern environmentally friendly chemical industry projects

According to the Department of Industry and Trade of Ba Ria - Vung Tau Province, Ba Ria - Vung Tau Province has determined to attract investment by developing an environmentally friendly chemical industry with the application of modern and valuable technology, creation of high values, and avoidance of labour intensivity. It is required to attract chemical projects in compliance with the provisions of the law as well as local regulations and regulations. Most enterprises in the province's chemical sector are located in industrial parks equipped with wastewater treatment systems according to regulations.

According to Mr. Nguyen Van Dong, Director of the Department of Industry and Trade of the province, upon the Prime Minister's Decision on the development strategy of Viet Nam's chemical industry to 2030, with a vision to 2040, the People's Committee of Ba Ria - Vung Tau province immediately issued Official Dispatch No. 8720/UBND-VP dated July 25, 2022 implementing this Strategy in the province.

In particular, relevant Departments, branches, and consulting units in the province were assigned to prepare a plan based on the development conditions, potential and advantages of the province; integrating the contents of the Strategy into the planning of the province; actively conducting research and arranging land funds to facilitate investment attraction in the construction of complexes, concentrated chemical industrial parks, and logistics centres.

Panoramic view of Hyosung Polypropylene Factory, Phu My Town.

Accordingly, the province is currently establishing specialised industrial parks and large-scale, modern and safe chemical industrial complexes in compliance with the direction of green chemistry and circular economy. The Director of the Department of Industry and Trade of the province said: “Ba Ria-Vung Tau province aims to develop concentrated chemical industrial parks and logistics centers serving the chemical industry far from residential areas, near deep-water ports, with convenient transportation connections. Besides, it is required to ensure environmental safety and water resources, attracting projects of producing and using chemicals for other manufacturing industries, etc.”