Heineken plans 50% production expansion in Danang

Dutch brewer Heineken plans to complete a project to expand its Danang brewery’s annual capacity from 330 million liters to 500 million liters, or 51% increase, this year.

In a Friday meeting with leaders of the central city, Heineken executives said the Danang brewery produced 180 million liters of beer, meeting 80% of the 2023 target; and launched three new products. In 2024, the factory aims to increase output to 200 million liters, they added.

Tran Phuoc Son, Vice Chairman of Danang People’s Council, the city’s legislative body, asked Heineken to consider launching a Danang brand to serve tourists and promote the city’s image.

He also asked relevant authorities to aid the brewery with legal procedures and help Heineken to put its new EUR25 million production line into operation soon.

Under the 2021-2030 development plan for Danang signed by Deputy Prime Minister Tran Hong Ha last year, Heineken’s expansion is a prioritized project for the city’s industrial sector.

When Heineken acquired Danang Brewery in 2007, it had a capacity of 40 million liters. The Dutch brewer invested $116 million to increase capacity to 240 million liters in 2018 and then an additional $47 million to up it further to 330 million liters.

Heineken's latest investment in Vietnam took shape in November 2022 with the signing of a memorandum of understanding to invest an additional $142 million in its brewery in Ba Ria-Vung Tau province, increasing its brewery’s capacity from 11 million hectoliters (hl) to 16 million.

In December 2022, Heineken CEO Dolf van den Brink Heineken told Prime Minister Pham Minh Chinh that the company would pour a further $500 million into Vietnam in the coming years.