During a visit by Vietnam’s Prime Minister Pham Minh Chinh to its Dung Quat Iron and Steel Complex, Vietnam-based steel producer Hoa Phat Group presented its growth expectations and the general outlook for the company.
The prime minister stated in his speech that, being a part of the fundamental industries such as steel and chemicals, Hoa Phat plays a key role in Vietnam’s growth targets and it will continue receiving the government’s support.
Tran Dinh Long, chairman of Hoa Phat, emphasized that the company is currently the largest steel manufacturer in Vietnam and has exported steel to 40 countries and territories. According to Long, with its large investment in steel production, the group aims to replace imported material with high-quality steel and targets 15.0 percent growth each year for the period of 2025-2030, parallel to the country’s growth targets.
“Hoa Phat is confident in its capacity to research and produce rail steel, steel for making train axles and high-speed trains according to the prime minister's orders as well as high-quality steel for key national projects and exporting to the world,” the company chairman stated, expressing thanks for the support of the Vietnamese government.
Hoa Phat executives also presented their suggestions for the protection of the local steel industry to the government, calling for early land allocations so that the group can quickly implement their projects and the utilization of domestic iron ore resources to replace imports to reduce the iron ore import costs totaling around $3 billion each year.
Currently, Hoa Phat prioritizes the completion of the Hoa Phat Dung Quat 2 Iron and Steel Complex project in the Dung Quat economic zone, aiming to be self-sufficient in production to serve key national projects such as the high-speed railway connecting the north and south of Vietnam. Hoa Phat Dung Quat 2 is expected to be operational by the end of 2025, bringing the group’s total steel production capacity to 15 million mt annually. This capacity increase may put Hoa Phat among the 30 largest steel producers in the world.