India-based global steelmaker
Tata Steel has decided to withdraw from the $5 billion integrated steel plant project in joint venture with
Vietnam Steel Corporation (VSC) due to delays in approvals and the challenging business environment in
Vietnam, according to Indian news portal Businessworld.
According to the memorandum of understanding signed between the companies in 2007, the joint venture was going to build a steel plant with an annual production capacity of 4.5 million mt in
Vietnam's Ha Tinh Province. The first phase was scheduled to be completed by 2012, with the whole project to be completed in 2018. However, in 2009
Tata Steel had to announce a delay in the commissioning of the first phase due to problems regarding land acquisitions in the special economic zone in Ha Tinh,
as previously reported by SteelOrbis.