German-backed Alliance Packing Plastic JSC builds second factory in Vietnam

Six years after setting up its first plant in Vietnam, German-invested Alliance Packing Plastic JSC. (Aplas) is investing $12 million in its second one in the southern province of Long An.

The new facility, located in Long Hau Industrial Park, is expected to supply the market with 24,000 tons of products annually.

Aplas's first plant was established in 2019 in Ho Chi Minh City as a joint investment between partners from Germany and Vietnam.

At the groundbreaking ceremony for the complex film blowing plant on Tuesday, Nguyen Lien Minh, general director of Aplas, recalled: "Six years ago, Aplas was established. We then built our first plant and headquarters in Ho Chi Minh City.

"That time saw the Covid-19 pandemic, but construction progressed very quickly. Foreign investors were surprised at how fast we completed it, saying such speed would be impossible in Germany."

He added: "Today, exactly six years later, we commence construction of our second plant which covers approximately 14,768 square meters with a 57% construction density. Like our first facility, this plant will feature state-of-the-art German equipment."

The new factory is designed to meet ISO 8 cleanroom standards, with a focus on smart equipment and utilizing renewable energy.

The project is being developed to achieve LEED Gold certification - an internationally recognized green building standard awarded by the U.S. Green Building Council (USGBC). It is expected to boost Aplas’s EcoVadis sustainability rating and support the company’s implementation of Scope 3 greenhouse gas (GHG) reporting.

Slated to begin operations in the first quarter of 2026, the factory is expected to attract highly skilled labor, operate with a high degree of automation, and incorporate AI technologies.

"We're investing around $12 million for phase 1 of the project, which will increase to $20 million in phase 2. The factory will supply both domestic and international markets with 24,000 tons of PE film products annually," said Minh.

"This investment underscores our commitment to building a sustainable packaging supply chain. It also demonstrates that Vietnam remains a highly attractive investment destination, despite global economic volatility," he added.

Bui Le Anh Hieu, director of business marketing and customer care at Long Hau Industrial Park, said Aplas is the 218th enterprise to operate in the park.

“This is a promising sign of Long An province's industrial development and investment appeal. It also reaffirms the quality of infrastructure and services at Long Hau Industrial Park,” he added.