Japan food major Acecook eyes new plant in southern Vietnam

Acecook, a leading instant noodle maker with 13 plants operating in Vietnam, is studying a new project in the southern province of Tay Ninh.

The company disclosed the information at a recent investment promotion event organized by Tay Ninh authorities in Japan’s Kansai region.

Previously, on October 16, Acecook Vietnam broke ground for a VND2.2 trillion ($83.38 million) plant, named Thang Long, at the Thang Long II Industrial Park in Hung Yen province.

This will be its third plant in northern Vietnam and 14th in the country. In northern Vietnam, the company is operating two plants in Hung Yen and Bac Ninh provinces.

The event in Kansai was part of a labor, trade and investment mission to Japan of Tay Ninh authorities, led by provincial Party chief Nguyen Van Quyet. It received the attendance of more than 100 Vietnamese and Japanese businesses.

Tay Ninh Vice Chairman Pham Tan Hoa said Japan is one of the province’s key economic partners, with 176 Japanese-invested projects worth more than $1.26 billion, ranking fourth among 40 countries and territories investing in Tay Ninh.

He told the event that Tay Ninh views Japan as a long-term, strategic and reliable partner and seeks broader cooperation in high-tech industries, energy, logistics, digital transformation, renewable energy, and smart urban development.

A representative of Tay Ninh’s Department of Finance noted that the province is becoming an attractive destination for Japanese investors thanks to its strategic location linking Ho Chi Minh City with the Mekong Delta and the southern economic corridor, as well as its border trade advantages with Cambodia via four international border gates.

Tay Ninh aims to develop 59 industrial parks and 82 industrial clusters by 2030, covering 21,372 hectares, with more than 1,000 hectares of cleared land ready for new projects.

During the discussion session, several Japanese companies expressed interest in investing or expanding operations in the province.

Acecook said it would study the development of a new production facility in Tay Ninh. Yumoto Group plans to expand its existing projects, while Sumitomo Forestry is considering renewable energy investments. ST Trading proposed cooperation on scientific equipment distribution and applied research.

Other Japanese firms said they are exploring opportunities in manufacturing, services, and supporting industries, and proposed Japanese-language training cooperation to improve local workforce capability.

At the event, Tay Ninh authorities signed strategic cooperation agreements with several partners in the Kansai region.

As part of its investment promotion trip to Japan from November 16-22, the province will hold an investment promotion conference in Tokyo on November 19 and a similar event in Yamanashi on November 20.

In Vietnam, Acecook has been operating for more than three decades. The company was founded in 1993 and officially began operations in 1995. As of last year, Acecook held around 40% of Vietnam’s instant noodle market, with over 3.3 billion products sold domestically.

From 2018 to 2023 Acecook recorded stable revenue growth, averaging 12% per year. In 2023, the company’s total revenue reached VND14 trillion ($530.6 million), up 15% from 2022 (VND12.2 trillion). During the same period, net profit ranged from VND1.8 trillion to VND2 trillion ($75.8 million), supported by production cost optimization and expansion of export markets.

Long An and Tay Ninh provinces were merged in July to form the new Tay Ninh which borders Dong Nai, Dong Thap, Ho Chi Minh City, and Cambodia. Long An was an industrial center in southern Vietnam, together with HCMC, Ba Ria-Vung Tau, Binh Duong, and Dong Nai.

In the same month, HCMC, Ba Ria-Vung Tau, and Binh Duong were merged to form the new HCMC, while Binh Phuoc and Dong Nai became the new Dong Nai.